APM Industries Ltd

APM Industries Ltd

Incorporated in 1974 APM Industries a company belonging to the Rajgarhia group is engaged in the manufacture of synthetic blended yarn at its unit at Bhiwadi (Alwar district) Rajasthan under the Orient Syntex brand name. In 1993 the company implemented a modernisation-cum-balancing programme at its existing unit whereby the installed spindleage increased from 19136 to 20608. The additional spindles were operational by mid-1994. The company has been expanding its capacity since 1990 --from 16256 spindles to nearly 20000 spindles. Most of the capital investments for these expansion programmes were met out of internal accruals.In 1994 the company envisaged to set up a separate unit with a capacity of 9600 spindles at an estimated capital investment of Rs 1600 lac. The project was implemented in two phases -- the first phase comprising 6720 spindles. In 1995-96 the company registered an increase of 57% in the gross sales. But there has been only marginal increase in net profit due to significant increase in financial charges and sharp increase in the raw material cost. The Company has successfully implemented modernisation-cum-balancing equipment scheme at its spinning mill at Bhiwadi. The Company has installed a power plant of 2.5 MW capacity during the year 1999-2000 to reduce dependence on grid supply.During 2000-01 the sales of the company has risen to Rs.133.60 crores from Rs.118.97 croreswhich was 12.30% higher than the previous year.The prospects for the current fiscal are really uncertain as the textile industry especially Blended Yarn sector is in deep recession.