It gives me immense pleasure to report another year of excellent performanceunderpinned by robust traction across the entire business of the Company. We embarked onour FY2017-18 journey with the agenda of growth and are pleased to share that we havetaken strides in the right direction in the highly competitive Indian wire and cablemarket. The amalgamation of CMI Energy India Private Limited (CMIE) with CMI Limited is onthe legal and regulatory course and is expected to be completed by this fiscal year end.The merger would improve economies of scale and facilitate in charting higher growthtrajectory for the business thereby enhancing shareholders value. Amid the positive macroenvironment the Company posted an increase in profit before tax from Rs. 33.5 crores toRs. 35.6 crores on a standalone basis. On a consolidated basis profit before tax advanced74.0% annually to Rs. 39.4 crores from Rs. 22.6 crores posted a year ago. What isparticularly satisfying about this performance is that it came across verticals andregions despite the effects of GST. During the year we focused on new productdevelopment with the emphasis on the latest technologies at our facilities.
We are moving in the right direction to enhance the capacity utilization at our CMIEplant located at Baddi which has started to contribute substantially to our topline. Weare on track to make the Baddi plant fungible by December 2018 which would provide us theprowess to manufacture a wide variety of cables. We are scaling- up our manufacturing andtechnological prowess to empower ourselves to meet the demand that we see opening acrosssectors segments and regions. Our diversified portfolio of products has emerged as a keystrength which we shall focus even more in the future to meet the niche needs of ourgrowing clientele. Indian Railways continued to remain our top customer while we explorednew business avenues to diversify our revenue stream. We expect Baddi plant to receiveapproval from the Indian Railways in the near term which would further boost our revenuestream. During the year we bagged significant orders from Indian Railways Bharat HeavyElectricals Limited and other PSUs.
Continuous product innovation and high-performance solutions have enabled CMI Limitedto establish itself as the preferred supplier for several clients in the private andpublic sectors. On the export front we have already dispatched trial orders to manycountries like Nepal Bhutan Sri Lanka Bangladesh Germany UK Singapore ZambiaSwitzerland Egypt Qatar Dubai etc. Based on the performance of these trial orders weare hopeful to receive meaningful orders soon. A strong presence both in domestic andinternational markets has further diversified and de-risked our business model. We areconfident that our strong order book execution capability and capable management teamwould help us to progress holistically as we continue to chart new milestones of successin future.
With global economic growth showing improvement India remained a bright star with aninspiring growth rate of 6.7%. The International Monetary Fund (IMF) expects the Indianeconomy to grow strongest amongst global economies in the near term as short time jittersfrom the demonetization and the introduction of the Goods and Services Tax (GST) fade.With the incumbent government keen to pursue infrastructure reforms at an acceleratedpace the opportunities are exciting and immense. In this dynamic landscape CMI Limitedis fully geared up to make the most of the unfolding developments. The roadmap for futuregrowth is charted and we are strategically poised to capitalize on the immenseopportunities that are unfolding across the sectors we serve. Training and empowerment ofpeople to take on the future opportunities are also high on our agenda as we moveresponsibly forward on our strategic roadmap with an increasing focus on CSR activities.
We have taken a step forward to maximize shareholder value by recommending a finaldividend of Rs. 1 per equity share for the financial year ended 31 March 2017. On thispositive note I would like to thank all stakeholders including our vendors customersbankers Central and State government bodies business associates and employees for theircontinued trust and support. We are committed to enhance the connection that we have builtwith you over the years to make our business a win-win proposition for all of us. Ourpresent gains we believe are only the beginning of more exciting outcomes.
Chairman cum Managing Director.