The Ramachandrapuram unit of Bharat Heavy Electricals Limited (BHEL) has achieved its highest-ever turnover of Rs. 5,004 crore and a record profit of Rs. 930 crore during the year 2009-10.
The company registered a 21 per cent increase in turnover as compared to Rs. 4,149 crore and 24 per cent increase in profit from Rs. 753 crore in the previous fiscal despite global instability, stiff competition and critical input constraints. BHEL Ramachandrapuram has set a target of achieving a turnover of Rs. 6,651 crore in the current fiscal, envisaging 33 per cent growth.
Announcing the company's results here on Monday, BHEL Ramachandrapuram general manager (in-charge) R. Krishnan said the unit had a healthy order book of Rs. 15,264 crore and it was facing a major challenge in meeting the contractual requirements. It was, therefore, decided to accelerate manufacturing and project delivery for which initiatives such as outsourcing of finished assemblies, pre-order advance manufacturing and process improvements were being taken.
He said the unit was contemplating to significantly enhance capital investment for capacity expansion during the current fiscal and Rs. 205 crore, 60 per cent higher than the previous year's Rs. 128 crore, had been earmarked towards this end.
Mr. Krishnan said the company was gearing up to meet super critical applications as adoption of super critical technology was essential for the low carbon growth strategy of the country. BHEL had also initiated steps to enter into technology tie-ups for higher capacity compressors to cater to the ever-increasing demand from fertilizer plants and refineries.
In line with its commitment to expand manufacturing capacity to 20,000 MW by 2012, BHEL had invested more than Rs. 200 crore during the previous year while the company was fully on track to surpass the strategic plan target of Rs. 7,000 crore by the end of 2011-12.