Wheels India expects double-digit growth in exports in FY24

Wheels India Ltd. (WIL) is expected to post double-digit growth in exports and strong growth in the bus segment and offshore windmill installations during the current fiscal, top company officials said.

“This year, some growth is expected in the goods segment of the CV industry and a strong growth in the bus segment due to a modernisation drive by state transport undertakings, besides strong demand for buses in the school/office segment, chairman S. Ram said while addressing the 64th AGM.

“This should benefit demand for WIL’s wheels and air suspension systems,” he added.

Asserting that supply of cast aluminium wheels to original equipment manufacturers (OEMs) would begin in the latter part of the year, he said, “We expect the demand for the company’s steel and aluminium wheels to grow.”

Stating that the supply of wheels and fabrications to the construction equipment industry saw a strong growth in FY23 driven by both domestic and export demand, he said the demand was expected to grow at a more moderate level in the coming year.

Answering a shareholder’s query, MD Srivats Ram said, “The overall business growth prospectus for WIL in FY24 is expected to be moderate in line with the demand projected by its customer industries.”

Later, he told The Hindu that WIL was expected to post double-digit growth in export business on the back of its strong ties with global OEMs.

“While the year is likely to see a moderate growth in onshore windmill installations, strong growth is expected in the offshore windmill market in the coming years,” he added.

During FY23, WIL started a new plant for machining of large wind turbine castings at Thervoy Kandigai in Tamil Nadu. The unit is expected to become profitable in FY24.