CMI strikes Rs. 30 crore deals with East Central Railways, BHEL
New Delhi [India], June 23 (ANI): BSE-NSE listed specialty cable company CMI on Friday bagged orders worth more than Rs. 30 crore from East Central Railways and Bharat Heavy Electricals Ltd. (BHEL) to provide railway signalling cables and HT XPLE cables, respectively.
The order worth Rs. 9.97crores from BHEL to supply HT XPLE cables will be delivered within the next four months, while the order for the railway signaling cables for Rs. 20.68 crores will be staggered over a period of eight months.
These orders are also revenue accretive, and together with several other orders, will add over Rs.151 Cr to the topline for FY 17-18.
Supply of signaling cables and quad cables to railways contributed 45 percent to the total revenues of CMI in 2016-17, while the supply of power cables contributed over 12 percent to the total revenue.
The contribution of the power segment to the revenues of CMI is expected to reach around 15 percent by 2019. Supply of wires and cables to railways has seen a CAGR of 88 percent over FY 13-16 and it is expected to continue growing at 28-30 percent over the next few years (FY 16-19).
"With continued focus of the Government on redefining both the infrastructure segment and Indian Railways, we believe that the industry will grow at a fast pace," said MD CMI Ltd., Amit Jain. (ANI)