'BHEL to announce its biggest order ever'

state owned power equipment maker Bharat Heavy Electricals Ltd (BHEL) has posted a jump of over 22% in its net profit this year. BHEL chairman

K Ravi Kumar, Chairman and Managing Director, BHEL
and managing director K Ravi Kumar told ET that the company is now looking forward to soon announce its biggest order ever for six major power plants with a capacity to generate 600 mw each.

Your net profit has been below market expectations, what has caused such subdued numbers?
There is an inventory of about nine months. So whatever we re purchasing of up to August we are using up to May. From June onwards it will improve and secondly, there is some finished assemblies we are sending to sites. So, even though there is sales growth but not much value addition. But numbers are in line with what we have told. During this year we ll do a 20-25% sales growth and 25-30% growth in profit. I am quite confident we ll exceed sales target this year and our profits will rise more than 30%.

What is the order book looking like? Has there been a slowdown in the order inflow at all?
Infact, it has increased. Our guidance initially for the year was Rs 50,000 crore. But it must be more than Rs 50,000 crore. It may be coming to Rs 55,000 crore during the financial year.

So you re increasing your guidance there but can you give us a break up from where the orders are coming?
This year in our first quarter, we ve booked orders from private sector. 100% orders have been booked from the private sector. I think the government orders will come in the second quarter and we are quite confident that we ll be able to reach 55000 crore order booking in the financial year.

Could you explain why the government's orders have not come at all?
There were some during elections. Some tenders could not be floated after the code of conduct was lifted. A lot of orders will come in second quarter. We are quite confident the ratio will tilt towards the government sector in third and fourth quarter.

McNally Bharat wins order worth Rs 4.14 bn

MUMBAI: McNally Bharat Engineering Company Ltd said on Friday it has received an order worth 4.14 billion rupees to design, supply and erect a plant for the power project of Ideal Energy Projects Ltd in Nagpur.


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ABOUT McNALLY BHARAT ENGINEERING
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McNally Bharat Engineering Company Ltd. (MBE) is an India-based company engaged in providing turnkey solutions in the areas of power, steel, alumina, material handling, mineral beneficiation, coal washing, ash handling and disposal, port cranes, civic and industrial water supply. IT has constructed over 250 plants on turnkey basis by MBE. The Company operates in segments, which include projects division and products division. The turnkey construction activity of the Company is managed by its projects division. MBE also manufactures a range of equipment, which is undertaken at two factories under the products division. MBE products division manufactures a range of products catering to a range of applications at two plants. One plant is located at Kumardhubi where large and heavy equipment are manufactured and the other at Bangalore from where process equipment are manufactured. It has two subsidiary companies: EWB Kornyezetvedelmi Kft. And EWB-MBE International

Suzlon's poor Q1 show takes toll on shares

3 Aug 2009, 1248 hrs IST, ET Bureau
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MUMBAI: Shares of Suzlon Energy were under severe pressure after the wind turbine maker nosedived into losses in the first quarter of

FY2009-10.

The company reported a net loss of Rs 452.67 crore for the first quarter ended June 30 due to lower sales volumes as compared to a profit Rs 9.3 crore in the same period last
fiscal.

Total income stood at Rs 4,171.35 crore during the reporting quarter, against Rs 3,126.97 crore in the same quarter a year-ago.

On a stand-alone basis, the company posted a net loss of Rs 160.47 crore for the quarter ended June 30. It had a net profit of Rs 88.04 crore in the same period last year.

At 12:40 pm, the stock was trading at Rs 94.40, down 5.36 per cent easing its losses from a low of Rs 90.75 in early trade.

L&T won 1 billion contract of ONGC

Engineering and construction firm Larsen & Toubro said on Monday it has won two contracts from state-run Oil & Natural Gas Corp totalling

over 53 billion rupees ($1.1 billion).

The company said the projects will be completed within 33 months.

NALCO faced huge loss due to global slowdown

BHUBANESWAR: National Aluminium Company Limited (NALCO), the Navratna PSU and India’s leading producer and exporter of alumina and aluminium, has

the first pinch of global slowdown with its profit dipping to Rs 127 crore in the 1st quarter ended June 30 from Rs 525 crore during the same period in the last fiscal registering a negative growth of 76%. Due to low prices, the turnover for the quarter has also reduced considerably.

This is in spite of the fact that the blue-chip company registered an impressive 20.46% increase in aluminium production to 104,776 tons from 86,979 tons in the. “The slowdown has definitely impacted the profit bottom lines of the Company despite impressive increase in production and sales. The prices have began bouncing since July and consequently, we hope to fare better in the next quarter”, Nalco director [finance], B L Bagra told “The ET” on Monday.

Alumina production has increased to 400,800 tons from 392,900 tons in corresponding quarter last year. Power generation also increased by 14.35% to 160 million units [MU] from 1400 MU.

On the sales front, Nalco also achieved total sale of 93,104 MT of aluminium in the 1st quarter, which was 84,103 MT in the corresponding period of previous year. Despite prevailing sluggish market conditions, Nalco has been able to increase its export of aluminium to 27,995 tons from 12,623 tons in the corresponding quarter.

Meanwhile, as part of growth strategy, Nalco has plans to set up two Greenfield projects in India, which include an Rs.16500 crore Smelter and Power Complex at Jharsuguda in Orissa and a Rs.6000 crore Mines and Refinery Complex in Andhra Pradesh.

Today's market

MUMBAI: Indian equities ended sharply higher Monday as investors took long positions across the board following positive opening of European markets. Rally was led by gains in auto, realty and metals space. ( Watch )

National Stock Exchange’s Nifty ended at 4721.55, up 85.10 points or 1.84 per cent after hitting a new 52-week high of 4723.30.

Bombay Stock Exchange’s Sensex closed at 15,962.93, up 292.62 points or 1.87 per cent. The index hit a 52-week high of 15963.36.

BSE Midcap Index surged 2.38 per cent and BSE Smallcap Index gained 1.74 per cent.

Biggest Nifty gainers were Hindalco Industries (8.42%), Mahindra & Mahindra (8.01%), HCL Technologies (6.1%), Reliance Communications (5.86%) and BHEL (5.46%).

Suzlon Energy (-5.56%), Hindustan Unilever (-2.69%), Tata Communications (-2.27%), GAIL (-2.24%) and HDFC (-2.17%) were the losers.

Market breadth was positive on the BSE with 1751 advances and 961 declines.

Rolta india - q1 net zzooooooms

Rolta India, specialized technology solution and service provider today announced a rise of 50% in the consolidated net profit for the quarter ended June 2009. During the quarter, the company reported a consolidated profit of Rs 762.30 million as against profit of Rs 508.30 million for the quarter ended June 30, 2008.

In the same period, consolidated revenues of the company stood at Rs 3,327 million, a growth of 3.60% over the prior year period.

The board of directors of the company has recommended a dividend of Rs 3 a share for FY`09.

Commenting on the results, K.K chairman and managing director said, `` We continue to strengthen our businesses and move up the value chain, thereby delivering enhanced value to our customers worldwide. This approach has become all the more relevant in these difficult times and we believe that as the economic outlook turns positive, we will be even better placed to deliver value to all our stakeholders.``

Shares of the company declined Rs 2.7, or 1.72%, to trade at Rs 153.90. The total volume of shares traded was 2,244,981 at the BSE (3.14 p.m., Monday).

BEML eyes huge profilt from Metro rail projets.

BHARAT EARTH MOVERS LIMITED


Monday, 13 Jul 2009
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BEML eyeing INR 25,000 crore biz from metro rail projects
Monday, 13 Jul 2009

Mr VRS Natarajan CMD of BEML Limited said that maker of metro rail coaches and mining equipment smells a huge business opportunity of INR 25,000 crore in the metro rail projects that are coming up across the country.

BEML has supplied coaches worth INR 1,400 crore for the Delhi metro project and has won the INR 1,672-crore Bangalore contract. Its sights are on Chennai, Pune and Hyderabad.

Mr Natarajan said “Over a dozen cities could be floating metro rail projects in the next decade. We hope to capture at least one-fourth of the INR 100,000 crore business in metro projects.”


Mr Natarajan said “The company plans to invest INR 410 crore in existing facilities including INR 260 crore at the new Palakkad unit in Kerala, this fiscal. Last fiscal, it spent INR 100 crore. We expect the first product to roll out from Palakkad by March 2010.”

He said “We have signed an MoA with Alstom of France to make light rail, medium and high speed rail coaches. Alstom will exclusively source components and bogies made by BEML using this technology for its global uses. It is looking at India as a low cost manufacturing base.”

He added that “BEML plans to supply 90 tonne to 100 tonne stainless steel wagons for the high speed freight corridors proposed on Mumbai to Delhi and Howrah to Ghaziabad sectors. It has signed a MoU with SAIL for sourcing steel for the wagons.”

For the current fiscal, BEML is looking at a turnover of INR 4,000 crore compared with INR 2,797 crore for fiscal 2009, driven by all the 3 divisions rail, mining and defense. Order book stands at over INR 5,000 crore.


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ABOUT BEML
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Bharat Earth Movers Limited (BEML) is an Indian Public Sector Undertaking, with headquarters in Bangalore. It manufactures a variety of heavy equipment, such as that used for earth moving, transportation and mining.

BEML incorporated in May 1964, and commenced operations on January 1, 1965. It was wholly owned and operated by India's Ministry of Defense until 1992, when the government divested 25% of its holdings in the company. BEML is Asia's second-largest manufacturer of earth moving equipment, and it controls 70% of India's market in that sector. Its stock trades on the National Stock Exchange of India under the symbol "BEML", and on the Bombay Stock Exchange under the code "500048". The company went for Follow On Public offer (FPO) and fixed the price band for its FPO between Rs.1,020 and Rs.1,090.

BEML has manufacturing plants in Kolar Gold Fields, Bangalore and Mysore. It has numerous regional offices throughout the country. KGF unit is the main unit accounting for the manufacture and assembly of a wide array of earth-moving equipment such as Bulldozers and Excavators. Railcoaches are made in the Bangalore complex and the Mysore facility makes Dump Trucks and engines of various capacity .

ALSTOM got 4 billion RS contract from BHEL

Alstom Projects (India) today announced that it has been awarded a contract worth Rs 3.73 billion by Bharat Heavy Electricals (BHEL).

The said order is for supply of boiler components for 2 X 800 MW supercritical coal fired power plant at Krishnapatnam, Andra Pradesh.

The company is a major player in the energy, transport infrastructure business supplying critical electrical, industrial equipment including boilers and turbines and pollution control equipment for power plants.

Shares of the company gained Rs 8.4, or 1.72%, to trade at Rs 498. The total volume of shares traded was 72,805 at the BSE (12.06 p.m., Monday).


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ABOUT ALSTOM
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Alstom has supplied more than 25% of the world's installed power generation capacity. In equipment and services for the rail transport sector, Alstom is the pioneer and undisputed leader in very high-speed trains, and is developing state-of-the-art solutions for urban transport systems. We set the benchmark for innovative, environmentally friendly technologies in the world of power and rail transport infrastructure. Our engineers built the fastest train and the highest capacity automated metro in the world. We provide turnkey integrated power plant solutions and associated services for a wide variety of energy sources, including hydro, gas and coal.

Our Group employs around 80,000 people in 70 countries, serving customers worldwide.

Alfa Laval Q1 net at Rs 30 cr

Alfa Laval (India) Ltd, manufacturing plants and equipment for food, chemical, and pharmaceutical industries and the Indian arm of the Swedish-based Alfa Laval Group, posted quarterly net profit of Rs 30 crore for the quarter ended June, an increase of 14 per cent over the corresponding period of the previous year.

The company clocked a turnover of Rs 208 crore, a growth of 7 per cent in the quarter as compared to Rs 194 crore in the corresponding period last year.

“This better performance was largely driven by the company’s concentrated focus on the profitability in the backdrop of the economic slowdown across all sectors of business,” Nish Patel, managing director, Alfa Laval, said.

The company’s total sales turnover for the half year ended in June 30, 2009 was Rs 406 crore, registering a double-digit growth over the corresponding period of the previous year. The net profit for the half-year ended June 30 increased by over 11 per cent to Rs 54 crore as compared to the net profit of Rs 49 crore for the corresponding period of the previous year. “This was mainly on account of a good growth in the process technology division,” Patel said.

In the last six months, 75 and 25 per cent of the total Rs 406 income came from domestic sales and exports respectively.

The process technology division manufactures centrifugal separators, decanters, spiral, brazed and plate heat exchangers, welded heart exchangers, dryers and evaporators which are used in refineries, petrochemicals, plastics and polymers, steel, metal, pulp and paper.
Patel said the potential of food industry and process industry shored up the company’s business during the first half of the year. While the food industry was expected to increase company’s business, there would be a rise in inquiries for ethanol plants both in the domestic and export market, he added.

“The company is doing well in vegetable oil refining business,” Patel said, adding that the company took a hit in brewery business with a big company defaulting the order for three years.

He said the company’s fruit processing business would grow with over 10 food mega parks coming up in the country. Each fruit processing plant with 50 – 100 ton capacity a day costs Rs 15 – 30 crore. Last year, the company completed three projects worth Rs 65 crore in this segment.

Patel said the company on hand had had orders to the tune of Rs 635 crore at the end of June 2009 which was 25 per cent higher than last year. And 50 per cent of this business would be in food processing segment. Only one book order worth Rs 10 crore in starch industry was cancelled, he added.

This year the company, employing 1300 staff, was investing Rs 27 crore in its plant and machinery up gradation, Patel said.

The company clocked total revenues of Rs 811 crore in the calendar year 2008.The net profit after tax for the year was Rs 91 crore.

ABB: Q2 profit down 36 pc to Rs 83 cr

Bangalore , July 31 Power and automation technologies firm ABB Ltd registered 36.5 per cent decline in net profit to Rs 83.60 crore for second quarter-ended June 30.
Total income of the company also dropped to Rs 1,525.87 crore during the April- June period of current fiscal from Rs 1,637.62 crore of the same period last year.

The company booked orders worth Rs 4,414.9 crore during the half-year ended June 2009, 10 per cent lower compared to first half of 2008, a company release said here today.



The second quarter saw an order intake of Rs 2,111.6 crore four per cent lower than second quarter of 2008.

During the quarter the company received significant orders for electrical solutions to enhance reliability in power generation, transmission and distribution.

The strong order intake during the first two quarters of this year has helped strengthen the order backlog from Rs 6776.9 crore at the end of first half of 2008 to Rs 7,622.3 crore at the end of June 2009 registering a 13 per cent increase year-on-year.

"The economy is entering the recovery phase now coupled with a stable government in place. We remain optimistic about the long term business prospects for ABB. However, it still remains to see how long before the stable phase of growth would return", said Biplab Majumder, Vice Chairman and MD, ABB.