Crompton Greaves plans 2.2-bln-rupee capex in FY09
Power equipment firm Crompton Greaves Ltd will be spending Rs 2.2 billion in 2008/09 on expanding capacities across its three segments, a top official said. "That should be good enough to add about 10-12 percent additional capacity," Managing Director S.M. Trehan said on Monday. The company adds about 10 percent to capacity annually and last year spent about Rs 1.5 billion, Trehan said. At the end of July, it had an outstanding order book of Rs 62 billion, executable over the next 15 months. Crompton Greaves focuses on the manufacture and sale of consumer products, industrial products and power systems. The company is the flagship of the Avantha Group, which has revenues of more than $3 billion. Paper maker Ballarpur Industries is the other listed entity in the group. For the quarter to June, Crompton beat street estimates to report a 37 percent rise in net profit to Rs 1.23 billion, while net sales rose 26.7 percent to Rs 20.35 billion.
