• Investment World
• eWorld
• Brand Line
• Mentor
• Life
• Brand Quest
• The New Manager
• BL Club
• Smartbuy
• Books

Stocks

• Quotes
• SE Diary
• Scoreboard
• Open-End Mutual Fund

Cross Currency

• Rates
  
  

Shipping

• Ports
  
  

Archives

• Yesterday
• Datewise
• Resources
• In Focus
• In Depth
• Events 2007

Group Sites

• The Hindu
• The Hindu ePaper
• Business Line
• Business Line ePaper
• Sportstar
• Frontline
• The Hindu eBooks
• The Hindu Images

BL Research Bureau

A BEML-led consortium has won an order worth Rs 1,672 crore for the supply to 150 metro rail coaches to Bangalore Metro Rail Corporation.

BEML’s order book now stands at about Rs 5,900 crore, which is more than twice of last year’s revenue.

The company had won orders from the Delhi Metro Rail Corporation and is in possession of about Rs 1,365 crore orders for supply of rail coaches. This order, which requires coaches to be delivered by October 2010, may give BEML the much-needed revenue push in the current environment of slowdown.

The company is also likely to get an additional order worth Rs 600 crore for 63 metro coaches for further expansion and extension of proposed metro lines in Bangalore city. But while these orders may take care of the revenue growth of the company in the coming year, they are unlikely to help BEML improve its operating margins.

The margins may not be significantly higher than what it enjoyed in its previous order from DMRC.

Reports suggest that the current order was finalised only after BEML slashed the price of rolling stock from what it had quoted in the bid.

More Stories on : Stocks | Engineering | New Business

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Copyright © 2009, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line