December 02, 2008

Welspun update for Q1 2008

Welspun Gujarat Stahl Roh has recently declared its first quarter results by reporting profit of INR 71.1 crore n net sales of INR 1,090 crore. Welspun Gujarat Stahl Roh expects revenue in the July 2008 to September 2008 quarter to grow by 40% to 50% on heavy orders from both India and overseas.

Mr Akhil Jindal president of Welspun said that "It is almost USD 2 billion worth of orders that we have bid for. I am sure they would be coming sooner or later. We went to Algeria, we went to Europe. We are looking at Europe in a big way. I am sure our next set of orders should come from Europe."

Highlights for the quarter include
1. The company has order book of INR 7200 crore.
2. Interest cost has risen due to the loan borrowed for down stream projects.
3. The company has liquid assets in terms of cash or cash equal worth INR 1000 crore.
4. The company has total inventory of INR 54,000 tonnes.
5. Raw material and energy cost has increased.
6. Company's US plant will be fully operational in November or December.
7. It exports more than 90% of its output.
8. It is planning to invest INR 800 crore in 2008.