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| Edited By: G Seetharaman |Source: DNA |Updated: Mar 30, 2018, 02:27 AM IST
Jain Irrigation Systems is planning to expand the capacities at its three micro irrigation system (MIS) plants next fiscal at a cost of Rs 150 crore, said managing director Anil Jain.
Apart from its base in Jalgaon, Maharashtra, the company has facilities in Hyderabad and Udumelpet in Tamil Nadu.
“The capacity addition will be to increase our revenue potential by
40%,” Jain said, adding, it is difficult to measure the MIS capacity.
MIS, which involves drip and sprinkler irrigation, contributes 65% to the company’s topline, food processing 25% and piping 10%.
The MIS segment registered a growth of about 28% in the third quarter. It grew at 54% in 2008-09.
“We will be spending $10 million on capacity addition at our overseas plants too,” Jain said.
Jain Irrigation has two subsidiaries in the US and Israel.
The company will also spend about Rs 100 crore on food processing and piping.
“We are increasing the capacity at our food processing facilities in Jalgaon and Chitoor in Andhra Pradesh from 30,000 to 1,50,000 tonnes per annum,” Jain said. Jain Irrigation processes fruits like mango, banana, guava, papaya and pomegranate.
The company has unexecuted orders worth Rs 592 crore. It is looking to grow its topline and bottomline this fiscal by about 25% and 30% respectively.
For the quarter ended December 31, the company’s total income rose to Rs 640.97 crore from Rs 537.70 crore in the same period last fiscal. Its net profit rose from Rs 55.64 crore to Rs 57.36 crore.
