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Hi-Tech Gears aims 18% revenue jump in FY11

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Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 4:14 AM IST

Auto component-maker Hi-Tech Gears today said it expects total revenue to increase by about 18 per cent to around Rs 460 crore during this financial year on robust demand from global firms.

To meet the growing demand, the company is setting up its sixth facility at Bhiwadi, in Rajasthan, which will be commissioned by the end of this fiscal.

"There are talks happening with many companies and we are expecting new customers for our products," Hi-Tech Gears Chairman Deep Kapuria told PTI.

When asked how much the company expects turnover to grow with the addition of new business, he said: "Our target is to have a revenue of Rs 460 crore this fiscal... It was about Rs 390 crore in 2009-10."

The company currently supplies transmissions to many global firms, including General Motors, Caterpillar and Cummins, he added.

Kapuria said the company will start supplying to one of its new customers -- JCB -- very soon.

The company also supplies transmissions to some domestic firms like Hero Honda, Tata Cummins and New Holland, he said.

"We sell 2.5 million units to Hero Honda every year, which is more than half of its total production," he added.

Besides domestic sales, the company also expects exports to grow and contribute about 25 per cent to total sales, he added.

"We are looking at expanding our export markets, mainly to the Latin American nations. Earlier we tried in Brazil and are also considering Mexico," he said.

On expanding capacity, Kapuria said the company is investing Rs 50 crore to set up a new greenfield facility at Bhiwadi.

"The construction is going on at full swing and the plant will start production around the fourth quarter of this fiscal," he added.

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First Published: Aug 11 2010 | 4:55 PM IST

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