Kolkata: Leading speciality steel producer and wire rope manufacturer Usha Martin Limited has embarked on a Rs2,100 crore expansion plan to ramp up capacity to one million tonne.
The capacity would go up to 700,000 tonne tonne from the present 325,000 tonne by November, company vice-chairman Prasant Jhawar told reporters here.
It posted a consolidated net profit of Rs175.38 crore during 2007-08 on a turnover of Rs2,527.67 crore, recording 28% growth, he said.
The company’s consolidated net profit during the last quarter of 2007-08 also increased to Rs50.52 crore from Rs39.29 crore registering an increase of 29%,
Of Rs2,100 crore, Usha Martin has already spent Rs800 crore on expansion and other work including adding up power plant capacity, development of coal mine, steel melting shop and blooming mill, Joint managing director P Bhattacharya said.
He said with all the facilities coming up within this fiscal, the company was expecting a positive growth in its business plan and eyeing a turnover of Rs3,500 crore.
The capacity would touch one million tonne by 2009-10, he said.
The company announced a dividend at the rate of 100% on the face value of Re 1 per share.
Asked about the imposition of export duty on steel, he said it would not have any positive impact. Usha Martin exports 30,000 tonne of wire rod annually, which attract export duty, he said.