New Delhi: Power equipment maker Bharat Heavy Electricals Ltd (Bhel) has now set its eyes on achieving a turnover of $10 billion ( Rs 45,000 crore) by 2012, growing at a 20% rate annually.
The company has unveiled a ‘Strategic Plan 2012’, which focuses on a 20% sustainable profitable growth over the next five years, especially in the power plant equipment industry, which constitutes a major part of its business.
The engineering major has surpassed its targets set for fiscal 2006-07 by more than Rs6,000 crore to Rs18,702 crore.
Bhel plans to achieve 10,000 mw manufacturing capacity by this year-end and has lined up a Rs3,200 crore outlay to reach 15,000 mw per year capacity by the Eleventh plan.
The growth plan would be driven by capacity enhancement in the company’s core area of power, supported by its industry, transportation, transmission, exports and spares and services business, it said in statement.
The company has already taken up various initiatives at its Bhopal and Hyderabad plants.
With its current order book standing at over $ 1 billion, Bhel also expects a seven-fold increase in its exports. The engineering major said it would pursue its global ambitions through the mergers and acquisitions route in the international market.
Spares and services business would be the second area of thrust, where Bhel expects a four-fold increase in revenues.
Focusing on innovations, Bhel seeks to increase its Research and Development spend by six times, to about Rs1,428 crore from the present Rs238 crore.