Sanghvi Movers eyes Rs360 cr revenue in FY11

Sanghvi Movers eyes Rs360 cr revenue in FY11

Mumbai: Crane leasing company Sanghvi Movers on Wednesday said the company is eyeing 20% growth in the next three years and Rs360 crore revenue by this fiscal on the back of growing power sector.

“With major power projects in the pipeline coupled with rise in windmills and refineries, we expect to clock 15-20% growth in next three-year," Sanghvi Movers chief managing director Chandrakant Sanghvi told the news agency.

The company expects a growth of over 5% in revenue this financial year at around Rs360 crore compared to Rs342 crore during 2009-10, he said.

The company has lined up a Rs300 crore capex for this financial year and around Rs150 crore is planned for 2012 fiscal for adding fleet of cranes, he said.

Sanghvi Movers has a fleet of 360 cranes and to keep up with the growing demand for crane rentals, the company is planning to add another 22 in the 400, 600 and 1,600 tonne category, of which four are already delivered, he said.

“We have placed orders for 10 cranes of 400 tonnes which will be used in windmills and power stations up to 300 MW, 600 tonnes machines will be used for power plant and refineries and for erection of refineries and this 1,600 tonne cranes will be used in refineries," he added.

Sanghvi Movers is spending over Rs750 crore for buying these 22 cranes and and 25 odd balancing cranes, he said.

Sanghvi said the company is booked heavily for the power sector, which presently contributed around 28% to the business.

“Looking at the growing order book in this segment which is expanding at a fast pace we anticipate that in two to three years time, 50% of our business will be from the power sector," he added.

Other sectors like windmill sector contributed 24% to the business, while cement 17%, refinery and gas 14%, sheet and metals 10% and metros and other industries 7%.

The company, he said, expects a huge demand for the 1,600 tonne machines, with lot of refinery projects coming up or in pipeline.

“This 1,600 tonne crane, which is used in highly specialised segment, can also be used for nuclear power plants," he added.

The company is also venturing into multi-axle trailers and has already placed orders of worth Rs70 crore for 200 axle line spread over a period between 12-month and 24-month starting next year.