Adventz group company Texmaco Rail & Engineering Ltd is pinning hopes on revival of its wagon business on the back of upcoming government contracts.
The city-based firm posted a net profit of Rs 12.8 crore in the quarter ended September as against Rs 8.3 crore loss in the corresponding quarter a year ago.
“Against the tender of Indian Railways for 22,258 wagons, the company is fairly placed to secure its share of business on finalisation of orders by Railways,” company officials said.
The demand for wagons from the private sector continued to remain buoyant, they said.
The first half of the year saw an unprecedented cost push due to steep rise in the prices of steel, MS scrap, graphite electrode and furnace oil, which impacted the company, the officials said.
Amalgamation of subsidiaries
Meanwhile, Texmaco Rail & Engineering has received approval from shareholders/creditors to the scheme of amalgamation of subsidiaries Bright Power Projects (India) Pvt Ltd and Texmaco Hitech Pvt Ltd, into and with the company, with effect from April 1, 2017.