CHENNAI: Murugappa Group's CG Power and Industrial Solutions Limited posted a profit after tax of Rs 355 crores, witnessing around a 100% increase from Rs 178 crores in Q2 of FY2023. The company's half-yearly profit after tax stood at Rs 547 crores, up 81% from Rs 302 crores in the same period last year.
Aggregate sales for the quarter were at Rs 1,900 crores recording a growth of 20% on a yearly basis from Rs 155 crores. Return on capital employed (ROCE, annualised) for the quarter was at 44%.
Margins were higher year-on-year on account of the execution of export orders with better margins
and lower finance cost, the company said in a statement. The order intake for the quarter was Rs 2,232 crores, a 22% growth (YoY) unexecuted order book at the end of the quarter was Rs 5,229 crores, 44% higher.
On the back of the strong demand, CG Power's board has approved an expansion of its three manufacturing units. It decided to expand the capacity of switch gears at the Nashik plant at the cost of Rs 155 crores and power transformers at the Bhopal plant at Rs 31 crores for the addition of 10,000 MVA capacity. It also decided to ramp up HT motors at Bhopal.
Consolidated net profit of CG Power and Industrial Solutions, including the performance of domestic and overseas subsidiaries stood at Rs 244 crores, 37% growth from Rs 178 crores in Q2 FY2023.