In the coming five years, Pune-based Kalyani Forge
would deploy around Rs 200 crore on upgrading its current facility and key areas of operations.
The Pune-based maker of precision forgings would use part of the investment for low-cost automation to increase productivity. It is learnt that the firm has a lot of underutilised capacity currently.
The current capacity utilisation is just 55 per cent which we intend to take up to 75 per cent in the next two-three years, reports indicate.
The firm manufactures connecting rods, gears, axles and other forged components through its manufacturing facility with an installed capacity of about 25,000 tonne.
He said the company is eyeing Rs 300 crore revenue this fiscal up from Rs 260 crore in 2012-13, and new clients, especially the overseas original equipment makers, and an increased business from non-auto segments, to drive growth.
The company is reducing its reliance on the auto segment, which today accounts for 75 per cent of its business, and envisages non-auto segment share growing to 40 per cent in the next five years, reports indicate.
The company hopes bright business prospect for forgings for engines used in marine, power generators and agriculture implements as well as oil and gas sector.
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