Texmaco’s net profit up 39 percent in Q1

Kolkata, July 27 (IANS) Wagon-maker Texmaco posted a net profit of Rs.28.89 crore for the first quarter (April-June) of 2010-11 against Rs.20.85 crore posted during the corresponding quarter of the previous year, a company statement said here Tuesday.

The net profit was up by 39 percent.

Its sales during the quarter grew at a modest level of 11 percent due to lower business received from its key customer, the Indian Railways, the company said.

‘The company would have clocked up an appreciably higher income if it were not for the abnormal delay in the release of Indian Railway wagon orders,’ it said.

‘The management does hope now that the orders would be placed on the industry shortly. This will enable the company to show improved performance and significantly better results during the second half of the year.’

In the wake of the various schemes announced recently by the Indian Railways to enhance its freight operations, the company expects generation of substantial wagon orders, the statement added.

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