Separated Triveni Turbine debuts on premier bourses
Triveni Turbine, a steam turbine business spun off from listed firm Triveni Engineering & Industries, made its debut on premier stock bourses.
By ET Bureau | Updated:
MUMBAI: Triveni Turbine, a steam turbine business spun off from listed firm Triveni Engineering & Industries (TEIL), on Friday made its debut on premier stock bourses.
Shares of Triveni Turbine swung in intra-day trade in a range between 45 and 30, before ending the day at 37.70, on the BSE. The turbine entity reported a quarterly revenue of 169 crore for the quarter ended June 2011, with a profit after tax of 21 crore. On the other hand, TEIL earned 418-crore revenue, but at a net loss of 21 crore.
"Even under the current economic situation, the turbine business has achieved a modest increase of 11.5% in turnover and 3.3% in PBIT during the half year. On account of current macro economic factors... we have seen some delays in Capex decisions coupled with some rescheduling of deliveries of turbines," said Dhruv M Sawhney, CMD, Triveni Turbine.
For the year ended March 2011, while TTL earned 320 crore at a net loss of 7 crore, the parent company earned 2,263 crore at a net profit of 90 crore, according to disclosures made to thebourses. TTL's order book stands at 551 crore. "We have got good orders from the steel, cement and biomass industry," Sawhney added.
A dealer at a large domestic broking firm said, "Triveni Engineering, which also has a sugar production business, wanted the turbine business to be treated separately, because of cyclical nature of both industries. Hence, it demerged TTL and listed it separately." On the eve of its debut, the board of Triveni Turbine recommended an interim dividend of 25 paise on 1 face value.
Shares of Triveni Turbine swung in intra-day trade in a range between 45 and 30, before ending the day at 37.70, on the BSE. The turbine entity reported a quarterly revenue of 169 crore for the quarter ended June 2011, with a profit after tax of 21 crore. On the other hand, TEIL earned 418-crore revenue, but at a net loss of 21 crore.
"Even under the current economic situation, the turbine business has achieved a modest increase of 11.5% in turnover and 3.3% in PBIT during the half year. On account of current macro economic factors... we have seen some delays in Capex decisions coupled with some rescheduling of deliveries of turbines," said Dhruv M Sawhney, CMD, Triveni Turbine.
For the year ended March 2011, while TTL earned 320 crore at a net loss of 7 crore, the parent company earned 2,263 crore at a net profit of 90 crore, according to disclosures made to thebourses. TTL's order book stands at 551 crore. "We have got good orders from the steel, cement and biomass industry," Sawhney added.
A dealer at a large domestic broking firm said, "Triveni Engineering, which also has a sugar production business, wanted the turbine business to be treated separately, because of cyclical nature of both industries. Hence, it demerged TTL and listed it separately." On the eve of its debut, the board of Triveni Turbine recommended an interim dividend of 25 paise on 1 face value.
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