Business & Investment

Welspun India Records 600Cr Capital Expenditure This Year

House Textile major Welspun India has allocated a capital expenditure of Rs 600 in the ongoing fiscal year for completion. Extension project According to the company’s annual report for 2020-21, it covers three business areas. The company expects its top line to grow by more than 15% in 2010 against the backdrop of increased production capacity and continued strong customer demand.

In a discussion and analysis of the report, the company’s management said, “The flooring, advanced textile and home textile business expansion projects that were in different stages in 2009 are expected to be completed in 2010.” ..

“Capital investment in 2010 to complete these projects is expected to be around Rs. 6 billion,” he said.

In his speech to the shareholders of the company, BK Goenka, Chairman of the Welspan Group, said: Welspun India embarks on a low-capital capacity expansion to meet growing demand.

“To meet demand, the Vapi and Anjar plants went into operation at peak capacity in FY2009. As demand continues to grow, we will expand production capacity by eliminating bottlenecks and rebalancing at both plants. This will increase our production capacity for towels, bed linen, rugs and carpets, “says Goenka.

He added, “We plan to make a capital investment of around Rs. 22.5 billion in FY2009 and FY2010, and profits will be generated from the first quarter of FY2010 at the earliest.”

In the home textile segment, the company’s annual production capacity is 80,000 MT for bath linen, 90 million meters for bed linen and 10 million square meters for rugs and carpets. According to the annual report, these capacity utilization rates were 88%, 77% and 82% in FY2009, respectively.

For advanced textiles, Spunlance had an annual occupancy rate of 10,000 tonnes and last year’s occupancy rate of 92%. The same was true for needle punches, where the utilization rate was 34% and 3,000 MT, while the wet wipe utilization rate was 75 million packs and the utilization rate was 28%.

Welspun India said in the field of flooring, the expected annual capacity of full capital investment in soft flooring is 16.3 million square meters and in the hard flooring segment it is 10.7 million square meters.

“The company’s top line is expected to grow by more than 15% in 2010 (more than 10% for home textiles, more than 125% for flooring, advanced textiles, as capacity expansion and customer demand continue to be strong. Is over 50%), ”says the annual report.

Welspun India CEO and co-MD Dipali Goenka said: In her speech, she said the COVID-19 pandemic caused a lot of confusion and uncertainty that affected every aspect of life.

As for the outlook, “Given the recurring waves of pandemics, our external environment remains uncertain. Acting resiliently and adapting to change is the only way forward. We understand that there is. “

Source: PTI

(The story is published from the wire feed without changing the text, only the headline has changed)

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Welspun India Records 600Cr Capital Expenditure This Year Welspun India Records 600Cr Capital Expenditure This Year

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