KOLKATA : Andrew Yule & Company Ltd (AYCL) has revived two of its erstwhile successful business verticals — industrial air pollution control and water treatment — to double its topline value in four years. As the state-run tea-to-engineering-to-electrical major reached its optimum level of revenue generation in the tea business, it has now set its sights on big government-run pollution control projects and started strengthening engineering and electrical verticals.
Currently, tea has a 55% share in the central PSU's turnover, while engineering-electrical segment earns another 45%. "We have revived our pollution control verticals after 20 years and bagged a few orders, too. Once the credential is back, we will go for big turnkey projects under the central government's flagship programmes like Swachh Bharat Abhiyan, Namami Ganga Project, Nirmal Bharat Abhiyan, etc. If all goes as per our plan, this vertical will give around 60% turnover for us in the next four years," Sunil Munshi, CMD of AYCL, told TOI. AYCL will also bid for new orders for making transformers for 132 KV power substations in India. In four years, the 153-year-old PSU aims at over 200% boost to its engineering-electrical sales revenue from Rs 193 crore to Rs 400 crore. For this, AYCL is expanding its Chennai plant's shop area.
In 2016-17, AYCL has posted a revenue of Rs 398 crore against Rs 357.59 registered in 2015-16. The FY'17 profit after tax (PAT) jumped manifold to Rs 27.38 crore from Rs 8.35 crore a year ago after the AYCL received a one-time settlement from NHAI through land sales in Assam. The AYCL board has decided to give dividend to its shareholders this year — the second time in 23 years — subject to the AGM nod in September.
"Although the tea business will remain our area of focus, we have reached the highest point of production from our 15 tea estates across Assam (10) and Bengal (5). As a PSU, we have to go through a long process for buying a new garden. We also need to comply with environmental parameters like PPC, MRL and FSSAI," added Munshi.