Transport infrastructure company RITES Ltd has been working to increase its order book during the current fiscal year and targets it to grow in double digits in FY22.

Speaking to CNBC-TV18, Rajeev Mehrotra, CMD of Rites said that the current order book gave the company confidence to target double-digit growth in FY22.

“We are hopeful that FY21 we may end either flat or with a moderate growth over last year. But during this period we did a lot of work to add to our order book. The order book at the beginning of H2 was Rs 6,661 crore which has given us a lot of confidence to target double-digit growth in FY21-22,” he said.

According to Mehrotra, a major recovery in FY21 will come from exports.

“We hope to do exports alone of about Rs 500-600 crore which are broadly on stream as planned. We may start shipments from February onwards. So I think major recovery for FY21 to come from exports which are going ahead as planned,” he said.

He added that Rites will maintain margin at current levels of 32 and 35 percent in FY21 and FY22. On revenues, Mehrotra is expecting to see a growth of 15-20 percent for FY22.

He said that they are expecting an increase in investments in railway and metro in the upcoming union budget.

“I am optimistic about FY21-22 because we are expecting an increase in investments in railways. Government has been increasing their allocation by 13-15 percent last 2-3 years and we are hopeful that investments may be increased in Budget for railway sector, metros, urban development, highways, and airports,” he said.

(Edited by : Ankit Gohel)