Siemens which posted 39 percent growth in net profits and 28 percent growth in revenues in the March ended quarter, interacted with CNBC-TV18 on Tuesday. Sunil Mathur, MD and CEO of Siemens, says the company's growth is closely tied with the industrial and infrastructure activities in the country.

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The company is an important part of India's growth story, especially in the ongoing railway capex cycle. The player bagged a large locomotives order worth Rs 26,000 crore in January 2023 for 10 years.

Siemens' performance in past two years has been positive and reflects India's growth story. Mathur says "We have good visibility for growth in next 3 to 6 months as orders continue to flow in". The company booked new orders of Rs 31,151 crore in the March ended quarter, which included 9000 HP locomotive project.

Though commodity prices are easing, Mathur does not expect the 12 to 13 percent margin range to sustain in the long term as the revenue mix will keep changing. The product segment is short cycle, versus project segment which is long cycle.

Speaking on the Rs 26,000 crore locomotives order, Mathur says every year specified number of locomotives have to be delivered for 10 years. Post which, there will be 35 years of its maintenance. This order will yield mid margins for the company.

"We are very focused on our mobility business, we are looking at more orders for Vande Bharat trains and metros". Mathur says "we are hungry for more and more and more".

The company also has operates in the power segment. It acknowledges that it receives payments on time and non receipt of payment is not a concern. The company is not directly exposed to power distribution companies, but is bidding to the Engineering, Power and Construction (EPC) companies and says it receives timely payments from EPC players.

Central government capex spending is strong, while private sector capex is yet to gain pace in the next one year. State government capex has not yet picked up to its true potential, but is expected to gain pace in the next 2 years, says Mathur.

Siemens stock is trading 1 percent higher on the exchanges at Tuesday noon and has gained 37 percent since the start of calendar year 2023.