India's leading rail mobility solutions provider Titagarh Rail Systems plans to raise its production capacity to 1000 wagons per month by the end of this financial year. Currently, it is operating at a capacity of 600-700 wagons per month. The decision to expand production capacity comes as the company continues to secure orders and expand its presence in the market, including the domestic (Indian Railways) as well as exports.

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Kolkata-based Titagarh Rail, previously known as Titagarh Wagons Ltd, is a prominent Indian rolling stock manufacturer operating within the private sector. Founded in 1997, this listed company is traded on both BSE and the National Stock Exchange (NSE).

The rail mobile solutions include Freight Wagons, Semi High-Speed Trains, Metros, Transit and Propulsion Systems, as well as Passenger Coaches. These products cater to the needs of the Indian Railways and are also exported to international markets.

Umesh Chowdhary, Vice Chairman and Managing Director, Titagarh Rail Systems, in an interview with CNBC-TV18, said; “On an average, we are maintaining a run rate between 600 and 700 wagons per month, and we are looking at scaling it up from the month of October and then gradually ramping it up to 1,000 by the end of this financial year.”

As a key player in the rail manufacturing sector, Titagarh is also known for innovative solutions and quality products. With this expansion, the company aims to further strengthen its position as a leading provider of rail systems and rolling stock.

The company announced a remarkable financial performance in the first quarter of FY24. Revenues exhibited substantial growth, surging by 111 percent year-on-year, reaching Rs 911 crore, compared to Rs 432 crore in the corresponding period last year. Net profits also demonstrated a robust increase, escalating by 179 percent to Rs 62 crore, as opposed to Rs 22 crore recorded in the same quarter of the prior year. Furthermore, EBITDA or operational profit grew by 164 percent to Rs 106 crore, up from Rs 40 crore in the same quarter of the previous year. Consequently, the profit margins also saw an uptick, rising from 9.3 percent to 11.6 percent.

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(Edited by : C H Unnikrishnan)

First Published:Sept 8, 2023 3:34 PM IST