City-based Thejo Engineering Ltd., (Thejo), an engineering solution provider to the crore sector, has embarked on a ₹70 crore expansion plan.
“We have expanded our existing manufacturing facility in Chennai at a cost of ₹45 crore taking the annual production capacity of moulded products from 2,400 tonnes to 3,600 tonnes,” said M.D. Ravikanth, CFO, in an interaction.
Thejo caters to core sector industries such as steel, mining, power and ports. In Ponneri, the expanded facility will produce rubber screens, mill liners, diaphragms, shell lifter bars, pinch valves, splicing kits and rubber sheets.
“Trial runs are on and commercial production will commence soon. The expansion has been done to take Thejo to the next phase of growth,” he said.
Thejo group has five facilities in Chennai, two in Australia, one in Saudi Arabia and warehouses in Chile and Brazil. It has distributor networks in the UAE and Africa and is in the process of establishing one in Europe.
“The expansion work at Australia has been moved to a new facility. The ₹25 crore expansion work at Saudi Arabia will start soon. The project costs will be met through internal accruals and borrowings,” he said.
In FY22, Thejo posted a consolidated turnover of ₹424 crore and net profit of ₹38 crore. “About 56% of our revenue came from services and 44% from products. Indian customers accounted for 54% of income,” said V.A. George, chairman.
The expanded facility in Chennai was inaugurated on Friday by CII National Council president designate R. Dinesh, in the presence of SBI Deputy MD Gulshan Malik, Australian Consulate Deputy Consul General David Eggleston and Prof. Anand Narasimhan.
Published - March 25, 2023 09:18 pm IST
