In an interview to CNBC-TV18, Mr Dheeraj Garg MD of Steel Strips Wheels said that the company’s top-line will grow by close to 60% this year. He added that “We should see a strong double digit growth going forward, in the next three to five years.”
Below is the edited transcript of his interview on CNBC-TV18.
Q - We understand that you have achieved the highest monthly sales and also highest production in the month of December. Could you take us through which segment, whether its trucks or tractors, has seen the maximum traction in terms of sales?
A - Since the start up in Jamshedpur, we have been ramping up truck wheel production. So that has contributed quite significant amount of numbers in this growth.
Also, the tractor industry is doing very well. We are getting bigger market share in the whole industry, but that has helped us clock a good growth in this segment.
On the passenger car segment, the industry per se is not growing as much as you would have liked it to, but we are making up for the lack of domestic growth through exports.
Our export is primarily in the passenger car segment. So, we did about 20% growth over the last year. We are on track to achieving our target in the export market.
Q - How soon before you can hit that 10 lakh mark in your steel wheel rims segment and even with respect to production?
A - In March for sure. We have order position book so far that we should be able to achieve one million wheels in March. I think January itself should see better number than December. So, we are progressing towards million wheels in this financial year.
Q - You have just begun your exports to Audi. Can you take us through what kind of an addition do you see to your top line maybe with the time respect of three to five years?
A -In terms of our top-line, it is very difficult to predict the size. But I can only tell you that this year we will grow by close to 60%. With the projects in hand, we should be doing similar growth rate next year primarily on the back of increase utilization of our truck line in Jamshedpur and also our increase expansion that is underway will be over by March this year. So, we should see a strong double digit growth going forward, in the next three to five years.
So far as exports are concerned, I think exports are growing about 70-80% year. I think that continues for the next three years.
Source - CNBC-TV18
