TCIL is targeting revenues of Rs. 2,000 crore in FY2019-20, a jump of 25 percent vis-a-vis FY2018-19.
The company has done extremely well in FY2018-19 and has clocked revenues of Rs. 1,600 crore, a jump of 27 percent in comparison to FY2017-18 thanks to the leadership of CMD A Seshagiri Rao.
The increase in revenue forecast for FY2019-20 is due to strong order in hand and its diversification strategy. The company has around Rs. 10,000 crore order in hand and this is bound to increase by end-March 2020.
TCIL Revenues (In Rs. Crore):
FY2015-16 – 1,358
FY2016-17 – 1,205
FY2017-18 – 1,261
FY2018-19 – 1,600
FY2019-20 – 2,000*
* stands for estimated revenues
Source: TCIL, DigiAnalysys
Speaking about TCIL’s diversification strategy, A Seshagiri Rao, CMD, TCIL said, “TCIL’s diversification strategy is two pronged and is focused on new geographies as well as new verticals. On the geography front, the company has opened an office in the US and is targeting Sprint, Verizon and AT&T for 5G and IT projects. In terms of new verticals, the company is looking at training and capacity building in a big way where focus is on training professionals on new technologies like cyber security and others for both domestic and international market. The company is also looking at railway signalling in a big way and is geared up to bag signalling projects from Indian Railways. Smart cities is one more vertical, that the company is eyeing and is planning to close FY2019-20 with around 10 projects.”
For state governments, the company is looking at smart health, smart education and smart transportation for Himachal Pradesh, Madhya Pradesh and Uttar Pradesh and IT based projects for universities/colleges added Rao.
Talking about orders in hand, A Seshagiri Rao said, “The company has bagged OFC work from BBNL for BharatNet Phase 2 in states of Andhra Pradesh, Telangana and Uttarakhand and also done some consultancy work. The combined order value of BharatNet projects is around Rs. 2,000 crore.”
The scope of work for BharatNet projects includes laying of Optical Fibre Cable underground and aerial including site survey, planning, procurement, design, implementation network at talukas and gram panchayats as well as operations & maintenance of the network.
“The company has also bagged a large order from BSNL for connecting the unconnected villages in North East and Jammu & Kashmir and also doing converged billing solution for BSNL,” said A Seshagiri Rao.
To execute this large order, the company is also going regional and opening offices in all zones – North, South, East and West. Not only this, the focus is also on timely execution of projects and bagging new orders from state governments and other agencies.