Manufacturing business in 2015-16 increased its top line (including repairs) by 52% yoy and this business generates a steady 20-21% contribution to sales. In the current year 2016-17, the Company is expecting a growth of around 40% over that of 2015-16.The Company is focusing to grab more business from Government organizations Central/State PSUs. .
Logistics business in 2015-16 has recorded 21% growth yoy, but its contribution is a serious threat for the street-fight competition faced by this SBU. We have around 62 vehicles/prime movers and 84 carriage units in possession, but our usage has been 70%. Many of the vehicles are out of use owing to accident, age, etc. The Company has planned to spend some money on repairs and maintenance of its own vehicles to increase utilization of its own vehicles, whereby the margin on revenue will rise.
Leasing business in 2015-16, has shown a negative growth of 13%. In the given circumstances where the average age of the container is 10-12 years, getting new business is tough. The Company has a plan of replacing the old vehicles with the new ones.