Industrial gases producer BOC India has announced that its project engineering division has won 2 contracts worth Rs318bn from Steel Authority of India Ltd (SAIL) for the set-up of 2 air separation units.
In a communiqué informing the Bombay Stock Exchange, the company stated that the contracts are for the setting-up of 2 ASU’s at SAIL’s Rourkela Steel Plant and IISCO Steel Plant and the contracts are due to be executed over a period of 2-3 years.
The company has also revealed it has decided to change its accounting year from April – March to the calendar year, in order to align itself with that of its parent company. In view of this, the current accounting year for the company would be for the period of 9 months from April to 31st December.
BOC India has 2 divisions, gases and project engineering, with the gases division contributing around 90% of its turnover.
Recently released second quarter results have indicated a net profit decline of 40%, as profits fell from Rs118.40m in the quarter ended September 2006 to Rs70.80m in the quarter ended September 2007.
Net sales for the quarter declined 21.37% to Rs975.30m, while profit before tax also recorded a slump compared to the previous corresponding period.
Once again the gases division of the company performed stronger, as BOC India’s revenue from gases and related products rose 7% against the previous corresponding period and in contrast the project engineering division experienced a decline against the corresponding quarter.