MoHUA Spells out FY20 Targets for NBCC, Signs MoU
Sales turnover of NBCC has been fixed at Rs. 9,500 crore and operating profit has been targeted at 5% of revenue from operations (net). PAT has been targeted as 27% of Average Net Worth
June 03, 2019
Ministry of Housing and Urban Affairs (MoHUA) has spelt out new targets for NBCC for the financial year 2019-20. The Navratna PSU signed MoU with the ministry on May 3, 2019. The signed MoU outlines performance targets for the Company based on various financial parameters, dynamic parameters, sector-specific and enterprise-specific parameters. Sales turnover of the company has been fixed at Rs. 9,500 Cr and operating profit has been targeted at 5% of revenue from operations (net). Profit After Tax (PAT) has been targeted as 27% of Average Net Worth.
The MoU has been signed by Durga Shanker Mishra, IAS, Secretary (HUA) on behalf of the MoHUA and Shiv Das Meena, CMD, NBCC. Senior Executives from the Ministry and NBCC were also present on the occasion.
Focus on Project Completion
The MoU has laid specific emphasis on achieving set parameters with respect to the completion of projects above Rs. 150 Cr without time overrun. Among other additional parameters significant to the MoU, include new order book target, return from three subsidiaries of the company, Human Resource Management and procurement of a large number of overseas orders.
“Delivery will enhance brand-value”
Giving broad outlook to the Company’s future operations and growth scale, CMD, NBCC Meena said that NBCC is aggressively focusing upon project implementation to convert the projects in-hand into deliverables, thereby enhancing its brand value. Capitalising on new market opportunities by strengthening its core competencies, pursuing high-value projects in domestic and overseas markets and diversifying into new areas of operation, NBCC is poised to achieve enviable heights this year onwards.
During the FY18-19, NBCC (India) Ltd. has registered a turnover of Rs. 7,141.60 crore (21.63% growth over the previous year) and net profit of Rs. 384.11 crore (an increase of 15.14% over the previous year).