HG Infra Engineering Ltd, a leading player in the road construction sector, on Wednesday said it expects Rs 785 crore of new orders from the Indian Railways.
This comes after HG Infra has been declared as the lowest bidder for Rs 714 crore project from IRCON International. The project is for earthwork for railway formation in Chhattisgarh and will be executed over 30 months.
In an interview to CNBC-TV18, Harendra Singh, chairman and managing director, said the company has been looking for projects for diversification as railway projects yields the same profit margins that we were making in the highway projects.
Singh said the company has an entire order of highways only, "It was Rs 6,444 crore at the start of Q3. Now with this addition, it is Rs 185 crore of new order in railways."
The company has also bided for more EPC and HAM projects in roadways, he said, “We are looking at about Rs 3,000-4,000 crore orders to be procured within this financial year,” he said.
Singh said they are not looking at too many private projects as the company already has large projects in the area.