Cimmco Ltd

The company is engaged in manufacturing and selling of railway wagons and heavy engineering products. A private sector company, the financial performance of the company is a direct reflection of the working of Indian Railways – orders are delayed and so are payments – in most cases prices have become unremunerative due to intense competition. And these are precisely the reasons why this company is making losses.

The company has ended Q4FY15 with a 56% (YoY) drop in net sales at Rs.23 crore and after costs coming in at Rs.25 crore, it ended the quarter with a net loss of Rs.4 crore v/s net profit of Rs.5 lakh in Q4FY14 and net loss of Rs.9 crore in Q3FY15. The loss-making trend continues into the entire fiscal and it ended FY15 with a net loss of Rs.26 crore v/s loss of Rs.12 crore in FY14.