Quality Power Electrical Equipments Clarifies on Government's Consideration of Easing Restrictions on Chinese Companies
Quality Power Electrical Equipments Limited has clarified its position regarding recent media reports and investor queries pertaining to the Government of India’s consideration of easing certain restrictions on Chinese companies bidding for government contracts, including within the electrical equipment sector. The company operates in highly specialised, technology-intensive segments of the power transmission equipment industry, and has reiterated several key points for the benefit of investors and stakeholders. These include a significant portion of dollar-denominated revenues, a consistent competitive track record with Chinese manufacturers, a strong order book visibility, a positive business outlook, and a robust manufacturing strength and cost position.
Key Highlights
- Revenue Profile: A significant portion of the Company’s revenues is largely dollar-denominated, providing natural diversification and insulation from domestic policy changes.
- Competitive Track Record: The Company has consistently competed with Chinese manufacturers for over three decades across domestic and international markets.
- Order Book Visibility: The Company’s current order book provides revenue visibility of more than one year, supported by a strong and active global bid pipeline.
- Business Outlook: The Company does not foresee any adverse impact on its growth strategy, revenues, or operating margins in the short to medium term.
- Manufacturing Strength and Cost Position: The Company’s Make in India manufacturing base serves both domestic and export markets.