HTL steps up modernisation

By Our Corporate Reporter

CHENNAI, OCT. 4. Thanks to concerted efforts and innovative strategies, HTL, a central public sector enterprise, which had earlier depended on a single product, namely teleprinter, could achieve continuous growth year after year amidst many constraints and challenges from multinational and private companies, said Ms. Lakshmi G. Menon, Chairman and Managing Director, at a press conference here today.

The new culture has brought in enhanced quality and productivity in manufacture and services, converted the company into a customer-oriented entity that could supply products in the realm of cutting-edge technologies. The Government has now decided to sell 74 per cent of its holding in HTL to a strategic partner (instead of 50 per cent announced earlier). Further steps in this direction have already been initiated and a clear picture would emerge in the current year, Ms. Menon said.

The company had a turnover and other income of Rs. 450.98 crores in 1999-2000 against Rs. 358.85 crores in the previous year, a growth of 26 per cent. There was a sizeable increase in the production of switching equipment (C-DoT as well as EWSD) of 1.36 million lines from 8.30 lakh lines in 1998-99. Mechanical products supplied by the company rose to 2.46 million (valued at Rs. 63.31 crores) lines from 2 million lines (Rs. 47.29 crores). Revenue from new products, managed leased data network (MLDN), digital loop carrier (DLC) and internet access nodes (IAN) amounted to Rs. 18 crores. The order book position now stood at Rs. 600 crores.

The profit before tax has increased by 142 per cent to Rs. 20.67 crores from Rs. 8.50 crores. The profit after tax doubled to Rs. 12.45 crores from Rs. 6.83 crores. A dividend of Rs. 90 lakhs has been declared at the annual general meeting held on September 29.

During the year, the company plans to manufacture and supply modern equipment such as wireless in local loop (WLL), synchronous digital hierarchy (SDH) and Tax-XL. It has supplied 42 digital loop carrier systems to MTNL for deployment in Delhi and Mumbai, which will provide connectivity to 12,000 subscribers. HTL has undertaken the development of asymmetrical digital subscriber line (ADSL) which allows audio, video and data access through normal telephone cables. It has undertaken the development of ADSL modems, as part of the effort by R & D council formed by DoT with HTL, ITI, BEL and HCL. The company plans to invest about Rs. 12 crores for modernisation and expansion in the current year.

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