Ramco will continue to focus on growth in emerging Markets - CNBC Interviews Mr. Kamesh Ramamoorthy, COO
Q: Could you give us more details about the entire deal? Could you disclose the amount that you have bagged in for the order? Within what time frame could this pan out?
A: This deal is with the Malaysian aerospace, GMR combined entity for their airframe maintenance, repair and overhaul (MRO). We have established products for this which is running for the customers all over the world. It is one of the best in the world offerings and caters to all their maintenance, repair and overhaul functional activities. This is a centrepiece of their business operation. We have already started implementation of this product and this would go live in the first phase by April and the last phase by June of this year.
Q: What is the total quantum of this order?
A: We are sworn to confidentiality with the customers and hence cannot talk about the quantum of the order. But, this is a main centrepiece of the operations.
Q: We would want to know the significant of this order for the company. So, could you tell us how large this order is, at least compared to your current order book? Also where does your current order book stand?
A: It would be in the top 10% to 15% of our size of orders.
Q: What would your consolidated order book now stand at?
A: It is very difficult to give a consolidation as the order book itself does not have any meaning. To realise the full value of orders, it takes several months. It would not make sense if I give you an order book number. Our first two performance are at around USD 20 million, which is 17% up over the last year same time. The order book could also be roughly around that number.
Q: If we break up the geographies, more than 52% of your revenue generally comes from the Indian markets. Your percentage of revenue is growing quite a bit in the other markets like middle-east, North Africa, etc. Which geographies look the most promising and where you expect to get some more leeway on the upside?
A: Our focus for last one year has been on the emerging markets. India has been a growing market and hence our economy is growing well on that front. But, in middle-east and north of Africa, we are doing quite well as the markets have opened up recently. We have very strong offerings in government funds management, government resource planning and so on. With the strong products, we have got some very big breakthrough orders last year and have consolidated it this year.
Q: Would you be profitable this year as in FY10 and FY09 you posted a loss? What would your profit figure roughly stand out for this fiscal?
A: I cannot talk about the profit figure of the entire year. But if we take the first half, we have broken even and done quite well. We hope to continue the same for the nextÂ two quarters.
Q: You spoke about the orders that you bagged. What are the big orders that one can wait for in the nextÂ three orÂ four months' time?
A: In the beginning of this year, we have got a big order from Ministry of Finance in Sudan. We are talking to their associated ministries so that we can rollout the same soft-tech to all the ministries.
Click the below link to watch the video