Braithwaite was established in Kolkata, India in 1913, subsequently nationalized in 1976 as a fully owned Govt. of India Undertaking, currently under administrative control of Ministry of Railways. Its product range includes manufacture of railway rolling stock, repairing / retro fitment of old rolling stock, manufacture of sub-assemblies of wagon components, O & M of Railway Workshop, structural steel bridges including civil jobs.
As regards financial performance history of the Company, Braithwaite was under the purview of BIFR / BRPSE during the period 1992 to 2006. The business hovered in the range of Rs 120 Cr. – Rs. 150 Cr. from 2014-15 to 2017-18. Subsequently, a change in leadership catapulted the Company, and the Company shifted its Revenue generation strategy from core manufacturing sector to service sector & new verticals like Wagon repairs at Railway Sites, Retrofitment of twin pipes, Subassembly of wagon components, O & M of Workshop, Crane services& AMC, Bridge Construction & Civil projects, Ship repairs etc. Since then, Braithwaite grew w.r.t. performance achieving highest ever sales & profit in 2020-21.
During the FY 2021-22 till December 2021, Braithwaite has achieved a turnover of Rs 488.41 Cr and striving to close the FY 2021-22 with Rs. 700 Cr. turnover (15% growth over previous FY), ignoring the pandemic impacts.
Grant of Miniratna:
On consideration of performance, Ministry of Railways conferred “Miniratna Category I” status on Braithwaite & Co. Limited vide its letter on 11.01.2022 (Copy enclosed).
“Miniratna Category I” status- Benefits & Advantages
- Braithwaite has already initiated capital investment for various verticals/diversification of business viz. container manufacturing, resumption of civil construction / bridge girder and design & development of state-of-the-art new wagons. The Board of Braithwaite will be able to take further decisions for capital investment and to enter into technology joint ventures, strategic alliances as well as to obtain technology & know-how by purchase or other arrangements.
- The Status will facilitate Braithwaite to structure and implement schemes relating to personnel & human resource management, training, voluntary/compulsory retirement schemes etc.
- Only Maharatna, Navratna and Miniratna CPSEs are permitted to invest in debt based schemes of SEBI regulated public sector mutual funds. This can now be exploited by Braithwaite for proper utilization of idle funds.
- Braithwaite will be in advantageous position in respect of business opportunities, attraction of quality vendors, attraction of experienced / talented manpower, and competitive input cost of material etc.
In a nutshell, Miniratna (Category I) status will improve credit worthiness, credibility and reputation, brand image of the Company.
Human resource dimensions:
HR functions were re-aligned with corporate objectives and important policies suitably modified, focussing on training and development, career advancement, employment generation and skill training. Stress was given upon staff morale, motivation and welfare, catalysing productivity and created an environment of reduced dissatisfaction and grievances. Human Resource Management provided simulated allegiance in pursuit of excellence and growth of the organization.
Pay revision for all categories of employees implemented as per latest DPE guidelines that propelled the inertia affecting financial, psychological health of employees and productivity. The salary growth over last three years is overall 80% for executives and 60% for unionized employees respectively.
There has been reduction in overhead cost vis-à-vis sales from 33% in 2017-18 to only 8.64% at present, in spite of implementation of Pay revision, a contentious issue even a few years back. Management ensured employees’ health and safety during Covid-19 pandemic and extended various benefits to the employees to tide over the crisis, and there had been no loss of employment and pay of any of the employees.
Future Outlook….Marching Ahead
- The Company has shifted its Revenue generation from core manufacturing sector to service sector & new verticals and aims to make the ratio 50:50 in near future.
- Continue developing new state-of-the-art design wagons, as Braithwaite is recognized as Prototype-HUB by Govt. of India, Partnering RDSO in Design & Development of new Freight Car.
- Pay out of Dividend to shareholdersw.e.f FY 2021-22, for the first time in history.
- Railway Ministry has entrusted Braithwaite to manufacture containers, in its endeavour for “ATMANIRBHAR BHARAT ABHIYAN”. Already initiated Container manufacturing, aiming to become a Container Manufacturing Hub in future.
- Set up Welding Training Centre at its premises for skill enhancement with plans to expand across India.
- Re-building expertise inCivil Construction & fabrication of steel bridges.
- Envisages being a Single Point Solution Provider, w.r.t. Crane handling and services.
- Company envisages upgrading itself, from “Schedule B” to “Schedule A”.
Braithwaite aims to sustain its growth momentum and endeavours to achieve turnover of Rs 2500 Cr. by FY 2025-26 and desires to be a listed company by FY 2025-26.