Construction and power equipment firm Greaves Ltd. said on Tuesday it had entered into three overseas partnerships in road-making gear as part of efforts to swing back into profit.
Company officials told reporters that the Greaves will distribute and service machines in India made by concrete paver firm GOMACO Corp of the US, piling machine maker SOILMEC SpA of Italy and Extec Industries Ltd of Britain, which makes crushers.
The three overseas partners are privately held firms.
Chief executive Praveen Sachdev said construction equipment accounts for 20 per cent of Greaves's revenues and the company was banking future profits on an ambitious Indian highway project.
"With all the action, we are already on a turnaround," said Sachdev, but he declined to give financial details.
He said the company's diversification into plastics had led to losses but gross margins had now improved. The plastics business is being wound up.
Greaves reported a net loss of Rs 2.8 million in its first quarter to September, compared with a profit of Rs 28.2 million in the same quarter of 2001.
Total income rose in the first quarter to Rs 1.37 billion from 1.35 billion a year earlier.
Greaves's shares were trading at Rs 9 around 1027 GMT on the Bombay Stock Exchange, down 3.74 per cent from the previous close, while the benchmark 30-share index was down 0.5 per cent.