There was a major drop in sales of both RPG Cables and its 100 percent
subsidiary, Concepta Cables. The turnover of RPG Cables dropped to Rs 170 crore
from the previous year’s Rs 264 crore, and that of Concepta Cables declined
from Rs 97 crore to Rs 66 crore. This decline can be attributed to the fierce
competition in the copper cable segment and lack of any big OFC orders. Major
orders came from private operators like Bharti, Tata Teleservices, Hughes
Tele.com, Reliance and Fascel. The company also did good business in the cable
TV segment, supplying OFC to Asianet (all Kerala), RPG Netcom, Zee Networks, and
Hathway and In Cable. Anticipating more OFC demand from BSNL and MTNL, RPG
Cables is gradually shifting its focus to OFC.
RPG Cables has created Telenet Solutions, a new division to cater to the
service end of the business. Tata Teleservices is one of its major customers for
services and the company. For growth, the company is looking at the exports,
with focus on developing markets like Ghana, Nigeria and Sudan.
RPG Cables was formed after the merger of three RPG companies–Asian Cables
& Industries, Karnataka Telecables, and Upcom Cables–three years ago. In
2000-01, there was a de-merger and Upcom Cables became Concepta Cables.