The beleaguered PSU had posted a loss of Rs 28.89 crore in the corresponding quarter last fiscal.
The Bengaluru-based manufacturing firm’s total income from operations increased to Rs 6.21 crore during the second quarter from Rs 4.59 crore in the same period last year. During the quarter, its total expenses reduced to Rs 5.26 crore...
compared to Rs 5.78 crore in the year-ago period, the company said in a regulatory filing.
The tractor business of the company had been discontinued as per the decision of the Cabinet Committee on Economic Affairs in 2016-17.
Incorporated in 1953 by the Government of India as a Machine Tool manufacturing company, HMT over the years diversified into watches, tractors, printing machinery, metal forming presses, die casting and plastic processing machinery, CNC Systems & Bearings. Successful technology absorption in all product groups through collaborations with world renowned manu- facturers & further strengthened by continuous in house R&D. HMT comprises five subsidiaries under the ambit of a Holding Company, which also manages the Tractors Business directly. However, after strong competition from global brands, gradually the once 'timekeeper of the nation's popularity was fading and bad time started for the iconic brand.
Earlier, in April this year, the government approved the transfer of HMT Watches Ltd’s 208.35 acres land at Bengaluru and Tumkur in Karnataka to Indian Space Research Organization (Isro) on payment of Rs1,194.21 crore.
The Union Cabinet also cleared the transfer of Bangalore (Global Warehouse) 1 acre land of HMT Ltd to Gas Authority of India Limited (GAIL) on payment of Rs34.30 crore and applicable taxes and duties.
In 1960's, HMT's steel watch costed Rs.60 and gold watch came for Rs.90. In 1965, a basic model from the luxury brand Favre-Leuba costed Rs.170. HMT launched a limited edition of 'Kanchan' watches in the 1970s, which was known as the dowry watch. Often preferred as a gift to the groom, the watches saw a very high demand that it required a recommendation letter from VIPs to buy a piece from the showrooms.
HMT Watches, which was a pioneer in manufacturing watches had to shut its operations due to mounting losses with no scope for revival in the current competitive economic scenario. In January 2016, the government decided to close down the company with offer of VRS/VSS to all their employees.