Dues to BHEL cross Rs 40k cr as cash crunch hits India Inc

Across India Inc, a cash crunch is hurting companies. Receivables at India’s biggest Indian electrical equipment maker BHEL have piled up to as much as Rs 40,000 crore at the end of 2012-13, up from R16,000 crore five years ago. The delayed payments at the company, which reported revenues of R50,015 crore crore last year, have resulted in negative cash flows. Indeed, it’s been a difficult year for India’s $25-billion electrical equipment manufacturing industry. Not only has industry-wide production shrunk 8% in fiscal 2013, the first decline in a decade, cash flows across the sector have been squeezed as cash-strapped power producers scale back orders and defer payments. ref: http://www.financialexpress.com/news/dues-to-bhel-cross-rs-40k-cr-as-cash-crunch-hits-india-inc/1125634