Bharat Pumps & Compressors

Bharat Pumps & Compressors Limited (BPC) is a central public sector undertaking under the ownership of Ministry of Heavy Industries, Government of India. The psu manufactures Reciprocating pumps, Centrifugal pumps, Reciprocating compressors, and high pressure seamless Gas cylinders. Headquarters in Allahabad.

History
BPC was set up in 1970 to cut the country’s dependence on import of hi-tech equipment like pumps and compressors for use in critical areas like oil & gas exploration, refineries, chemical & fertilizer plant and nuclear plants. Unfortunately, the company was unable to make profits. Eventually, it turned sick and was referred to the Board for Industrial and Financial Restructuring (BIFR). BPC’s losses had accumulated to inr 1753000000 as on 31 March 2005 and the net worth had turned negative at inr 1216000000. The company was referred to the BIFR and was on the verge of being closed down after 35 years of operations.

The company has seen a dramatic turnaround in its performance from the financial year 2005-06. The company’s profit before tax (PBT) in the financial year 2006-07 was inr 191000000, which increased to inr 311000000 in 2009-10. During the same period, its net worth increased from inr 569600000 to inr 1241000000. The turnover went up to inr 2711000000 in 2009-10 from inr 1437000000 in 2006-07. The turnaround of the company is credited to Abhay Kumar Jain, who was appointed the MD of the sick company in the year 2005-06. The special efforts and corporate strategies put in place by Jain, after joining on 31.12.2005, yielded the much awaited turnaround of the Company. BPCL achieved a net profit of ₹1.84 crores during Financial Year 2005-06 after accounting for interest amounting to ₹135 million as against a loss of ₹108.6 million during previous year 2004-05. This remarkable feat of turnaround is of significance since it was achieved without considering the benefits of financial restructuring. Presently, the company is again running in loss. Jain invested nearly ₹100 crores in purchase of new machines and had projected business of ₹1600 crores but this target was never achieved and as a result, company incurred loss.

On the 28th of September 2016, the Government of India announced the privatization of Bharat Pumps & Compressors. On 17 April 2018 the Government of India issued an Expression of Interest for a 100% stake in Bharat Pumps & Compressors.

On the 14th of Jan 2021, the Government of India announced the liquidation of Bharat Pumps & Compressors.