The Economic Times daily newspaper is available online now.

    GMR Infra Q1 net loss up more than three fold to Rs 326 crore

    Synopsis

    GMR Infrastructure's consolidated net loss has widened almost three and half times year-on-year basis to Rs 326 crore.

    NEW DELHI: GMR Infrastructure's consolidated net loss has widened almost three and half times year-on-year basis to Rs 326 crore in the April-June quarter due to host of reasons including muted revenue growth, rise in costs and higher interest outgo.

    The Bangalore-based roads to energy to airports group had reported a consolidated net loss of Rs 94.30 crore in the corresponding quarter of the previous fiscal.

    "Loss after Minority is mainly on account of the recently commissioned EMCO and Kamlanga power plants, which are in stabilisation phase and yet to generate full revenue. Financial performance is likely to improve once operations in the new units are stabilised," the company said in a statement.

    Its total income from operations was up marginally by 1.29 per cent to Rs 2,635 crore in the quarter as 65 per cent fall in revenues from EPC division negated the growth reported by all other business segments. GMR's total income in Q1FY13 was Rs 2601.45 crore.

    Gross revenue from the engineering, procurement and construction (EPC) division was at Rs 171 crore, down 65 per cent. The airports division's revenue was Rs 1,394.58 crore, up 5.39 per cent, while the energy business reported a growth of 25 per cent at Rs 932 crore. Revenues from roads segment was up 56.71 per cent at Rs 164.70 crore.

    "Divestment of Jadcherla Road project, non operation of Male airport and lower EPC turnover have impacted overall growth in gross revenue," the company said.

    GMR's total expenditure also rose to Rs 2,350.69 crore during the quarter as its fuel costs (at Rs 568 crore) and depreciation (311 crore) increased by 56 per cent and 23 per cent, respectively.

    Besides, its finance cost was up 27 per cent to Rs 609.75 crore.

    Commenting on the results, GMR's chairman G M Rao said: "While the gas based (power) plants are still affected by lack of gas supply, the coal uncertainty has to some extent got mitigated through the CCEA directive and the coal based plants are being stabilized.

    "We have signed the fuel supply agreement for EMCO's Warora Plant and operation with linkage coal has commenced. The other coal based plant at Kamalanga also got commissioned in the first quarter."

    Talking about company's airports business, he said that the regulatory scenario at both the company airports at Delhi and Hyderabad is now stable. The company has also filed the application to review tariff for the Hyderabad airport.

    He further said that the company has also got the in-principle approval for establishing an Electronic Manufacturing Cluster in Krishnagiri SEZ area.

    Following the results, shares of the company were trading at Rs 13.20 apiece, up 2.64 per cent, in the afternoon trade on the BSE.



    (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2024 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more


    (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2024 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

    Stories you might be interested in