BackUnitech posts Rs51.55 crore loss in Q4; sales up 22%
Net sales increased by 22% to Rs1,033.31 crore in Q4 of last fiscal against Rs848.25 crore in the previous year
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New Delhi: Realty firm Unitech on Wednesday reported Rs51.55 crore consolidated loss for the quarter ended March, dragged down by the provision to write off Rs103.02 crore investment in its erstwhile telecom business. It posted a net profit of Rs30.33 crore in the year-ago period, Unitech said in a statement.
However, net sales increased by 22% to Rs1,033.31 crore in the fourth quarter of last fiscal against Rs848.25 crore in the corresponding period of previous year. “Profit after tax from ordinary activities stood at Rs42.69 crore (in Q4).
During the quarter, the company made a provision of ₹ 03.02 crore towards diminution in value of its investment in wireless business. Net loss for the quarter, therefore, was ₹ 51.55 crore," Unitech said.
In October 2012, Unitech exited from the telecom joint venture with Telenor by selling its entire 32.75% stake to the Norwegian firm. The company had written off a similar amount during the 2012-13 fiscal as well. The total investment of Unitech in the telecom business was about Rs900 crore.
For 2013-14 fiscal, Unitech net profit declined sharply to Rs69.74 crore from Rs209.56 crore in the previous year. Total income from operations rose to Rs2,933.31 crore during last fiscal from Rs2,440.53 crore in 2012-13. Unitech’s consolidated net debt as of 31 March 2014 was Rs6,316 crore. Net debt to equity ratio stood at 0.55.
The company achieved a sales bookings of 2.33 million sq ft and the total value of sales bookings stood at Rs1,502 crore during the last fiscal.
Commenting on the results, Unitech managing director Sanjay Chandra said “the year gone by has been a very challenging year for the real estate sector. While on the one hand, demand for housing was sluggish for most part of the year, on the other hand, construction and financing costs continued to rise".
“In this environment, company’s focus was primarily on ensuring that the construction activity at its ongoing projects didn’t suffer while managing a tight cash flow situation," he added.
Chandra expected the new government to give a major thrust to the development of housing and urban infrastructure creating new opportunities for real estate companies.
“Going forward, company is gearing itself to benefit from the widely expected improvement in the economic environment by undertaking various initiatives aimed at balance sheet strengthening, enhancing project execution capacity and boosting sales capabilities. Speeding up delivery of finished product is our key priority for the coming year," he added.
Shares of Unitech closed 6% up at Rs27.95 apiece on the BSE.
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