BackGVK Power posts net loss of `45.4 crore
Rising interest costs and fuel shortages took a toll despite strong performance of its airports division
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GVK Power and Infrastructure Ltd on Thursday reported a consolidated net loss of ₹ 45.43 crore for the quarter ended 31 December because of fuel shortages and rising interest costs despite strong performance of its airports division.
The infrastructure conglomerate had posted a net loss of ₹ 57 crore in the same quarter of the previous year. Total income from operations grew 13.3% over last year to ₹ 735 crore.
Interest costs rose 7% to ₹ 198.9 crore.
GVK’s three gas-based projects—the 469 megawatt (MW) GVK Gautami Power Ltd, the 217 MW Jegurupadu phase I and the 228 MW Jegurupadu phase II—recorded a revenue of ₹ 97.7 crore for the third quarter, down by 59% from a year ago.
“There has been uncertainty regarding supplies of gas to power generating plants and power projects under construction of the group," chairman and managing director G.V. Krishna Reddy said in a statement. “The management is confident of obtaining the requisite gas allocation and recover fixed charges."
GVK has asked lenders to reschedule project loans worth ₹ 1,416.47 crore and is “confident of receiving approval of the lenders," the company said.
Revenue from GVK’s airport business grew by 63.6% to ₹ 568.21 crore compared with ₹ 347.4 crore in the year-ago period. The airport business reported a profit of ₹ 156.6 crore, compared with ₹ 72.17 crore in the year-ago period.
GVK operates the Mumbai and Bangalore international airports and the Bali airport in Indonesia.
Shares of GVK were trading at ₹ 9.12, up 0.44% on BSE at 1.57pm, while the benchmark Sensex declined 0.07% to 20,247.72 points.
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