Mumbai: Hirco reported a loss of £30.884 million on Thursday for the half year ended 31 March 2009 due to a decline in the value of the projects in which Hirco Plc has invested.
The net asset value of Hirco, an India-focused investment vehicle of the Hiranandani Group, stood at £6.72 per share as on 31 March 2009, down 5.7% from £7.12 per share six months ago.
Commenting upon the loss, which represents a loss per share of 40.36 pence based on 76,526,984 shares outstanding, company chairman Niranjan Hiranadani said that it was due to a decline in the value of the projects in which Hirco Plc has invested, caused mainly by difficult condition on India’s real estate market.
“Assuming market conditions improve rather than deteriorate further, the Hiranandani family and the Hirco Board see no reason why cash flow from the project companies should not permit Hirco Plc to pay a first dividend in 2010,” Hiranandani said.
Hirco is developing four properties - one residential and commercial properties each in Chennai and Panvel.