GVK Power revenue in Q2 tops Rs104 cr

GVK Power revenue in Q2 tops Rs104 cr

Hyderabad: City-based GVK Power & Infrastructure Ltd posted revenues of Rs104.86 crore during the second quarter of the current fiscal, up from Rs71.89 crore in the same period of previous year on the back of revenues from the company’s roads and airport projects.

Issac A. George, chief financial officer of the company, said performance of the quarter under review is not comparable to the corresponding quarter a year ago since the latest quarter has consolidated revenues of power, roads and airport, while the last year’s period had revenues of only power.

Net profit for the quarter was Rs39.51 crore compared with Rs8.52 crore in the corresponding quarter of last year.

The company said it expects to start operating two of its gas-based power projects of 692MW capacity from the next fiscal.

These two projects have been lying idle for the past year for want of gas supplies, George said. “We expect gas supplies from Reliance to be made available from July and begin operating both the idle projects. We expect both these projects to start contributing to our revenues and profits from fiscal 2009 onwards," he added.

The GVK Group, which is the dominant partner in Mumbai International Airport Ltd, the consortium that is developing and will manage the Mumbai airport, has brought all its subsidiaries in roads and airports under GVK Power and the courts have recently cleared the scheme of amalgamation.

Issac said the company has invested more than Rs5,000 crore in infrastructure projects and that its projects in the pipeline would require an investment of more than Rs12,000 crore.

On Friday, shares of the company rose 2.75% on the Bombay Stock Exchange to close at Rs707 each. The Bombay Stock Exchange’s benchmark index rose 2.52% to 19,243.17. The company declared its results after the markets closed.