BackFuture Retail clocks ₹471 crore loss in Q4
Standalone revenue from operations fell by 17.3% from ₹5,396.60 crore in the fourth quarter of FY20 to ₹4,445.35 crore during January-MarchThe nationwide lockdown to curb the spread of the pandemic situation had significantly impacted the company’s operational capabilities
PremiumNEW DELHI : Future Retail Ltd plunged to a net loss of ₹470.61 crore in the March quarter compared to a net profit of ₹203.17 crore in the year-ago, underscoring the financial stress at one of India’s prominent retail chains and curbs on operational hours at its stores due to the coronavirus pandemic.
Standalone revenue from operations fell by 17.3% from ₹5,396.60 crore in the fourth quarter of FY20 to ₹4,445.35 crore during January-March 2020. Future Retail runs large-format retail stores, including FBB, Big Bazaar, Nilgiris and Easyday.
On 29 August, the company’s board of directors approved the merger of Future Retail with Future Enterprises Ltd to prepare for the group’s retail, warehousing and logistics assets to a subsidiary of Reliance Industries Ltd in a deal estimated at ₹24,713 crore.
“The nationwide lockdown to curb the spread of the pandemic situation had significantly impacted the company’s operational capabilities, as most of the stores of the company, in most of the States, were closed except selling only essential commodities and grocery items as per the advisory issued by the respective local authorities, State, Central Governments, during the lockdown period," Future Retail said in a regulatory filing. “The Company is closely monitoring the developments and possible effects that may result from the current pandemic on its financial condition, liquidity and operations and is actively working to minimize impact of this unprecedented situation".
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
