Unitech net profit down 98%

Realty firm Unitech Ltd recorded a steep fall of 97.7 per cent in its net profit during the fourth quarter of 2011-12, compared with that in the corresponding period the previous year. Its net profit was down to Rs 2.26 crore in the quarter ended March 2012, against Rs 102.5 crore in the same period last year.

For 2011-12, the bottom line shrank 56.25 per cent to Rs 248.3 crore compared to Rs 567.8 crore in 2010-11, due to slow construction activity and high cost of funding. Net sales dipped 32.07 per cent from Rs 1,054.2 crore in Q4 of FY11 to Rs 716.07 crore in the same period of FY12. 

The company launched only 0.64 million sq ft of real estate projects in Q4 of 2011-12, which is lower than 1.18 million sq ft in Q3 of 2011-12 and 4.29 million sq ft of the quarter ended March 2011. The company could deliver just 0.5 million sq ft in Q4, that also of the projects launched before March 2009, and did not deliver anything from the balance 23.3 million sq ft of projects launched after March 2009.