GVK PIL Q3 net loss widens at Rs 267.07 crore

Net loss widened on the back of a 28.76% rise in expenditure owing to an annual fee outgo of Rs 235.38 crore in favour of the Airport Authority of India

Hyderabad-based infrastructure company GVK Power and Infrastructure Limited (GVK PIL) reported a consolidated net loss of Rs 267.07 crore for the quarter ended December, 2014. This represents over five-fold increase of net loss over Rs 52.16 crore loss it incurred in the corresponding quarter previous year.

Net loss widened on the back of a 28.76 per cent rise in expenditure owing to an annual fee outgo of Rs 235.38 crore in favour of the Airports Authority of India.

On a sequential basis, however, the net loss has somewhat come down as the company reported a net loss of Rs 304.07 crore in the second quarter ending September, 2014.

Total income, which includes other income, stood at Rs 805.65 crore in the quarter under review, registering a 4.75 per cent increase, as compared with Rs 769.38 crore in the corresponding previous quarter. Of power, airports and roads, the three segments in which the company operates, only the road segment registered a marginal rise in profit while the same from the most profitable airports operations fell to Rs 52.20 crore from 156.60 crore in the year ago period. Revenues as well as losses from power segment came down this time around.

The company said it was mulling various options for the upcoming thermal power project, which was linked to a cancelled coal mine, such as bidding for new mines, obtaining coal linkage, and renegotiation of terms of power purchase agreement.