Pantaloon posts first-ever loss

Pantaloon Retail, the country's largest retailer, recorded a standalone loss of Rs 20.4 crore for the quarter ended December, owing to provisioning of Rs 15.5 crore for losses in a few recent investments.

This was the company's first-ever quarterly loss. During the year-ago period, the company had recorded a net profit of Rs 5.6 crore. Bloomberg had estimated Pantaloon would record a net profit of Rs 21.8 crore for the quarter ended December 2012.

The company's stock ended the day at Rs 208.4 on the Bombay Stock Exchange, 3.34 per cent below its previous close.

Pantaloon recommended a dividend of Rs 1.10 (55 per cent) per equity share of Rs 2 and Rs 1.14 (57 per cent) per class B shares (series 1) of Rs 2.

During the quarter, depreciation charges rose 37.5 per cent to Rs 66 crore, compared with Rs 48 crore in the year-ago period. Interest charges rose to Rs 76 crore, against Rs 74 crore in the corresponding period of the previous year. "Markets were weaker on sales, depreciation and interest was higher at 30 per cent," said a senior company executive.

Net sales rose 18 per cent to Rs 1,253 crore, against Rs 1,065 crore in the corresponding quarter of the previous financial year. Bloomberg had estimated sales at Rs 3,183 crore.

As on December 31, the company's total debt stood at Rs 5,431 crore. The company said after the sale of the Pantaloons format to Aditya Birla Retail and the creation of Future Lifestyle Fashions, the debt would fall by Rs 2,820 crore.

As of December 31, the company's inventories of finished goods stood at Rs 214 crore, against Rs 29.7 crore in the year-ago period.