Piramal posts Q1 loss of Rs 146 cr

Higher interest costs (company's interest expense grew 280% vs same period last year) led the company into making losses

Piramal Enterprises has reported a loss of Rs 146.7 crore for the first quarter ended June 30,  2013 against a PAT of Rs 4.1 crore, on higher interest costs.  

 

Interest expenses for first quarter of FY14 was higher by 280% at Rs 332.5 crore as against Rs 87.5 crore as the company raised funds to invest in NBFC operations, said a statement. Piramal Enterprises had recently invested Rs 1,600-crore in Shriram Transport Finance Company to acquire 10% stake. 

 

The total revenue has increased by 30% at Rs 970 crore against Rs 747 crore. on Thursday, shares of Piramal Enterprises have fallen down by 1.64% to close at Rs 585.45 on BSE. 

 

The revenue from pharmaceutical businesses has come down to Rs 605.4 crore for Q1 FY14 compared to a revenue of Rs 607.7 crore in Q1 FY13 while revenue from financial services grew to Rs 171 crore against Rs 74.4 crore in Q1 FY13.

 

Its NBFC has a consolidated loan book of Rs 2,588 crore as of Jun 30, 2013.

 

Its real estate PE fund - Indiareit manages funds for investments worth Rs 4,200 crore and currently raising a new domestic fund with targeted fund size of Rs 750 crore along with a green shoe option of Rs 250 crore.