TAJGVK Q3 net declines to Rs 2.68 cr

TAJGVK Hotels & Resorts Limited posted a fall in net profit at Rs 2.68 crore for the third quarter of the fiscal 2014-15, as against a net of Rs 3.28 crore for the corresponding of the previous fiscal. Total income during the quarter was up at Rs 68.33 crore, when compared with Rs 65.30 crore in the previous year.

The company in a release stated profit was lower on account of higher depreciation on opening block of fixed assets, and also on higher interest incurred on incremental borrowings.

A recovery in business was witnessed in the third quarter on account of domestic conferences and events, coupled with a stable political scenario in Hyderabad. For the nine-month period of the present fiscal, loss for the company stood at Rs 1.60 crore, as against a marginal profit of Rs 5 lakh in the year-ago period. Income for the period was slightly higher at Rs 181.39 crore, when compared with Rs 180.06 crore last year.

On the sector outlook, the company said, "with the expected recovery in the global economy and Indian economy, the hotel industry is expected to perform better. The company with its prime properties in key metros is well positioned to benefit from the growing demand and restricted supply going forward".