Punj Lloyd tumbles after reverse turnaround in Q1

Punj Lloyd was locked at 5% lower circuit at Rs 39.65 at 9:17 IST on BSE after the company reported a net loss of Rs 364 crore in Q1 June 2014 as against net profit of Rs 5 crore in Q1 June 2013.

The Q1 result was announced after market hours on Monday, 4 August 2014.

Meanwhile, the S&P BSE Sensex was up 44.34 points or 0.17% at 25,767.50.

On BSE, so far 25,000 shares were traded in the counter as against average daily volume of 1.56 lakh shares in the past two weeks.

The stock opened with a downward gap falling by the maximum permissible level of 5% and remained locked at 5% level at Rs 39.65 so far in the day.

Punj Lloyd's gross income declined 49.7% to Rs 1123 crore in Q1 June 2014 over Q1 June 2013. The company reported a loss of Rs 243 crore at EBITDA level in Q1 June 2014 as against EBITDA of Rs 241 crore in Q1 June 2013.

Commenting on the results, Atul Punj, Chairman, Punj Lloyd Group said, "While the revenue and profitability show an underperformance this quarter, I believe that the impact of the series of steps taken to strengthen the business, recovery of long pending claims from customers, new order inflows, as well as the positive outlook for the sector, would see the company coming back into a profitable trajectory at a fairly quick pace. The company's leadership in the energy sector is adequately demonstrated by the recent strong wins in the order position in this space. The company sees development of a strong opportunity in the highways and civil infrastructure space in India and from the Middle East regions and has strengthened the organization to seize such opportunities".

The Group's order backlog stands at Rs 21164 crore. The order backlog is the value of unexecuted orders on 30 June 2014 plus new orders received after that date, Punj Lloyd said in a statement.

Punj Lloyd is a diversified international conglomerate offering EPC services in energy and infrastructure along with engineering and manufacturing capabilities in the defence sector.

Powered by Capital Market - Live News