EIH posts Q2 net loss of Rs 1.31 cr

Hospitality major EIH Ltd, which runs hotels and resorts under Oberoi and Trident brands, today reported a standalone net loss of Rs 1.31 crore for the quarter ended September 30, 2014.
The company had posted a net profit of Rs 7.03 crore for the corresponding period of the previous fiscal, EIH Ltd said in a filing to BSE.
Standalone total income of the company however rose to Rs 286.08 crore for the quarter under consideration as against Rs 266.45 crore for the same period year ago.
Depreciation has been provided as per Schedule II to the Companies Act 2013, except for hotel buildings which continue to be depreciated at rates prevailing in the previous financial year. In case of hotel buildings, the company has decided to carry out a technical assessment of the useful life, EIH said.

As a result depreciation for the 3 months and 6 months ended September 30, 2014 is higher by Rs 8.38 crore and Rs 15.41 crore respectively which has resulted in reduction of profit for the respective periods, it added.
Founded in 1934, Oberoi Group operates 30 hotels, a Nile Cruiser and a Motor Vessel in the backwaters of Kerala. The Group has presence in six countries under the luxury 'Oberoi' and five-star 'Trident' brand.
The Group is also engaged in flight catering, airport restaurants, travel and tour services, car rentals, project management and corporate air charters.
Shares of EIH Ltd today closed at Rs 101.85 per scrip on BSE, down 0.39 per cent from its previous close.