Escorts posts Rs 7.85 cr loss for Q2

Engineering conglomerate Escorts today reported a standalone net loss of Rs 7.85 crore for the second quarter ended September 30, 2014-15, mainly on account of one time exceptional expense.
The company had posted net profit of Rs 43.63 crore for the July-September quarter of 2013-14, Escorts Ltd said in a filing to the BSE.
Its net income during Q2, 2014-15 increased 5.12 per cent to Rs 992.62 crore as against Rs 944.24 crore in the year-ago period.
"The company has absorbed the additional one time exceptional expense of Rs 31.4 crore on account of VRS that covered around 350 employees. As a consequence, the company recorded a loss of Rs 7.9 crore in the second quarter," Escorts said.

For the first half of 2014-15 fiscal, Escort's net profit declined 74.24 per cent to Rs 26.25 crore as against Rs 101.93 crore in the April-September period.
Total net Income for the first half increased marginally to Rs 2,121.73 crore from Rs 2,120.18 crore in the same period last year.
Escorts Group operates in the sectors of agri-machinery, construction & material handling equipment, railway equipment and auto components.
The company's scrip closed at Rs 166.75, down 1.94 per cent, on the BSE.