HCC posts a standalone loss of Rs 427.87 crore for March quarter

HCC said there was an exceptional loss of Rs 2,400 crore during FY19 which was largely due to the impact of Lavasa's admission into NCLT under the IBC

Hindustan Construction Company (HCC) on Thursday posted a standalone loss of Rs427.87 crore for the fourth quarter ended March 31, 2019.

The company had posted a profit of Rs 20.09 crore in the year-ago period, HCC said in a BSE filing. The standalone total income of the company during the March quarter dropped to Rs 1,347.86 crore from Rs 1,511.47 crore in the year-ago period.

In a statement, HCC said there was an exceptional loss of Rs 2,400 crore during FY19 which was largely due to the impact of Lavasa’s admission into National Company Law Tribunal under the Insolvency and Bankruptcy Code.

This led to a full-year loss of Rs 1,962 crore despite healthy margins in its core business.

The company’s Director and Group Chief Executive Officer Arjun Dhawan said, “We have crossed several milestones in FY19 to strengthen HCC both financially and operationally. Raising capital, including via monetisation of assets, has been imperative to safeguard the long-term health of the company while we bore the tremendous flux within the financial sector.

"We absorbed material write-offs during the year, but strategic initiatives undertaken with full support of our lenders position us as a leaner deleveraged business with adequate working capital and liquidity to grow."