Parsvnath posts Rs 141 cr net loss in Jan-Mar qtr

Realty firm Parsvnath Developers today reported a Rs 140.90 crore consolidated net loss for the January-March quarter this year.
The company had posted a net loss of Rs 22.84 crore in the same quarter a year ago.
Income from operations, however, rose to Rs 267.31 crore in the fourth quarter of this fiscal from Rs 90.17 crore in the corresponding period of the previous financial year.
"Pursuant to an arbitration Award in respect of residential cum commercial project (Prideasia) at Chandigarh, the company has written off Rs 470 crore which has been reflected as exceptional items," Parsvnath said in a statement while explaining the reason behind the net loss.

During the full 2014-15 fiscal, the company's net loss is Rs 107.66 crore as compared to Rs 16.22 crore profit in the previous year. Income from operations rose to Rs 762.52 crore in last fiscal from Rs 560.81 crore in 2013-14.
Parsvnath group Chairman Pradeep Jain said the company got Rs 572 crore from the Chandigarh Housing Board (CHB) after surrendering the Prideasia project, pursuant to an award by sole arbitrator in January this year.

Subsequently, he said, it has been noticed that, due to a computational error, the awarded amount was deficient by about Rs 146 crore.
"The amount received of Rs 572 crore together with the additional amount receivable will boost the execution capabilities," Jain said.

The company has entered into leasing agreement with Metro Cash & Carry for an area of 65,000 sq ft in DMRC-Seelampur Project.
With the government announcing relaxation in REITs and FDI norms for the real estate sector, Jain said: "We will be benefited by REITs at large as we have a large portfolio of leasable commercial space within the city of New Delhi...".
The company is focused towards the execution of ongoing projects and debt reduction, he added.