Ifb Securities Registers Net Loss Of Rs 1.26 Crore

The company's total income for the year stood at Rs 2.02 crore, a sharp drop of nearly 64 per cent over the previous year's corresponding figure of Rs 5.56 crore.

While depreciation doubled from Rs 1.69 crore in the previous year to Rs 3.40 crore, the company's reserves were down to Rs 23.30 lakh as compared to the previous year's reserves of Rs 63.38 lakh.

The company did not declare a dividend this time, while it had declared a dividend of 10 per cent for the last financial year.

Ajit Day, managing director of IFB Securities and former president of the Calcutta Stock Exchange, said, "The only reason the company has done badly is because the secondary markets are going through a very bad phase."

Day stressed the need for immediate corrective measures to be taken and added, "unless such steps are taken, the stock market is going to duck."

"The BSE Sensex has dropped by over 150 points between October 4-7 and this is primarily because of the foreign institutional investors off-loading their holdings in the market," said Day.

Though most companies will be declaring their half-yearly results within the next two or three weeks, Day is not very optimistic.

"With nominal interest rates ruling at an all-time high, the half-yearly results of most companies will not be very encouraging," said Day. He said that the situation in the stock markets would remain gloomy for the next year

or so. It was earlier reported that the BSE Sensex had recorded a drop of 700 points between July 22 and October 4, indicating an erosion of Rs 1,44,000 crore.

"Nearly 34 per cent of the market capitalisation has been eroded," said Day.