Neyveli Lignite Q1 net down 16% to Rs 288.47 cr

Neyveli Lignite Corporation today reported a decline of 15.86% in its net profit to Rs 288.47 crore for the quarter ended June 30, 2012, largely due to impact of pay revision of employees, depreciation and amortisation of its assets.

The Tamil Nadu-based company had reported a net profit of Rs 342.83 crore during the corresponding quarter of the last fiscal.

Net sales of the company, however, were up 9.93% to Rs 1,331.81 crore during the quarter as its revenues from lignite mining and power generation increased, it said in a filing to the BSE.

In April-June period of FY12, the company had clocked a net sales of Rs 1,211.50 crore.

During the quarter, the company made a provision of Rs 481.56 crore as employee benefit expense, which included Rs 26.95 crore as pay revision for its staff.

Moreover, the company accounted Rs 130.28 crore as depreciation and amortisation of its assets in the April-June quarter vis-a-vis Rs 95.41 crore of the similar period of FY12.

Shares of the company closed today at Rs 81.95 apiece on the BSE, down 0.91% from the previous close.