Income from operations more than halved to Rs 65 crore from Rs 139 crore in the corresponding quarter of previous fiscal. It posted other income of Rs 14 crore, includes a sum of Rs 13.37 crore towards profit on sale of 14 numbers cranes sold during the quarter. It had other income of Rs 2 crore in year ago quarter.
Due to recent change in business conditions and more particularly Government of India’s policies towards wind mill sector, the Company expects slow down in business volume and therefore expects decrease in the turnover and profitability of company during the current financial year. Wind mill sector has contributed more than 70% of revenue during last financial year.
The company said it is planning to substantially reduce its capex plan for FY 2017-18 by cancelling the order for balance cranes. It has already initiated the discussions with its supplier for cancellation of balance 19 Nos. cranes.
In past six trading sessions, the stock tanked 40% from Rs 237 on August 7, 2017, as compared to 2.6% decline in the S&P BSE Sensex. It nearly halved from its 52-week high of Rs 280 touched on November 2016 in intra-day trade.