Saturday, June 9, 2012

GMR blames Delhi Airport's poor show for steep Q4 loss


GMR Infrastructure has reported a 118% rise in its March quarter net loss at Rs 366.16 crore, year-on-year due to the poor performance of the Delhi Airport, which it runs. The company said it had a cost over run while modernizing the Delhi Airport and was unable to raise airport development fee until recently and hence the losses.

"The Delhi Airport's  financial will improve in the current financial year on account of the recent tariff hike," said A Subbarao, GMR's Group CFO.

DIAL (Delhi International Airport Ltd) has recently received an approval to hike airport development fee by 352% from the aviation regulator effective  May 15th. As per the new order, GMR can collect Rs 3415 crore as development fee from  around 36 million passengers to whom its caters to annually.

Meanwhile, sales of the company also declined around 4% to Rs 2099 crore,YoY as plant load factor (PLF) from its coal-based power plants was not optimum. Subbarao further said that its power segment will perform well if fuel shortage issues are sorted out.

The infra major's highway segment has also recorded revenues growth during FY12. While its Ambala-Chandigarh road saw 19% revenue growth, its Jadcherla and Ulundurpet highways saw 14% and 6% growth respectively.

Shares of the company reacted and fell over 2% to Rs 20.25 post the result announcement.

Source: www.moneycontrol.com



















Thanks,
Gaurav Agarwal
Head Dealer
DENIP Consultants Pvt Ltd

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