Unitech consolidated net down 15.9% at Rs 567.66 crore

Country's second-largest realty firm Unitech reported nearly 16 per cent decline in its consolidated net profit at Rs 567.66 crore in 2010-11 due to higher return from assets sales in the previous year.

The company had posted a net profit of Rs 675.05 crore in 2009-10 fiscal.

Net sales, however, rose 8.7 per cent at Rs 3,187.09 crore in the last financial year, against Rs 2,931.33 crore in 2009-10.

Realty giant DLF, too, had reported 4.66 per cent fall in its consolidated net profit at Rs 1,639.61 crore during last financial year, against Rs 1,719.84 crore in 2009-10.

A senior company official attributed the fall in profit to outright sale of assets such as hotel and office building in 2009-10 that gave higher return to the company.

That apart, the company's expenditure went up by about Rs 400 crore in this year to around Rs 2,300 crore. Unitech's net debt reduced by Rs 228 crore last year and stood at about Rs 5,300 crore as on March 31, he added.

In a statement, the company said it has sold 9.16 million sq ft worth Rs 4,323 crore in 2010-11 and is targeting to achieve Rs 5,000 crore this financial year.

Unitech also clarified that "the ongoing telecom matter pertains to Unitech Wireless Tamilnadu Ltd (Uninor), which is a separate legal entity engaged in the telecom business, and will not impact Unitech Ltd (the real estate Company)".

The company would continue to focus on its real estate business in the normal course, it added.