Shares of the country's largest real estate company DLF tumbled by over 5 per cent in early trade on the bourses on Wednesday after the company posted weak first quarter results.
DLF had on Tuesday reported a 12.81 per cent decline in consolidated net profit for the first quarter ended June 30 to Rs 358.36 crore on higher expenditure and finance charges.
The company had posted a net profit of Rs 411.03 crore in the corresponding period last year.
Reacting to the numbers, the stock of the company opened on a weak note on the Bombay Stock Exchange and slipped to an intra-day low of Rs 215.15, down 5.57 per cent from its last close.
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Similar movement was witnessed on the National Stock Exchange, where the stock, after opening at Rs 219.40, fell to a low of Rs 215.20, down 5.53 per cent, from its previous closing price.
The stock however, recovered some of the lost ground later and was trading at Rs 219.90, down 3.49 per cent on the BSE, and at Rs 219.85, down 3.49 per cent on the NSE, at 10.42 am.
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Marketmen said the downslide in the counter was a knee-jerk reaction to the weak first quarter numbers.
DLF's total expenditure increased by about Rs 300 crore to Rs 1,505 crore during April-June 2011, primarily on land, development rights and constructed properties. Its finance charges rose to Rs 496.41 crore during the three months under review from Rs 388.44 crore in the corresponding year-ago period.