New Delhi, May 3 (PTI) Hindustan Construction Company (HCC) today reported a 3.9 per cent decline in standalone profit to Rs 20.09 crore for the quarter ended on March 31, 2018.
The company had posted a standalone profit of Rs 20.91 crore in the year-ago period, HCC said in a filing to BSE.
However, standalone income of the company increased to Rs 1,511.47 crore in the quarter under review from Rs 1,428.86 crore in the January-March quarter of FY2016-17, it said.
The company posted a consolidated loss of Rs 1,090 crore for the fiscal ended on March 31, 2018 against a consolidated loss of Rs 982.60 crore in the year march march 31, 2017.
Consolidated income rose to Rs 10,188.54 crore in 2017-18 from Rs 9,947 crore in the previous fiscal.
"While turnover growth has been flattish year-on-year, we have achieved key milestones that will promote growth in addition to accelerating our ongoing deleveraging programme. Our bank sanctions are in place after a prolonged delay and material judgements by the courts are positive developments that will facilitate curing the pendency of our unpaid arbitration receivables," Arjun Dhawan, the Director and Group Chief Executive Officer of HCC said.
"We believe HCC is well placed to benefit from the recent boom in government infrastructure expenditure," Dhawan added.
Commenting on the performance of its arm Lavasa Corporation Ltd (LCL), the company said the corporation continues to work jointly with the consortium of lenders towards a resolution process to the satisfaction of all stakeholders.
"The RBI?s recent February 12 circular scrapping SDRs (Strategic Debt Restructuring) has required LCL to rework a restructuring solution along with bankers and potential investors. Lavasa city meanwhile remains a popular tourist destination," it said.
In a separate filing, the company said that "We would like to point out that HCC Ltd and all its subsidiaries, including Lavasa Corporation are in complete compliance of the regulatory requirements and all material information is disclosed as per the requirement."
The companys filing was in response to explanation sought by bourses on media reports that said that auditors have expressed doubts about ability of Lavasa to "continue as going concern".
In the press statement, the company said that HCC has received Rs 1,416 crore till date under the CCEA?s initiative to release 75 per cent of arbitral awards against bank guarantees.
The company received fresh arbitration awards worth Rs 977 crore in FY2017-18.
"The company has closed documentation with lenders for non-fund-based limits of over Rs 3,000 crore; this much awaited development will provide the impetus to ramp-up execution of both the existing order book and new orders," it said.
HCC has executed a majority of countrys landmark infrastructure projects. It is also developing Lavasa city, a planned hill city.
Shares of the company closed at Rs 17.55 apiece on BSE, down 24.84 per cent from the previous close.
In a separate filing HCC said that its board at its meeting held today has approved "enabling resolution for conversion of existing optionally convertible debentures to non convertible debentures (NCDs), for a sum not exceeding Rs 1,800 crore, from time to time, in accordance with the applicable law." PTI SID MR MR