Skip to main content

DLF net plunges 93%

Profit dropped to Rs 159 crore in the three months ended March 31, 2009, from Rs 2,177 crore in the same quarter a year earlier, the New Delhi-based developer said in a statement. This follows a 69 per cent drop in the third-quarter profit.

DLF’s revenues slumped 69 per cent to Rs 1,351 crore from Rs 4,372 crore in the corresponding period of the previous year. Earnings before interest, depreciation, tax and amortisation also plunged 87 per cent, to Rs 384 crore from Rs 2,849 crore, the company said.

During the quarter, revenue from DLF Assets Ltd (DAL) was Rs 322 crore, against Rs 1,845 crore in the quarter ended March 31, 2008. DLF received over Rs 800 crore as advance from DAL during the quarter. The company had suspended further sales to DAL and by the end of the fiscal has not fully completed the originally proposed volume of delivery.

DLF has estimated that its full-year revenue will see an impact of Rs 688 crore because of the discounts it offered to customers of its residential projects in Chennai, Bangalore and Gurgaon. While some of the hit has been recognised in the full year’s operating profit statement, a part of it will be recognised in the next quarter, too, a company official said, without giving details.

The company estimates that it will have to take a hit of Rs 302 crore on its profit before tax because of the stepped-up discounts.

The company’s full-year profit fell 41 per cent to Rs 4,629 crore from Rs 7,812 crore a year earlier, while revenue slid 28 per cent to Rs 10,541 crore from Rs 14,684 crore in the period.

While the company expects the demand scenario in the residential space to improve progressively, the outlook for the commercial business continues to remain weak, given the global cues. DLF also witnessed marginal cancellations in some of its existing pre-leased space across the country.

The company has also decided to exit its large township projects in Bidadi and Dankuni. Similar actions are being contemplated for other long-gestation projects/assets, including hotels, DLF said in the statement.

Comments

Popular posts from this blog

Stock Market says Merry Christmas to Investors

Sensex today closed 691.55 point up at 19854.12 , Nifty was up 218 points at 5985.10. It is the 6th bigeest gain in oneday. Today's main contributors are IT stocks. Wipro was up at 535.30 (+8.86%), Infosys up at 1810.90(+6.63%) and Satyam closed at 454.55 up by 6.28%. The buying activity was wide-base and lifted almost all the sectoral indices. Sector wise performance was as follows - BSE IT 4581.61 (+260.98) BSE Healthcare 4294.83(+52.30) BSE FMCG2218.74(+20.29) BANKEX 11101.74 (+363.15) BSE Auto5586.83(+45.57) BSE TECk3961.96 (+185.00) BSE PSU 9830.01 (+317.11) Today BSE Midcap closed at 9211.71 up by 186.17 and BSE Smallcap index closed at 11980.57 up by 167.25 points.

News - Economy

Interest rates unlikely to go down (The Economic Times 4th Jan 2008)Interest rates are unlikely to fall in near future as it was expected with the State Bank of India raising the fixed deposit rate of various maturities up to 1.5 percentage points. Other banks are also planning to raise deposit rates. After SBI increasing deposit rates, other banks have no choice but to raise the rates to mobilize resources in the domestic market, chairman of a public sector bank said. As the cost of funds for banks will increase, they will resort to raising the lending rates. A senior banker said banks would announce the increased rates in near future. More Gold zooms past Rs 11,000 per 10 gm (The Hindu Businessline 4th Jan 2008)Gold prices made history as they soared to a record $ 865.35 an ounce in the London A.M fixing on Thursday, tracking which the domestic gold surged to Rs. 11,000 per 10 gm. On Wednesday, gold was fixed at $ 840.75/oz in London while in the Indian market it quoted at Rs 10,70

IIP records negative growth of 0.4% in Oct

T he country's industrial output shrunk for the first time in many years to a record a negative growth of 0.4 per cent in October, stifled by manufacturing sector -- for rescuing which the government announced a stimulus package earlier this mo nth. Output had grown by 5.45 per cent in September, and 12.2 per cent in October, 2007. The Index for Industrial Production numbers for the seven-month period ended October was 4.1 per cent against 9.9 per cent a year ago. Manufacturing sector, which accounts for 80 per cent of the index, declined to 1.2 per cent from 13.8 per cent in the year-ago period. Only earlier this month, the government sought to rescue manufacturers by announcing an across-the-board (barring petroleum goods) four per cent cut in excise duty. Electricity sector grew by 4.4 per cent during the month, bettering 4.2 per cent output of the year-ago period, while mining sector grew by a slower 2.8 per cent against 5.1 per cent in the previous year's comparable period