Kalpataru Power Q2: Profit down 40% to Rs 83 cr due to credit loss provision

Kalpataru Power Q2: Profit down 40% to Rs 83 cr due to credit loss provision

AgenciesUpdated: Saturday, October 30, 2021, 07:26 PM IST
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Kalpataru Power logged a profit of Rs 139 crore in the year-ago period, a BSE filing stated./Representational image |

Kalpataru Power Transmission Ltd (KPTL) on Saturday reported 40 per cent dip in consolidated net profit at Rs 83 crore for September quarter 2021-22 due to credit loss provisions for loans and impairment of investments.

The company logged a profit of Rs 139 crore in the year-ago period, a BSE filing stated.

The consolidated profit before tax and profit after tax declined due to credit loss provision for loans/ advances and impairment of investments with respect to Road SPV (special purpose vehicle), a company statement said.

Total income stood at Rs 3,563 crore in the quarter as against Rs 3,057 crore in the same period a year ago.

Revenue grew 17 per cent in the second quarter year-on-year to Rs 3,549 crore on account of robust execution across various businesses.

The credit loss provision in the quarter was towards loans/advances of Rs 49 crore given to Kurukshetra Expressway Pvt Ltd (KEPL) and exceptional items pertain to impairment of investment in Wainganga Expressway Pvt Ltd of Rs 15 crore, it explained.

Net debt declined to Rs 2,810 crore as on September 30, 2021 from Rs 3,442 crore over the same period last year.

Its consolidated order book stood at Rs 31,099 crore as on Sepempter 30, 2021 and it emerged as lowest bidder for Rs 4,600 crore worth projects in the period under review.

The order inflows of Rs 9,823 crore till date in 2021-22 was driven by T&D (transmission), buildings & factory, Urban Infra and Water businesses.

''Our ability to deliver consolidated revenue growth of 26 per cent YoY and receive new orders of over Rs 9,800 crore in first half of FY22, demonstrates the inherent strengths of our businesses and testament to the execution capabilities at KPTL and JMC,'' MD & CEO Manish Mohnot said.

He further said the company is making significant progress on resolution and sale of its road assets and real estate project.

''We issued a Notice of Termination, in line with provisions of the concession agreement, for our Kurukshetra Expressway asset as our revenue through toll collections had been severely impacted due to the ongoing farmer agitation. Restructuring of our Wainganga Express road BOOT asset is also on track and we expect process closure in this fiscal,'' Mohnot said.

The company is also on track to complete the divestment of Kohima-Mariani transmission asset in this fiscal.

''We continue to adopt a cautious approach in bidding for new projects along with strengthening digital capabilities across our organization and actively pursuing various cost saving initiatives to protect our margins. We continue to firmly focus on delivering profitable and consistent growth,” he added.

KPTL is one of the largest specialized EPC companies engaged in power transmission & distribution, oil & gas pipeline, railways and civil infrastructure business. It is executing projects in over 40 countries and has global footprints in 62 countries.

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