GMR Infrastructure on Friday reported narrowing of its consolidated loss to Rs 723.36 crore for the quarter ended March 31, 2021.
The company had a consolidated loss after tax of Rs 1,126.82 crore in the same period a year ago, GMR Infrastructure said in a filing to the BSE.
Its consolidated total income during the January-March period dropped marginally to Rs 2,519.25 crore from Rs 2,554.31 crore a year ago.
"The group has incurred losses primarily on account of losses in the energy and highway sector...with a consequent impact on net worth, delay in debt and interest servicing and lower credit ratings for some of its borrowings," the filing said.
The management, it said, is taking various initiatives including monetisation of assets, sale of stake in certain assets, raising finances from financial institutions and strategic investors, refinancing of existing debt and other strategic initiatives to address the repayment of borrowings and debt.
The group has received certain favourable orders on various ongoing matters in energy, highway and DFCC which involve significant value of claims. The management is optimistic of such favourable orders and believes that such claims will further improve its cash flows and profitability, it added.
Post outbreak of COVID-19 last year in the month of March 2020, many countries have implemented travel restrictions and quarantine measures.
As a quarantine measure, the Centre has also imposed the countrywide lockdown with effect from March 25, 2020 which got extended till June 30, 2020. However, restrictions on operation of domestic flights were lifted from May 25, 2020.
The group has majority of its subsidiaries, JVs and associates operating in sectors like airport, energy, and highway and with respect to COVID-19 impact on the business of these entities, management believes while the pandemic may impact the businesses in the short term, it does not anticipate medium to long term risk to the business prospects.
"Considering the business plans of the investee companies the management does not foresee any material impact on the carrying value at which the aforementioned investments, property plant and equipment, intangible assets, capital work in progress and trade receivables," the statement said.