Reliance Infra Q4 Net Declines 14% to .` 621 cr
Drop in earnings from engineering & construction biz takes a toll on profit
Reliance Infrastructure’s consolidated net profit declined 14% year-on-year to .` 621crore in the fourth quarter of 201314, as earnings from its engineering and construction business plummeted. The Anil Dhirubhai Ambani Group company reported a consolidated total income of .` 4,708 crore in the quarter ended March, down 24% from a year ago. While the revenue from company’s electricity business clocked a marginal decline, its sales from engineering, procurement and construction (EPC) business nosedived 61% year-on-year to .` 883 crore. “Our EPC revenue has declined as we are on the verge of completing most of the jobs where construction had started. We are yet to start work on a new set of orders,” chief executive officer Lalit Jalan told reporters. The company said that as a developer, it started operations in one more road project this year and its Mumbai Metro Rail project is on track to start commercial operations by June.
Net sales declined to .` 3,600 crore in the fourth quarter against .` 3,692 crore in the year-ago period. For the year 2013-14, Reliance Infrastructure’s consolidated revenue declined 15% Year-on- Year to .` 19,034 crore. Its net profit for the year increased by 2.2% .` 1,914 crore. ADAG’s power utility, Reliance Power’s net profit increased marginally by 0.6% in the quarter ended March to .` 269 crore. Its revenue increased almost 9% Year-on-Year to .` 1,359 crore, driven by an increase in other operating income.
“Construction work is in full swing for the remaining three units of the Sasan UMPP and each unit is on track to be commissioned in the current year,” the company said.
Its 100 MW-concentrated Solar Power project in Dhursar, Rajasthan, is in advanced stage of commissioning. This will be the largest CSP plant to be commissioned under the government’s National Solar Mission.
For the year ended March, the company reported net profit of .` 1,027 crore, up 1.5% from 201213. Its revenue increased 5% year-on-year to .` 5,175 crore.
R-Power Net Up Marginally