DLF cuts net debt by Rs 45 cr in first quarter

PTI Updated - March 12, 2018 at 04:50 PM.

Net debt of realty major DLF has come down marginally by Rs 45 crore in the first quarter of this fiscal to Rs 22,680 crore though it is likely to decline significantly as the company expects to soon finalise the divestment of three major non-core assets.

In an analyst presentation, DLF said its net debt stood at Rs 22,680 crore as on June 30, 2012 against Rs 22,725 crore at the end of last fiscal.

On non-core assets sale, the company said it has raised Rs 369 crore during the April-June quarter.

“All three major transactions are in the pre-closing diligence stage,” it said, referring to the company’s decision to sell hospitality chain Amanresorts, wind energy business and a prime land in Mumbai.

According to sources, DLF aims to raise about Rs 6,000 crore from the sale of these three big-ticket deals. The company is in advance stage of talks with Lodha Developers to sell its Mumbai land for about Rs 2,700 crore.

The company has raised Rs 5,213 crore so far from the sale of non-core assets (hotel plots and IT SEZs/Parks) as it wants to only focus on real estate business.

Yesterday, DLF had reported an 18.3 per cent fall in consolidated net profit for the quarter ended June 30, 2012 at Rs 292.79 crore, mainly due to higher interest outgo and lower sales. It had posted a net profit of Rs 358.36 crore in the year-ago period.

Income from operations during the first quarter also fell 10.14 per cent to Rs 2,197.71 crore from Rs 2,445.82 crore in the year-ago period. Interest outgo rose 25.42 per cent to Rs 622.60 crore from Rs 496.41 crore.

During April-June quarter of 2012-13 fiscal, DLF’s sales booking fell 41.74 per cent to 1.34 million square feet compared with 2.3 million square feet in the year-ago period.

Non-core businesses like DLF Pramerica Life Insurance Company and hotel segment witnessed losses of Rs 28.13 crore and Rs 1.58 crore, respectively.

“The company remains committed to its objective of consolidating its operations by focusing on the core and divesting the non-core... The company remains fully committed to achieving the divestment target of its non-core assets,” DLF said.

Published on August 7, 2012 08:38