Lanco Infratech Ltd has posted a loss of Rs 527.48 crore for the second quarter ended September 30, 2014 against a loss of Rs 581.08 crore in the corresponding quarter last year.
The diversified infrastructure company registered lower income of Rs 2,403.87 crore during the second quarter against Rs 2,495.75 crore in the corresponding period last year.
The company had to take a forex loss of Rs 190.5 crore against Rs 151.1 crore in the same period last year.
During the last financial year ended March 31, 2014, the company posted a loss of Rs 2273 crore and income of Rs 10,707.45 crore.
Pact with Adani Power
During the quarter, Lanco had entered into an agreement to sell its 1,200-MW Udupi power project located at Mangalore in Karnataka to Adani Power Ltd.
Lanco has indicated its intent to divest three more thermal power projects to bring down its debt burden which has become a major cause for concern. The debt burden has necessitated the company to adopt corporate debt restructuring at the holding company.
Order book
The company has an EPC order book of Rs 29,312 crore, including those in the thermal and solar power. Of this, internal projects constitute 79 per cent of the construction EPC order book. Lanco has a solar EPC order book of Rs 2,918.4 crore, with 56 per cent of the orders from external parties.
According to the company, it has a debt burden of Rs 36,696.5 crore and has outstanding receivables of Rs 2,465.9 crore from various utilities.
Performance hit
The company's performance has been impacted due to inadequate gas supplies to its gas-fired power plants and fuel supplies to its coal-based thermal power plants. The EPC business was also impacted due to various external factors. The company has 3,574 employees under its fold. Lanco’s adjusted net worth has been estimated at Rs 3,267.8 crore.
The board of directors has appointed Yashpal Gupta as Additional Director of the company under the category of Nominee Director, with effect from January 1, 2015.