Unitech Reports 15.91% fall in Net Profit

Published: May 31, 2011 at 3:59 PM | Author: Administrator
News Source: Indian Realty News

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Unitech Ltd, the second largest real estate firm after DLF, reported a 15.91 per cent fall in net profits to Rs 567.25 crore for the year ended March 2011 even as its total income increased 9.18 per cent to Rs 3292.12 crore, Unitech revealed in its consolidate results for FY11. Unitech did not disclose results for the fourth quarter ended 2011. But a back-of-the-envelope calculation based on unaudited numbers for nine months ended December 2010 and 2009, reveals that Unitech's net profits in fourth quarter of 2010-11 fell 37.27 per cent to Rs 102.5 crore against Rs 163.41 crore for the same period last year.

The Unitech stock closed at Rs 33.05 on Friday on the Bombay Stock Exchange, close to its 52-week low of Rs 30.65. The arrest of Unitech MD Sanjay Chandra, a director in Unitech group promoted Uninor Wireless in the 2G scam, is also weighing on its stock. Company's debt, net of cash, reduced by Rs 228 crore during the year, Unitech said in a statement; net debt to equity ratio of 0.46 and net worth of Rs 11,614 crore. Ajay Chandra, MD, Unitech Ltd. said, "Company's focus remains firmly on monetisation of its geographically diversified land bank through rapid launch and execution of projects, mostly in the mid-income and affordable housing segments. In keeping with its goal, as announced earlier, of launching 10 million sq ft of projects; company has launched over 6 million sq ft since January 2011 spread across 16 projects. Apart from continuing to launch projects in existing cities, company entered some new cities such as Ambala, Rewari & Dehradun." During the year 2010-11, 177,500,000 warrants, out of the 227,500,000 warrants issued in June 2009 which were convertible into equity shares of Rs 2 each at a premium of Rs 48.75 within in 18 months from the date of issue, were converted into the equal number of equity shares on receipt of balance 75 per cent of the issue price.