DLF’s Second Quarter Net Profit Rises 8.9% – Livemint – 14-Nov-2014
November 15, 2014 - Uncategorized
India’s largest developer by market value DLF Ltd posted a rise of 8.9% in net profit to Rs.109 crore in the fiscal second quarter from a year ago. The company’s revenue rose 2.9% to Rs.2,013.15 crore in the three months ended September. Sequentially, DLF’s net profit fell 14.64% while its revenue rose 16%. Income from operations rose 3% to Rs.2,013.15 crore in the September quarter from Rs.1,956.09 crore in the year-ago period, DLF said in a filing to BSE. In September, the Punjab and Haryana high court ordered the cancellation of a 350-acre land allotment in Gurgaon authorized by the Congress government of Haryana led by Bhupender Singh Hooda in 2009. This followed a Supreme Court order in August asking DLF to pay a Rs.630 crore fine imposed on it by the antitrust regulator for unfair business practices. Soon after, in October, the Securities and Exchange Board of India (Sebi) banned DLF, its chairman K.P. Singh and some others from accessing the capital markets for three years, finding them guilty of engaging in fraud and unfair trade practices. The company announced its results after the stock markets closed on Thursday. DLF lost 0.57% to close at Rs.138.90 on Thursday on BSE, while the benchmark Sensex lost 0.24% to close at 27,940.64 points and the Realty Index lost 1.44% to close at 1,631.11 points. Sandipan Pal, an analyst at brokerage Motilal Oswal Securities Ltd, said the company needs to clarify on Sebi’s ban on using the capital market, as to what its strategy for fund-raising is going forward. “Another challenge that remains is that DLF’s core market of operation, Gurgaon, still remains very weak in terms of sales and so we have to see how its projects fare in the coming months and how project launches are received,” said Pal.