Parsvnath Developers Q1 net dips 81%
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Last Updated: Thursday, July 30, 2009, 21:41
New Delhi: Realty firm Parsvnath Developers Ltd on Thursday reported 81 per cent decline in its consolidated net profit at Rs 13.81 crore for the quarter ended June due to slowdown in property demand, particularly in housing.

The net profit stood at Rs 73.97 crore in the same period last fiscal.

The revenue fell by 69 per cent at Rs 115.30 crore during April-June quarter of 2009-10 fiscal from Rs 376.42 crore in the year-ago period.

However, Parsvnath's net profit has increased by 19 per cent and revenue grew nearly five-folds from the last quarter of the 2008-09.

"Industry was on a boom till June last year. But after that meltdown started. Now, since the formation of the new government, sentiments in the property market has improved and there are signs of revival. That's why our revenue and net profit have increased if compared with the previous quarter," Parsvnath Chairman Pradeep Jain said.

However, he said it would take time for the market to reach the peak again.

Jain said the company's debt stands at Rs 1,600 crore and the company plans to reduce it to Rs 600-700 crore by the end of this fiscal. The company's land bank stands at 193 million sq ft, of which development is undergoing on 80 million sq ft.

"We are planning to deliver 30 million sq ft to customers in next two years," Jain said.

Bureau Report

First Published: Thursday, July 30, 2009, 21:41

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