Unitech Q1 net loss narrows to Rs 43 cr

New Delhi: Realty firm Unitech's consolidated net loss narrowed to Rs 43.18 crore for the first quarter ended June 30, on account of higher sales.

Gurgaon-based developer had posted a net loss of Rs 279.45 crore in the corresponding quarter of previous fiscal.

Total income increased to Rs 487.88 crore in the first quarter compared to Rs 381.43 crore in the same period previous year.

"The net loss of the company narrowed from Rs 279.45 crore to Rs 43.18 crore," Unitech said in a statement.

As of 30th June, the consolidated net debt was Rs 5265 crore.

"Company's focus is firmly on completing and delivering the ongoing projects in an expeditious manner," Unitech MD Ajay Chandra said.

"Towards this end, company has been continuously engaging with its customers, bankers and local administration to create project specific escrow mechanisms to ensure that the balance payments received from the customers of a project are utilized only for completion of that project," he said.

Recently, the Delhi High Court directed the company to create escrow mechanisms for all its projects wherein 100 percent of the collections from the customers are to be retained in the escrow and utilized exclusively for that project, Chandra said.

During the April-June quarter, Unitech sold a total area of 2 million sq ft and launched projects of 1.75 million sq ft.

Total value of sales bookings stood at Rs 362 crore. The company delivered 2.35 million sq ft of completed area.