IVRCL losses widen in Q1 on project delays.

IVRCL Limited has a posted a loss of Rs. 187.18 crore for the first quarter ended June 30, 2015 as against a loss of Rs. 157.91 crore it logged during the corresponding quarter last year.

The Hyderabad-based infrastructure and construction company has also seen its net sales coming down to significantly to Rs. 620.28 crore during the first quarter as against Rs. 833.50 crore it posted for the corresponding quarter last fiscal.

The company is faced with lower pace of implementation of projects and high interest rate regime, all impacting the overall performance.

While the company had gone in for restructure of the corporate debt, certain creditors have filed winding up petitions against IVRCL. The matter is presently sub-judice and the company is taking appropriate steps to settle the matter, according to R Balarami Reddy, Joint Managing Director.

IVRCL had invested Rs. 65.75 crore in its subsidiary Hindustan Dorr-Oliver Limited, whose net worth has been eroded. This being a long-term investment, no provision for diminution in the value of investment was considered necessary by the management.

HBL