New Delhi, Feb 13 (IANS) Real estate major DLF on Tuesday reported an exponential rise in its consolidated net profit for the third quarter of 2017-18 to Rs 4,111.95 crore.
According to the company, its consolidated net profit increased on the back of “one-time, exceptional pre-tax gain of Rs 8,569 crore due to restatement of DLF’s investment in DCCDL”.
COnsequently, the Q3 consolidated net profit rose to Rs 4,111.95 crore from Rs 98.88 crore reported during the corresponding period of FY17.
The company reported “a one-time exceptional gain on account of restatement of the DLF’ s investment in DCCDL at fair market value…”
“Certain other revaluation, impairments and provisions relating to valuation of certain assets, land parcels and investments have also been accounted for,” the company said in a statement.
“The non-annualised EPS for the quarter was Rs 22.93 including one-time, exceptional gain. Net Bank Debt for DLF (consolidated, ex-DCCDL) stood at approx. Rs 5,500 crore.”
The “DDCDL CCPS” transaction was completed in December 2017, as a result of which the promoters of the company received the consideration of Rs 8,900 crore (approx.) against the sale of shares and Rs 1,600 crore (approx.) towards buy back of “CCPS”.
Subsequently, the shareholders of the company had approved a preferential allotment of “CCDs and Warrants” to the promoters for total consideration up to Rs 11,250 crore.
The promoters have infused Rs 9,000 crore in the company against allotment and the “balance amount of Rs 2,250 crore will be infused in the company over the course of 18 months”.
As per the statement, the company has utilised the proceeds to primarily prepay a “substantial portion of its outstanding debt”.
“The company has already repaid debt of Rs 7,100 crore (approx.) till date. DLF Limited remains confident to become net debt zero by end-FY19,” the statement added.