By Shanker www.thehindubusinessline.com
Despite posting higher revenue, Reliance Infra’s profit took a hit due to a Rs 51-crore loss on account of the Delhi Metro, which has just begun operations, as also some infra projects, which need to stabilise to yield revenues.
Mr Lalit Jalan, Chief Executive Officer, said the Delhi metro operations had begun and patronage was improving, from about 4,000 commuters using to the facility a day to 12,000. Infrastructure projects took time for revenues to reflect on the books, he said.
Referring to the Mumbai electricity distribution, he said the Maharashtra Electricity Regulatory Authority had approved the recovery of regulatory assets of Rs 2,316 crore from all consumers connected to RInfra’s network including those supplied by Tata Power. Further, the authority has allowed levy of cross-subsidy surcharge on all consumers from date of migration.
On road projects, he said RInfra was developing 11 road projects of 970 km of which four were operational. Six projects will begin revenue generation this year.
RInfra is developing three metro rail projects in Mumbai and Delhi totalling 66 km. The Mumbai Metro Line 1 of 12 km and 12 stations will be commissioned in Q4 FY12, he said.
Mumbai Metro Line 2, comprising 32 km, had achieved financial closure and the topographical survey of alignment was complete.
On RInfra buy-back, he said the company had bought back 22.5 lakh shares for Rs 140 crore so far. More info