FTIL reports net loss of Rs 371.25 cr in Q4

Tags: News
Crisis-hit Financial Technologies India Ltd (FTIL) today reported a net loss of Rs 371.25 crore for the quarter ended March 31, 2014 due to lower sales and provisions made for doubtful loans and advances.

It had reported a net profit of Rs 87.81 crore in the year-ago period.

Total income fell by 69 per cent to Rs 59.21 crore during the fourth quarter of last fiscal from Rs 188.09 crore in the corresponding period of the previous year, FTIL said in a BSE filing.

Profit was down during the period under review as it made a provision of Rs 350.24 crore for doubtful loans, advances and trade receivables that pertain to subsidiary NSEL and other investments. The same was Rs 95 lakh in the same period of the previous fiscal.

For the full fiscal, the company reported a net loss of Rs 228.54 crore against a net profit of Rs 322.88 crore in the previous year.

Total income for the full financial year declined to Rs 462.13 crore from Rs 657.41 crore in 2012-13.

FTIL's Whole Time Director Dewang Neralla said: "Profit before provisions, diminution in long-term investment and taxes for the financial year ended March 31, 2014 stands at Rs 302 crore."

"The company has adopted a conservative approach and has made a provision of Rs 486 crore during the year," he added.

This provision includes provision of Rs 259 crore for equity investments, loans and other outstanding from NSEL and Rs 227 crore for diminution in value of other investments.

FTIL's subsidiary National Spot Exchange Ltd (NSEL) is facing Rs 5,600 crore payment crisis after the government in July last year, had ordered NSEL to suspend most spot trading contracts in view of violation of certain regulatory norms.

FTIL has been declared unfit by the Forward Markets Commission to run an exchange and ordered to pare its stake in Multi Commodity Exchange (MCX) to 2 per cent from 26 per cent at present. FTIL is the in process of divesting its stake.

Meanwhile, the company's board has recommended a final dividend of Rs 2 per share.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Bureaucrats have enjoyed flying miles at taxpayer expense for too long

    The beleaguered Indian taxpayer will certainly applaud prime minister Narendra Modi’s attempt to deliver on his promise of cutting down fiscal defic

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

<b>Riskfactor</b>: CHAIN REACTION

A domino effect is the cumulative effect produced when one ...

Zehra Naqvi

Rememberance and forgetting are crucial

Memories are so vital to our lives that they can ...

Dharmendra Khandal

Sandalwood may get extinct if not protected

When we talk of sandalwood, the most common usage that ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture