Gammon India narrowed its standalone net loss to Rs 73.53 crore in the quarter ended March 31, 2015 from Rs 173.59 crore in the same period last year due to a sharp decline in expenses.
Standalone net sales, however, came in nearly 11% lower at Rs 1,019.02 crore.
Total expenses declined a sharp 20% year-on-year to Rs 969.30 crore. The steep fall was driven by the lower cost of material consumed, which fell about 30% to Rs 358.95 crore.
The company posted an operating profit of Rs 49.72 crore during January-March 2015 against an operating loss of Rs 71.56 crore last year.
Gammon India’s Ebitda margin stood at 9.5% during the quarter, a significant improvement over the corresponding quarter last year when it had slipped into the negative territory (-3.85%).
Other income almost doubled y-o-y to Rs 61 crore.
However, due to a higher finance cost, the company posted a loss before tax of Rs 62.16 crore, albeit lower than the Rs 185 crore loss before tax posted in the corresponding quarter last year. Finance cost during January-March 2015 increased to Rs 168.56 crore against Rs 143.42 crore last year.
Gammon got a Rs 13,500-crore debt restructuring approved in June 2013, the largest CDR package approved in financial year 2013-2014.