GVK Power & Infrastructure has posted a loss of Rs 159.39 crore for the second quarter ended September 30, 2019 as against a loss of Rs 109.76 crore for the corresponding quarter of the previous fiscal on a consolidated basis.

The Hyderabad-based power-to-airports company registered total revenues of Rs 1,059.16 crore for the second quarter, as against Rs 1,060.03 crore for the corresponding quarter of the previous year.

The company had posted a loss of Rs 304.42 crore and total income of Rs 4,363.10 crore for the financial year ended March 31, 2019.

GVK signed an agreement on September 27, 2019 for dilution of its 79.1 per cent stake in GVK Airports Holdings Ltd for Rs 7,614 crore. The divestment is subject to achieving certain conditions, and includes real estate monetisation, loan disbursements for the Navi Mumbai Airport and settlement of certain ongoing litigations.

A company subsidiary and group subsidiaries have received letters from the Ministry of Corporate Affairs ordering investigation of the books of accounts. The MCA has requested the management to furnish certain information in respect of these companies, and the company has been cooperating with the MCA.

While the company’s airports business has been performing well, its energy vertical has taken a hit due to inadequate fuel linkages.

The company’s auditors, PriceWaterhouse, in the accompanying notes on GVK Coal Developers stated “we are unable to ascertain whether any adjustments are required to carrying values of the related assets and liabilities and the results in the statement.” It also made similar observations with regards to GVK Energy Ltd.

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