DHFL posts net loss of ₹2,122.65 crore

Dewan Housing Finance Corporation Ltd (DHFL) reported a consolidated net loss of ₹2,122.65 crore in the second quarter of the fiscal as against a net loss of ₹6,640.62 crore in the same period a year ago.

Significantly, it had posted a net profit of ₹70.1 crore in the first quarter of the fiscal.

For the quarter ended September 30, 2020, DHFL reported a total income of ₹2,205.90 crore compared to ₹2,581.16 crore in the same period last fiscal.

Its revenue from operations increased by 4.65 per cent to ₹2,204.81 crore (₹2,106.71 crore).

“The company also reported transaction details to Stock Exchanges and NHB through communications dated September 2, 2020, September 28, 2020 and October 6, 2020 for an outstanding sum of ₹14,04,550 lakh, ₹12,70,553 lakh and ₹1,86,484 lakh, respectively. The company has made provisions as per NHB guidelines on ‘Provisioning Pertaining to Fraud Accounts’,” DHFL Administrator R Subramaniakumar said in the results.

The auditors said DHFL’s ability to continue as a going concern depends upon the outcome of the ongoing corporate insolvency resolution process.

“The group has accumulated losses exceeding the share capital and reserves and its net worth is fully eroded,”it noted.

DHFL shares surged five per cent in intra-day trade and closed at a gain of 4.88 per cent at ₹25.8 a piece on BSE on Thursday.