HCC reports net profit of ₹189.84 crore in Q4FY23, revenue up by 6%

Hindustan Construction Co Ltd's (HCC) consolidated net profit (profit for the period attributable to owners of the parent) for the fiscal's fourth quarter ended March (Q4FY23) stood at ₹189.84 crore. The multinational engineering and construction company's consolidated revenue from operations rose nearly 6% on year to ₹3,094.09 crore. HCC Ltd share price closed at ₹15.93 apiece, down nearly 1.30% on BSE.

The overall expenses rose from 2,884.35 crore to ₹3,077.51 crore.

For the entire 2022-23, the company recorded a consolidated net loss ( for the period attributable to owners of the parent) of ₹27.84 crore. It had posted a net profit of ₹562.74 crore on a consolidated basis in FY22.

The completion of the business's debt carve-out procedure and the profitable sale of concession assets, according to HCC Vice Chairman Arjun Dhawan, bolstered the balance sheet and growth strategies of the company.

According to a statement from the company, HCC obtained a contract for the construction of the Bandra Kurla Complex Station for the high-speed bullet train worth ₹3,681 crore through a JV.

The sale of Baharampore-Farakka Highways Limited to Cube Highways and Infrastructure V Pte Ltd was completed by the firm during the quarter, according to the company. The deal was finalised for a total enterprise value of ₹1,323 crore, which includes SPV debt of ₹646 crore.

The statement claims that HCC finished its debt carve out during the year with the proper assistance of 23 banks and financial organisations.

"This strategic initiative shifted a significant portion of HCC's debt, along with commensurate assets from its balance sheet. The event resulted in a long-awaited solution to the asset-liability timing mismatch faced by HCC on account of delayed realisation of its arbitration awards and claims," it said.

With a combined annual revenue of ₹9,855 crore, the HCC Group is made up of HCC Ltd, HCC Infrastructure Co Ltd, and Steiner AG in Switzerland.