 "Crompton Greaves posts Rs 199 cr loss, receives offers for its overseas business")
Crompton Greaves posted a net loss of Rs 199 crore in the fourth quarter of FY15 against Rs 63-crore profit a year ago. Loss was higher due to exceptional expenses and provisions of Rs 177 crore.
The company announced it had received non-binding proposals for acquisition of its power business in Indonesia, Europe, the US, and Canada and for its transportation automation business in the US.
"These offers constitute firm indication of interest but are subject to due diligence, negotiation and execution of definitive agreements. These are in line with board's strategic intent of focusing on its profitable India businesses and global automation business. The board has reviewed the offers and has constituted a committee of directors to take appropriate next steps," Crompton Greaves said in its filing to stock exchange.
Crompton Greaves earns about 55 percent of revenue from domestic operations and rest from overseas business spread in Asia, Europe and the US. Power division contributes around 60 percent of its consolidated revenue. While the company continues to be profitable on a stand alone level (it posted Rs 84 crore in Q4 FY 2015 as against 126 crore in same quarter of last year), it has been making loss in its overseas business.
The company announced it had received non-binding proposals for acquisition of its power business in Indonesia, Europe, the US, and Canada and for its transportation automation business in the US.
"These offers constitute firm indication of interest but are subject to due diligence, negotiation and execution of definitive agreements. These are in line with board's strategic intent of focusing on its profitable India businesses and global automation business. The board has reviewed the offers and has constituted a committee of directors to take appropriate next steps," Crompton Greaves said in its filing to stock exchange.
Crompton Greaves earns about 55 percent of revenue from domestic operations and rest from overseas business spread in Asia, Europe and the US. Power division contributes around 60 percent of its consolidated revenue. While the company continues to be profitable on a stand alone level (it posted Rs 84 crore in Q4 FY 2015 as against 126 crore in same quarter of last year), it has been making loss in its overseas business.