HCC net profit soars 179%

Hindustan Construction Co (HCC) announced a 179 per cent increase in net profit at Rs 11.63 core for the quarter ended September 2007, compared with Rs 4.17 crore in the corresponding previous period.

The company's turnover has gone up by 29 per cent to Rs 549.05 crore (Rs 425.66 crore). The company improved its operating margins to 11 per cent for the quarter compared with 9.4 per cent in the corresponding previous period.

It has submitted tenders worth Rs 4,559 crore, which are currently under evaluation at the clients' end. HCC said that the tenders for which its has pre-qualified, stands at over Rs 12,377 crore by its own evaluation.

The company has recently received three orders worth Rs 983 crore. These include a Rs 774.64 crore (with HCC's share at Rs 256 crore) construction order from Delhi Metro Rail Corporation for two underground stations and a tunnel between New Delhi and Talkatora Garden stations; and two projects from BMC for water tunnel construction worth Rs 727 crore.

HCC Real Estate, a subsidiary, is currently developing an IT park in Vikhrorli (Mumbai) with a development area of 1.9 million sq ft. The construction is expected to be completed by December 2008. Besides this, there are plans of developing over 1,500 acres for various projects.

HCC's realty arm is also developing several projects at Lavasa, a hill station near Pune. The company has already commenced marketing its project here and has achieved a sales target of Rs 300 crore in current season.

The company has tied up with ITC Hotels for Fortune, Accor for Novotel and Grand Mercure hotels and Starwood for a Sheraton at Lavasa.

Other tie-ups for Lavasa include Ecole hoteliere de Lausanne for setting up a hospitality learning centre and Apollo Hospitals for a hospital and wellness centre at Lavasa.