Lanco Infratech today reported a 2.72% decline in its consolidated net profit at Rs 446.07 crore for the year ended March 31, 2011 due to adjustment in profit on transaction with subsidiaries and associate companies.
The company had reported a consolidated net profit of Rs 458.55 crore in 2009-10.
"As per accounting standards, you need to eliminate inter-company profits but it is a non-cash elimination. We have reported a cash profit of over Rs 1,300 crore during the year, so it is not a cause of concern," Lanco's Chief Financial Officer J Suresh Kumar told PTI.
He added that gross operating income of the company has gone up by 18% before making adjustments on transactions with subsidiaries and associates at Rs 11,044.51 crore during the year.
In 2009-10, gross revenue of the company was Rs 9,483.23 crore.
The company CFO further said that revenues from power sector was the leading growth factor for the company, which grew by 37% at Rs 4,945.2 crore.
"This is going to increase further during the current year as we plan to add about 1,500 MW new capacity to our power business this year," Kumar said, adding that Lanco will have a total power generating capacity of 4,800 MW by March, 2012.
The company will be commissioning the second unit of 600 MW capacity at its Anpara power project in Uttar Pradesh by September, while another 600 MW capacity at Udupi is expected to be commissioned by December, he said.
Besides this, the company is also looking at tying up funds of about Rs 25,000 crore for the expansion of its power business, the Lanco CFO said.