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Omaxe Q1 profit up 83 pc at Rs 16 cr; income nearly doubles to Rs 358 cr

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Press Trust of India New Delhi
Last Updated : Aug 14 2019 | 6:55 PM IST

Realty firm Omaxe Ltd on Wednesday reported a 83 per cent rise in consolidated net profit at Rs 16.22 crore for the first quarter ended June 30, 2019 on sharp jump in sales.

It had posted a net profit of Rs 8.85 crore in the year-ago period.

Total income rose 97 per cent to Rs 358.56 crore during April-June quarter of 2019-20 from Rs 182.48 crore in the corresponding period of the previous year, the company said in a regulatory filing.

"The economy as a whole has been facing some headwinds both cyclical and structural in nature. As a result, the economy is not growing at a pace which was expected earlier," Omaxe CMD Rohtas Goel said in a statement.

"In the recent monetary policy announcement even the Reserve Bank of India has revised the growth projection for the current fiscal downward to 6.9 per cent. The real estate sector being the critical claw in the economy is also finding the going tough," he said.

Stating that the real estate sector is facing liquidity crunch, he said the government should take some some measure to ensure funding for the sector, such as creation of stress fund for stalled projects.

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Goel said the Reserve Bank has reduced repo rate four times in succession during this year, but benefits have not been passed on by commercial banks to consumers.

Effective transmission will help the economy and the real estate sector, he added.

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First Published: Aug 14 2019 | 6:55 PM IST

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