Essar Shipping (ESL) today said it has incurred Rs 86.24 crore net loss on consolidated basis for the quarter ended December 31, 2013.
The company had registered a net profit of Rs 17.85 crore during the corresponding quarter of the previous fiscal.
"During Q3 FY14, the company registered consolidated revenue of Rs 452.77 crore, EBITDA (earnings before interest, taxes, depreciation, and amortisation) of Rs 145.54 crore and net loss of Rs 86.24 crore," ESL said in a statement.
For the corresponding quarter of last year, the company registered consolidated revenue of Rs 792.66 crore, EBITDA of Rs 221.68 crore and net profit of Rs 17.85 crore, it said.
"The reduction in revenue was due to scale down of logistics services by Essar Logistics Limited (ELL) and due to the currently depressed spot freight markets," the company said.
The sea transportation business in the current quarter registered revenue of Rs 217.84 crore and net loss of Rs 76.78 crore as against revenue of Rs 372.21 crore and net loss of Rs 14.59 crore in the corresponding quarter of the previous year.
Commenting on the results of the sea transportation business, Director and Chief Executive Officer, sea transportation business, Anoop Sharma said, "While the freight rates in the shipping industry showed some signs of revival in the third quarter, we have witnessed sharp corrections especially in the dry bulk markets in the beginning of the new year."
The company expects the markets to start improving in the second half of the calendar year, when one can expect to see reduced gap between tonnage and cargo availability, he said.
Shares of the company closed at Rs 16.70 apiece, down 0.60 per cent from their previous close on the BSE.
