Prerna Infrabuild Reports Net Loss in Q1 Amid Zero Operational Revenue
By ScanX News Team
Prerna Infrabuild Limited, a BSE-listed real estate company, reported a net loss of Rs 8.57 lakhs in Q1, contrasting with a profit of Rs 120.72 lakhs in the same quarter last year. The company recorded zero revenue from operations, down from Rs 274.30 lakhs in the previous year. Other income of Rs 111.38 lakhs partially offset total expenses of Rs 112.15 lakhs. The EPS declined to negative Rs 0.01. The company also disclosed that out of Rs 48.17 crores raised through a rights issue in April 2023, Rs 37.58 crores have been utilized for working capital and other corporate purposes, with Rs 10.59 crores remaining unutilized.
*this image is generated using AI for illustrative purposes only.
Prerna Infrabuild Limited , a BSE-listed real estate company, has reported a net loss for the first quarter, marking a significant shift from its profit position in the same period last year.
Financial Performance
The company's consolidated financial results for Q1 reveal a net loss of Rs 8.57 lakhs, a stark contrast to the profit of Rs 120.72 lakhs recorded in the corresponding quarter of the previous year. On a standalone basis, the net loss stood at Rs 4.03 lakhs, compared to a profit of Rs 114.45 lakhs in the same period last year.
Revenue and Operations
Prerna Infrabuild reported zero revenue from operations for the quarter, down from Rs 274.30 lakhs in the corresponding quarter of the previous year. This absence of operational revenue highlights a challenging period for the company's core business activities.
Other Income and Expenses
Despite the lack of operational revenue, the company reported other income of Rs 111.38 lakhs, which helped to partially offset its expenses. Total expenses for the quarter amounted to Rs 112.15 lakhs, with significant contributions from:
- Finance costs: Rs 48.85 lakhs
- Employee benefits expenses: Rs 33.11 lakhs
Earnings Per Share
The basic and diluted earnings per share (EPS) for the quarter declined to negative Rs 0.01, compared to Rs 0.32 in the same quarter of the previous year, reflecting the company's current financial challenges.
Rights Issue Utilization
In a separate disclosure, Prerna Infrabuild provided an update on the utilization of funds raised through its rights issue in April 2023:
| Category | Amount (in Rs crores) |
|---|---|
| Total funds raised | 48.17 |
| Utilized for working capital and other corporate purposes | 37.58 |
| Unutilized funds | 10.59 |
The unutilized funds are currently held in a bank account with IDFC FIRST BANK Limited.
Conclusion
Prerna Infrabuild's quarterly results reflect a period of significant operational challenges, with zero revenue from operations and a shift to a loss-making position. The company's ability to generate other income has helped mitigate some of the impact, but the lack of core business revenue raises questions about its near-term operational strategy and market conditions in the real estate sector.
Historical Stock Returns for Prerna Infrabuild
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -3.52% | -2.51% | -13.74% | -26.12% | -42.56% | +99.73% |
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