Jaiprakash Associates Ltd (JAL), a Jaypee group company, reported a 39-per cent drop in its net profit for the October-December quarter owing to a one-time expense of Rs 212 crore incurred towards compensation benefits for its employees.
This expenditure resulted in the company posting a net profit of Rs 103.02 crore in Q3 of current financial year compared to Rs 168.62 crore in the third quarter of the last financial year.
The quarter, however, saw company double its income by 100 per cent to Rs 2,967.68 crore compared to Rs 1,483.30 crore during the same period of last financial year. The earnings per share (EPS) stood at Rs 1.49 and total cash reserves of the company stood at Rs 3,000 crore as on Deccember 31, 2009.
Betting big on the cement vertical, JAL plans to ramp up its cement capacity to 33 million tonnes per annum by 2012 from 15 million tonnes at present. “We have chalked out Rs 4,500 crore capital expenditure plans towards augmenting our cement capacity,” said Manoj Gaur, executive chairman, JAL.
Revenues from the cement division at Rs 948.34 crore in the current quarter compared to
Rs 589.63 crore during the same period of the last financial year.
Gaur added that plans are also afoot to raise upto Rs 2,000 crore through FCCB (foreign currency convertible bonds) and qualified institutional placement of shares over the next one month for group company Jaypee Power.
The company also expects to come up with an IPO of its subsidiary company, Jaypee Infratech, by the March 2010 wherein it plans to raise Rs 1,650 crore.