GMR Infrastructure Falls After Loss Widens In December Quarter

Shares of airport operator and infrastructure developer – GMR Infrastructure – fell as much as 2.87 per cent to hit an intraday low of Rs 25.30 after its loss widened in quarter ended December 2020. GMR Infrastructure’s consolidated net loss widened to Rs 1,120.51 crore compared with loss of Rs 280.74 crore during the same quarter last year. Its revenue from operations fell 32 per cent to Rs 1,359 crore as against Rs 1,991 crore in the year ago period.

GMR Infra’s Delhi Airport’s traffic improved from 4.10 million to 7.55 million sequentially and on an annual basis, traffic declined 60 per cent in December quarter. Hyderabad Airport’s, traffic improved from 1.53 million to 2.86 million sequentially and on an annual basis declined 52 per cent, GMR Infra said in a press release.

“Currently, Government of India has allowed 80 per cent capacity for the airlines. As the capacity restriction eases, we expect significant increase in traffic. Additionally, mass Covid vaccination and rapid testing will further boost air travel. Many countries have authorized and approved emergency usage of vaccination. World-over vaccination drive has started with over 130 million doses administered by February 7, 2021. Mass vaccination at a rapid pace would pave the way for rapid traffic growth,” GMR Infra said in a statement.

GMR Infrastructure’s highways business saw a mixed performance as revenue from its Hyderabad – Vijayawada highway increased by 17 per cent annually Rs 94 crore in December quarter from Rs 80 crore in same quarter last year. While, revenue form Ambala – Chandigarh highway fell by 87 per cent annually to Rs 2 crore in third quarter as against Rs 15 crore in the year ago period.

As of 11:44 am, GMR Infrastructure shares traded 2.1 per cent higher at Rs 25.50, underperforming the Sensex which was up 1 per cent.