Deccan Aviation loss widens in Jun`07 qtr
Deccan Aviation loss widens in Jun`07 qtr Quarterly Results
Deccan Aviation announced that, loss for the quarter ended June 2007 widened. The company on standalone basis witnessed 56.98% rise in loss to Rs 1,730.9 million from loss of Rs 1,102.6 million, in the corresponding quarter last year.
| Quarterly results (Rs in mn) | |||
| As at | June 2007(3) | June 2006(3) | %Change |
| Net Sales | 5,031.40 | 3,979.90 | 26.42 |
| Net Profit | (1,730.90) | (1,102.60) | - |
| EPS | (17.20) | (13.58) | - |
Net sales for the quarter rose 26.42% to Rs 5,031.40 million, compared with Rs 3,979.90 million for the corresponding quarter last fiscal.
Total income for the quarter rose 19.50% to Rs 5,140.2 million, against Rs 4,301.5 million in the corresponding quarter, a year ago.
The earnings per share (EPS) of the company stood at Rs 17.20 in the quarter ended June 2007.
Yearly Results
The company on standalone basis witnessed a 23.20% rise in loss to Rs 4,195.8 million from loss of Rs 3405.5 million recorded last year.
Net sales rose 43.52% to Rs 17,745.5 million as compared with Rs 12,363.9 million registered last year.
Total income for the quarter rose 58.47% to Rs 21423.1 million, against Rs 13518 million in the corresponding quarter, a year ago.The loss per share (EPS) of the company stood at Rs 42.24 in the quarter ended June 2007.
| Yearly Standalone | |||
| Jun 07 | Jun 06 | %Change | |
| Net Sales | 17,745.5 | 12,363.9 | 43.52 |
| Net Profit | (4,195.8) | (3405.5) | - |
| EPS | (42.24) | (68.24) | - |
Business Profile
Deccan Aviation is a Bangalore-based company which operates private helicopter and airplane chartering services. It also owns Air Deccan, a low-cost commercial passenger airline. Deccan Aviation (Q, N, C,F)* offers corporate charters, tourism, medical, offshore logistics and a host of other special and customized services.
It is promoted and operated by senior officers from the Indian Army. Deccan Aviation is India`s second-largest airline in terms of market share behind Jet Airways and is followed closely by the government operated- Indian.
Recent Developments
Vijay Mallya`s UB Holdings, the parent company of Kingfisher Airlines, acquired 26% stake in Deccan Aviation for about Rs 5.50 billion.The offer was made at an average price of Rs 155.00 a share.
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Future Plans
The company plans to start cargo services in the near future. The company plans to launch these new services through a new subsidiary.
The company is aiming to achieve profitability by 2008 and is adopting route rationalizing strategies in order to cut losses. It also aims to carry 8 million passengers in 2007 from the current levels of 4.5 million this year.
Shares of the company were last trading down Rs 2.10, or 1.41%, to Rs 146.55. The total volume of shares traded were 185,356 at the BSE. (3.30 pm, Friday).
