CFCL Q3 net loss at Rs 163 crore; shares up nearly 2%

Chambal Fertilisers on Thursday reported a net loss of Rs 163.32 crore for the December quarter due to fall in the value of its investment in the subsidiary company. The company had posted a profit of Rs 144.73 crore in the year-ago period.

Total income from operations rose to Rs 2,835.11 crore in the quarter under review from Rs 2,824.64 crore in the year-ago period, Chambal Fertilisers and Chemicals Ltd (CFCL) said in a regulatory filing.

On Friday, at 1005 hours, the shares of Chambal Fertilisers and Chemicals were trading up 1.57% or Rs 0.85 at Rs 54.90 per scrip intraday on the BSE. 

"Based on the fair valuation from an independent valuer, the company has made a provision of Rs 296.18 crore on account of diminution in the value of its investment in CFCL Technologies Ltd, Cayman Islands, a subsidiary company. The same has been shown as an exceptional item in the financial results," it added.

CFCL Technologies, through its subsidiaries and step down subsidiaries, provides information technology solutions, outsourcing and other services.

The Board of the company on Thursday gave its approval to CFCL Technologies to sell and dispose of the business that is being carried through its subsidiaries and step down subsidiaries including ISGN Solutions Inc, USA.

Shares of the company on Thursday closed 6.73% down at Rs 54.05 on the BSE.