Lanco Infratech total net revenue stands at Rs8004 in FY11

Infrastructure major Lanco Infratech Ltd suffered a 3% fall in the net to Rs446.1 crore for the fiscal ended March 31, due to eliminations following the Indian accounting standards.

The total revenue after elimination stood at Rs8004.4 crore in FY 11, against Rs8233.6 crore in FY 10, a drop of 3% due to higher elimination of revenue.

As per the Indian Accounting Standard, companies are required to eliminate revenue, which it earned, by providing services to its subsidiary companies. Consequently, Lanco has eliminated higher revenue as EPC and construction, is providing services to subsidiary company developing power projects.

The company eliminated Rs3,260.78 crore from the net operating income and Rs498.84 crore from the net profit as per the Accounting Standard.

“It may be noted that the above eliminations do not reduce the cash earnings of the company on the standalone/consolidated basis,” the company said in notes to the accounts.

The company registered a growth of 18% in operating revenues at Rs11,265.2 crore and 55% growth in profit after tax before the elimination at Rs862.8 crore for the fiscal.

The company reported a growth of 37% in revenue from power division at Rs4,945.2 crore and 2% in revenues from EPC and construction division at Rs5,961.7 crore.

The company currently has orders worth Rs30,162.2 crore in hand, of which, it has received over Rs10,000 crore of orders during the year to March 2011. Shares of Lanco Infratech are trading at Rs33.60 on Bombay Stock Exchange.