MMTC in deep red

Since morning, BHEL continues to hold the number position amongst losers on the BSE and MMTC holds strongly to second place.

Like BHEL, the reason is the performance – in case of MMTC, it has been very poor. For Q4FY17, from a net profit of Rs.21 crore in Q4FY16, it posted a loss of Rs.21 crore in Q4FY17. This was despite a 27% increase in total income at Rs.2545 crore. The 28% rise in expenses and more than doubling of interest outgo from Rs.6 crore to over Rs.14 crore is what pushed the company into the red.

It ended FY17 with consolidated net loss coming down to Rs.30 crore from loss of Rs.97 crore in FY16. Equity stands at Rs.100 crore; borrowings at end of FY17 were at Rs.690 crore and cash was at Rs.363 crore. Govt of India holds 89.93% stake.