Posted on 14 November 2011 by Tejas Patel.
While taking steps toward a financial restructuring, GTL Infrastructure Ltd., the pioneer in shared passive telecom infrastructure in India, saw its net loss increase 28.9% in its fiscal second quarter compared with the same period last year, even as consolidated revenue from operations rose 35%, the company said.
GTA Infra’s net loss was at $41.3 million, compared with a loss of $32.2 million in the same quarter last year. A rise in interest burden and a decrease in other investment-related income contributed to the increase in the net loss, the company said in reporting its results.
The company’s consolidated revenue from operations for the three-month period that ended Sept. 30 was $69.2 million, compared with $51.3 million from the same quarter last year. GTA Infra said its consolidated earnings before interest, taxes, dividends and amortization rose to $37.1 million in the quarter, an increase of 26% from $29.4 million in the same period last year.
In its second-quarter report, the company gave an idea of the timetable for its expected financial restructuring.
GTL Infra’s corporate debt restructuring group “admitted the company’s proposal under CDR mechanism with support of the super majority lenders, and a communication from CDR cell to the company regarding its admission was made on Sept. 26, 2011,” the report said.
GTL is currently operational in all 23 telecom circles and has all leading telecom operators as tenants on its towers. The contracts are typically for a period of 10 to 15 years.