29th May 2014 15:55
LONDON (Alliance News) - SKIL Ports and Logistics Ltd Thursday reported lower full-year pretax profit, due to higher administrative expenses and lower finance income.
In a statement, SKIL Ports and Logistics said it made a GBP2.4 million pretax profit in 2013, compared with GBP4.0 million in 2012. No revenue was recorded in either period. Administrative expenses increased to GBP1.9 million, from GBP1.1 million. Finance income fell to GBP4.3 million, from GBP5.1 million.
SKIL Ports and Logistics is developing a modern port and logistics facility at Karanja Creek in the Raigad District of Maharashtra. The facility will be developed over 200 acres of land with a sea frontage of approximately 1,000 meters.
"2013 was a year of significant progress for the Company, with the appointment of ITD Cementation as the lead EPC contractor in building out our facility, the ground breaking ceremony and the mobilisation of the construction workforce. Since the period end, preparatory ground works to ensure timely project completion have been executed and will enable the contractor to focus on laying the foundation for the first approach trestle," Chairman Nikhil Gandhi said in a statement.
"Other parts of the process are progressing in line with management's expectations. Every quarter will see progress being made on the three key areas for building our port, including dredging, reclamation and piling. By the end of the year we are expected to have placed approximately 275 piles. We continue to expect to have a revenue generating facility in operation by the end of 2015 with revenue from partial commencement of the logistics facilities expected to be produced by the end of 2014," Gandhi added.
The Chairman said that SKIL is looking to strengthen its board with people who have relevant experience in the development and running of infrastructure assets in India.
Gandhi said the business case for building a port and logistics facility in India is as strong, if not stronger, as it was at the time of the company's initial public offering in 2010.
"Turnaround times are still extremely slow and capacity constraints and other bottlenecks are a frequent complaint from end users. Our facility is centrally located in the most vibrant of places; Navi Mumbai will act as a gateway to a number of land locked states as well as a central point for trans-shipment and logistics handling," Gandhi said.
SKIL shares were Thursday quoted at 80.00 pence, up 1.00 pence, or 1.3%.
By Samuel Agini; [email protected]; @samuelagini
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