IL&FS Investsmart Ltd., an Indian incorporated and 93.86-percent owned subsidiary company of HSBC Holdings plc, has reported a consolidated net loss of Rs67.73 crore (US$13.90 million) for the quarter ended 31 December 2008. This compares to a net loss of Rs26.11 crore (US$5.36 million) for the previous quarter and a net profit of Rs20.56 crore (US$4.22 million) for the quarter ended 31 December 2007.
The company’s total income during the quarter ended 31 December 2008 fell 30 percent to Rs49.02 crore (US$10.06 million) from Rs70.06 crore (US$14.38 million) in the previous quarter, and was down 61 percent from Rs124.44 crore (US$25.55 million) for the quarter ended 31 December 2007. During the quarter ended 31 December 2008, the company’s operating income reduced by 34 percent to Rs45.91 crore (US$9.43 million) from Rs69.35 crore (US$14.24 million) in the previous quarter, and by 63 percent from Rs122.95 crore (US$25.24 million) for the quarter ended 31 December 2007. Total expenses have increased by 48 percent to Rs126.81 crore (US$26.04 million) from Rs85.62 crore (US$17.58 million) in the previous quarter and by 38 percent from Rs91.77 crore (US$18.84 million) for the quarter ended 31 December 2007.
Manasije Mishra, MD and chief executive officer, IL&FS Investsmart, said: "Market conditions in recent times have been challenging. This is an opportune time to review our products and processes and prepare for the future. Following the completion of the company’s acquisition by the HSBC Group in September 2008, we are now in the process of aligning best practices so as to offer our customers the benefit of the HSBC Group’s global experience and expertise."
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