HCC Q2 net loss widens to Rs 476 crore, expenses decline to Rs 2,093 crore

 It has recorded an exceptional loss of Rs 84.5 crore on account of conciliating an NHAI award in order to generate immediate liquidity for its operations.

During the quarter, HCC also completed the 100 per cent sale of Farakka-Raiganj Highways Limited (FRHL), a subsidiary SPV of HCC Concessions Ltd and one of the largest public-private partnership projects in India, to Cube Highways and Infrastructure II Pte Ltd for an enterprise valuation of Rs 1,508 crore.

HCC's registered order backlog stood at Rs 18,995 crore at the end of Q2 FY21, it said.

"Three projects worth Rs 7,402 crore were won in a joint venture in July and August; HCC's share being Rs 3,337 crore. This included a Rs 1,900 crore NHAI order to construct a 22 km highway link between Jharkhand and Bihar, a Rs 4,167 crore contract for Bhadbhut barrage in Gujarat and Rs 1,335 crore Rail Vikas Nigam order to construct 8.04 km BG rail line between Rishikesh and Karanprayag in Uttarakhand," the company said.

Mumbai Coastal Road project's clearance cancellation to impact L&T, HCC

"We declare that MCGM cannot proceed with the works without obtaining an environmental clearance under Environment Impact Assessment (EIA) Notification," Justice N M Jamdar stated in the order, ANI reported on Tuesday. The order came on a bunch of petitions filed by a few NGOs and residents.

As of March 2019, HCC’s order book stood at Rs 18,554 crore and L&T’s total order book was at Rs 2.93 trillion. Execution work on the project has so far been limited to preliminary works. In the event of a delay in clearances or a lack of them, there will be an impact on the order book for these companies.

The coastal road project is one of the many infrastructure projects underway in Mumbai to decongest roads and other transport systems. In addition to the coastal road, a city-wide metro network, second phase of the sea-link project, a trans-harbour link connecting the mainland to its satellite areas are amongst other projects underway.

The coastal road project was planned to connect the southern part of the city to its western suburbs, running parallel to its coastline. Including the coastal road project, construction companies are executing projects worth Rs 63,934 crore in Mumbai alone.