Future Enterprises Ltd on Wednesday reported a consolidated net loss of Rs 320.56 crore for the second quarter ended September 2020, on account of lower revenue from operations. The company had posted a net profit of Rs 21.78 crore in the corresponding quarter a year ago, according to a PTI report.
Its revenue from operations was down to Rs 237.88 crore during the quarter under review as against Rs 1,699.84 crore reported in the corresponding quarter last fiscal, Future Enterprises Ltd (FEL) said in a BSE filing.
FEL develops, owns and leases retail infrastructure for the Future Group. It handles backend operations of the retail business of the Future Group. The company also holds Future Group’s investments in subsidiaries and joint ventures including insurance, textile manufacturing, supply chain and logistics.
On August 29 this year, the Future Group announced selling the retail and wholesale business to Reliance Retail in a Rs 24,713 crore deal.
It announced plans to merge key group companies, including Future Retail, Future Lifestyle Fashions, Future Consumer, Future Supply Chains and Future Market Networks into FEL.
In October this year, Future Group founder Kishore Biyani had said the homegrown retail major lost nearly Rs 7,000 crore revenue in first three-four months of the Covid-19 pandemic due to closing of stores, which led him to sell his business to Reliance Industries.
Shares of Future Enterprises were trading 1.23 per cent higher at Rs 11.52 apiece on the BSE.
“Covid-19 pandemic and consequent lockdown imposed throughout the country has had a significant adverse impact on the business operations and the financial results of the company for the quarter ended September 30, 2020,” said FEL.