Exceptional Losses: Fortis reports consolidated net loss of Rs 180 crore for December quarter

Commenting on the results, Fortis Healthcare Chairman Ravi Rajagopal said the last quarter witnessed the reconstitution of the Board, with the appointment of five IHH nominees along with existing three independent directors.

New Delhi: Fortis Healthcare on Wednesday reported a consolidated net loss of Rs 180.11 crore for the quarter ended December 31, 2018, mainly on account of exceptional losses.

The company had posted a net loss of Rs 19.10 crore for the corresponding period of the previous fiscal, Fortis Healthcare said in a filing to BSE.

Consolidated revenue from operations of the company stood at Rs 1,103.27 crore for the quarter as against Rs 1,120.65 crore for the same period year ago.

Net profit for the third quarter of this fiscal year was primarily impacted by exceptional losses. These primarily pertain to impairments related to the goodwill and of certain assets, Fortis Healthcare said.

These in addition, also include certain one-off financial and legal expenses related to advisory fees for corporate transactions, it added.

Commenting on the results, Fortis Healthcare Chairman Ravi Rajagopal said the last quarter witnessed the reconstitution of the Board, with the appointment of five IHH nominees along with existing three independent directors.

"Going forward the association will prove to be synergetic and help us chart the next phase of growth for the organisation," he added.

Also Read: DISMAL report: Fortis reports a net loss for Sept, Dec quarters

During the earnings call, Rajagopal said, "Following the Luthra investigation report which we then filed with various authorities we have over the last six, seven months completely severed all links with the former promoters. We have started pursuing legal and other means for recovery of all dues to Fortis."

Following the Sebi order of October 2018 where clear directive to us was to cease any direct or indirect dealings with the former promoters, we have done exactly that, he added.

Fortis Healthcare CEO Bhavdeep Singh said that with the partnership of IHH and the completion of RHT acquisition, "we are confident of a progressive improvement in our performance in the ensuing quarters."

The company had net cash of Rs 2,359 crore as on December 31, 2018, compared to a net debt of Rs 1,497 crore on September 30, 2018, and net debt of Rs 1,339 crore on December 31, 2017, the company said.

The company also said its board has approved the appointment of Vivek Kumar Goyal as Chief Financial Officer of the company. The effective date of appointment shall be on or before May 1, 2019.

Also Read: Fortis Healthcare reports a Q4 net loss at Rs 37.52 crore, Check out details