(Bloomberg) -- Infrastructure Leasing & Financial Services Ltd., the beleaguered infrastructure financier, reported an annual loss after writing off some investments and advances that it doesn't expect to recover.
The troubled shadow bank announced a loss of 225.4 billion rupees ($3.15 billion) for the financial year ended March, compared with a profit of 3.32 billion rupees in the previous 12 months, according to an exchange filing. Its total income during the year more than halved to 8.24 billion rupees.
Eroding finances led to an unexpected default by IL&FS Group last year, precipitating a spate of defaults in the non-banking financing industry and making it difficult for many companies to refinance debt. India's government immediately seized control of IL&FS, whose inability to repay debt caused widespread upheaval in the economy.
IL&FS took a charge of 194.3 billion rupees during the year after it's new board took a conservative view on the market value and recovery estimates of loans and investments, it said in a statement.
Liabilities swelled to 210.8 billion rupees at the end of March from 182.8 billion rupees a year earlier. Assets reduced to 41.5 billion rupees from 238.7 billion rupees. The company has a negative net worth of 169.35 billion rupees.
To contact the reporter on this story: Debjit Chakraborty in New Delhi at dchakrabor10@bloomberg.net
To contact the editors responsible for this story: Arijit Ghosh at aghosh@bloomberg.net, Abhay Singh, Ashutosh Joshi
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