GVK Power and Infrastructure Faces Financial Turmoil Amid Insolvency Struggles

GVK Power and Infrastructure reported a consolidated loss of Rs 1.21 crore for the September quarter, due to a significant income drop. It faced insolvency, delayed loan repayments, and had its loan accounts classified as non-performing. Litigation and resolution professional appointments followed.

GVK Power and Infrastructure, currently entangled in insolvency proceedings, revealed a consolidated financial loss of Rs 1.21 crore in the September quarter, driven by a sharp decline in income.

The company had previously earned a net profit of Rs 811.19 crore in the July-September timeframe of FY25, according to its exchange filing. The total income of GVK Power and Infrastructure plummeted to Rs 1.32 crore from Rs 412.80 crore the previous year during the same period.

The GVKPIL Group is burdened with accumulated losses and has delayed or defaulted on loan repayments and interest payments, leading banks and lenders to classify the accounts as non-performing assets. Consequently, certain subsidiaries and joint-controlled entities have been overseen by National Company Law Tribunal (NCLT)-appointed resolution professionals, amidst ongoing litigation within the group.

(With inputs from agencies.)