Markets
BSE See NSE See 31,028.21
278.18 (0.9%)
collapse Related Readings collapse

Top 5 Companies With Negative Net Worth

By Saikat Mitra | 6/28/2013 9:00 PM Friday

A couple of weeks ago, we had looked at the top 5 companies with the highest net worth. Of course, there is a flip side to this too. A company’s net worth runs into negatives if its accumulated losses exceed the shareholders’ equity, if it is debt-ridden to the extent that its liabilities exceed its assets, or when the value of its assets depletes massively. This implies a weak financial position that can be turned around only by consistent profits over the coming years.

The following is a list of 5 companies with the highest negative net worth as of March 31, 2013.

Company NameNet Worth As Of FY13 (Rs/Cr)YTD Return (%)
Kingfisher Airlines -5,635.50 -261.25
Tata Teleservices (Maharashtra) -1,133.98 -90.24
Southern Petrochemicals Industries -1,044.91 -57.89
Jet Airways (India) -539.45 -32.01
LML -478.91 -38.6
Source: Dion Insight

Kingfisher Airlines: It would come as no surprise to see the troubled Kingfisher Airlines (KFA) topping our list of companies with negative net worth. KFA has been reporting losses consistently over the past 9 years. It has a huge debt pile-up of around Rs 8000 crore on its books, which is a matter of serious concern.

As of March 31, 2013, the company had a negative net worth of Rs 5635 crore. In this calendar year, the scrip has depreciated by a humongous 261.25%.

Tata Teleservices (Maharashtra): Tata Teleservices Maharashtra (TTML) spearheads the Tata group's presence in the telecom circles of Maharashtra (including Mumbai) and Goa. The company also has a significant pull in the GSM space through a joint venture with NTT DOCOMO of Japan in November 2008, and offers differentiated products and services in Mumbai, Maharashtra and Goa under the brand name Tata DOCOMO.

At present, the company has a negative net worth of Rs 1133.98 crore and the stock price has depreciated by 90.24% on a YTD basis.

Southern Petrochemicals Industries: Southern Petrochemical Industries Corporation was incorporated in 1969 and is headquartered in Chennai. It engages in the manufacture and sale of fertilisers primarily in India.
The company offers urea, a nitrogenous chemical fertiliser that is used in the processing of cotton and textile mills, as cattle feed and is also a raw material for chemical products, dyes, and pharmaceuticals. It provides tissue culture plants and hybrid seeds. It also operates a semiconductor assembly and test facility, which offers integrated circuits packing solutions.

For FY13, the company’s net worth is in the red at Rs 1044.91 crore. The stock has a negative return of 57.89%.

Jet Airways (India): Jet Airways (India) was founded in 1993 and is based in Mumbai. The company provides
passenger and cargo air transportation services and also leases aircrafts. It operates flights to 76 destinations in India and internationally. As of June 20, 2012, Jet operated a fleet of 103 aircrafts comprising 10 Boeing 777-300 ER aircrafts, 12 Airbus A330-200 aircrafts, 61 next generation Boeing 737-700/800/900 aircrafts, and 20 modern ATR 72-500 turboprop aircrafts.

This is the second company from the aviation sector that has featured in this list, and has a negative net worth of Rs 539 crore. The scrip has fallen by 32.01% on a YTD basis.

LML: LML Ltd. was incorporated in 1972 and is based in Kanpur. It engages in the manufacture and sale of motorised two-wheelers in India and offers mopeds, motorcycles, and scooters. The company also exports its products to regions like the United States, the European Union, Africa, Latin America and Asia.

For FY13, the company’s net worth stands in the red, down by Rs 478 crore. Its stock has yielded a negative return of 38.60%.

 

Find More Articles on: DSIJ Others, Slide Shows, Markets, DSIJ Mindshare, Product, Large Cap, Mid Cap, Small Cap

news letter

More for the early bird.

Get the post-market reports and breakfast news right in your inbox. See latest »

DSIJ
Mindshare

Q4FY17 Results:Indian Hotels Company

Q4FY17 Results:Indian Hotels Company

Indian Hotels reported its results for the quarter ended March 31, 2017 on Friday.Total sales for this quarter, Q4FY17, came in at Rs. 707 crore. This represents a 1.73 per cent sequential increase and 3.21 per cent YoY increase.

Overnight Digest: Stocks to look out for on May 29

Overnight Digest: Stocks to look out for on May 29

The stocks which are expected to witness significant movements on May 29 are Punj Lloyd, Jaypee Infratech, Adani Power and Adani Enterprises.

Q4FY17 Results: SKF India Ltd.

Q4FY17 Results: SKF India Ltd.

SKF India Ltd reported its results for the quarter ended March 31, 2017 today.

Q4FY17 Results: Sun Pharmaceuticals Ltd

Q4FY17 Results: Sun Pharmaceuticals Ltd

Sun Pharmaceuticals Ltd, the fifth largest speciality generic pharma company, reported its results for the quarter ended March 31, 2017 today.

Q4FY17 Results: Eros International Media

Q4FY17 Results: Eros International Media

Eros International Media reported its results for the quarter ended March 31, 2017 on Friday.

Tech Mahindra Ltd.: Q4FY17 Results

Tech Mahindra Ltd.: Q4FY17 Results

The company's total sales for Q4FY17 came in at Rs 7495 crore, which represents a 0.83 per cent sequential decline and 8.88 per cent YoY increase.

National Buildings Construction Corporation Limited : Q4FY17 Results

National Buildings Construction Corporation Limited : Q4FY17 Results

The company's total sales for Q4FY17 came in at Rs 2356 crore, which represents a 65.22 per cent sequential increase and 2.3 per cent YoY increase.

Indian markets create yet another history; Nifty, Sensex touch fresh highs

Indian markets create yet another history; Nifty, Sensex touch fresh highs

It was party time on D-Street as markets rocked on a memorable day. Indian equity markets on Friday achieved their lifetime highs.

Birla Corporation : Q4FY17 Result

Birla Corporation : Q4FY17 Result

Its operating profit (EBIT) for the quarter amounted to Rs. 59.5 crore and its EBIT margin stood at 6.4 per cent.

Q4FY17 Results: ITC Ltd

Q4FY17 Results: ITC Ltd

ITC Ltd reported its results for the quarter ended March 31, 2017 today.

Market
CHIT CHAT

What is your view on markets today?

200  Characters Remaining.
Please LOGIN  to post your comments or Click here to go back.
SHIBANANDA SEN May 26 05:56PM
in the tracker screen what the 3rd col stands for & the meaning of B
Ronak Maloo May 26 03:56PM
Signing off for the weekednf.Happy Weekend Guys!
DIVYANSH SHUKLA May 26 03:31PM
HUDCO sell target 73.2
Souvik Sengupta May 26 03:27PM
Wabco check
Ronak Maloo May 26 03:18PM
SORT CADILA