BENGALURU (Metro Rail News): In the National Stock Exchange mandatory disclosure the Bangalore Metro Rail Co Ltd has declared that it suffered a loss of Rs 74 cr in fare and non-fare revenue because of the closing of Namma Metro in April & May.
The BMRCL’s safety standards had limited the number of riders before the lockdown. In March, officials had supposed the revenue to run Rs 40 cr but the collection at the end of the month remained at Rs 24.35 cr.
For the year 2019-20, the result was marginal as the revenue reached Rs 430 cr against the target of Rs 445 cr.
The corporation would suffer the impact of COVID-19 in the current financial year not just because of revenue loss due to the closing but also because of the recovery of operating costs is expected to be hard in the future.
The workers have moved from Bengaluru to their home states, the corporation expects the Phase II projects to be paused by 3-6 months.
However, it restated that some sections of the project will be operationalised in the 2nd half of 2020, most possibly the extension lines from Anjanapura & Kengeri.
Managing Director of BMRCL Ajay Seth explained that it was not a cash crunch. We have the project funds & can use a little part for a few months to fund fixed expenses such as salaries, essential maintenance, etc.
Ajay Seth replied to a question, the corporation’s loss every month is around Rs 25 cr when the services were closed. The govt gives support for cash losses based on audited accounts. We received funds for losses up to 2018-19. Would get funds for 2019-20 while this year.