RInfra net up 10%; offers Rs 1,000cr buyback at Rs 725/share

Mumbai, Feb 14 (PTI) The Anil Ambani Group flagshipReliance Infrastructure today reported a 10.16 per cent risein third quarter consolidated net income at Rs 405.25 crore,driven by a strong growth in EPC (engineering, procurement andconstruction) order book that touched Rs 23,500 crore.

"This profit is despite no regulatory assets (addedincome due to tariff revision for power distribution business)accruing during the quarter against an income of Rs 55 crorefrom such source during the same quarter last fiscal," thecompany''s Chief Executive Lalit Jalan told reporters here.

In Q3 last fiscal, it had net profit of Rs 368 crore.

Jalan also announced a share buyback worth Rs 1,000crore during the next 12 months at Rs 725 a share, a 17 percent premium on the closing price of last Friday. The RelInfracounter closed 1.85 per cent up at Rs 627.10 on the BSE.

"The company board today approved a buyback of itsoutstanding shares for an aggregate amount of up to Rs 1,000crore at a price not exceeding Rs 725 a share. The buybackwill be made from the open market," Jalan said, adding thiswill be the third share buyback by the company since 2008.

During 2008 and 2009, RelInfra had bought back sharestwice, worth Rs 923 crore.

The operating income rose robust 14 per cent to Rs3,744 crore during the reporting quarter against Rs 3,287crore in the same period last fiscal. There was also a 13percent jump in cash profit at Rs 537 crore.

At the end of December 2010 quarter, the firm, whichis into infrastructure, construction, metro rails, powergeneration