Summary:
Club sources confirmed that the club was repaying its accumulated loss using its profits till last year due to which the overall profit was not seen on the profit and loss statement.
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A lot of business has seen loss due yo the pandemic but a shocking news cam today regarding Karnavati Club, which managed to make profits despite the covid restrictions.
Despite being closed for a long haul throughout the lockdown and beyond due to the pandemic, Karnavati Club reported a profit of Rs 8.14 crore in the pandemic year.
The club’s annual report was released on Monday and according to the profit and loss statement, the club made profits worth Rs 8.14 crore in the financial year 2020-21, vis-à-vis a loss of Rs 1.62 crore in 2019-20.
Club sources confirmed that the club was repaying its accumulated loss using its profits till last year due to which the overall profit was not seen on the profit and loss statement.
“This year, the club’s income through investments has been withdrawn and parked in the bank.
This has augmented the overall income of the club, thus reflecting profit in its profit and loss statement for the year 2020-21,” said the source.
The club’s total income declined from Rs 27.55 crore to Rs 18.96 crore and its expenditure also declined from Rs 30.06 crore to Rs 13.63 crore during the financial year 2020-21.
The decline in income as well as expenditure is attributed to the closure of the club due to the Covid-19 pandemic, lockdown and other restrictions through most part of the year.
As few events, exhibitions and weddings were organised due to pandemic-related restrictions, the club suffered in terms of its rental income too.
Karnavati Club announced on Saturday that its annual general meeting will be held on September 23, virtually.
Ahead of the AGM, the elections will be held for the posts of 10 board of directors, who are set to retire this year.
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