IRB Infra Q4 cons PAT at Rs 121 cr Vs Rs 103 cr; cons net sales at Rs 848 cr vs Rs 767 cr
TV18 Q4 cons net loss at Rs 33.4 cr Vs loss of Rs 13.2 cr (YoY); cons income from operations at Rs 512 cr Vs Rs 205.8 cr (YoY)
Vakrangee Software bags order worth Rs 750 cr for Rajasthan CSC project
PNB Q4 PAT at Rs 1,424 cr Vs Rs 1,201 cr (YoY); NII at Rs 3,310 cr Vs Rs 3,029 cr (YoY)
Tata Coffee Q4FY12 consolidated YoY net profit at Rs 29 cr vs Rs 18 cr up 64%
JSPL acquires 9.25% stake in Australia�s Apollo Minerals
Lanco Infratech gets SC okay for Hyderabad real estate project
IRB promoters pledge around 1 Cr shares (3.15%) with Aditya Birla Finance
Zydus Cadila in early talks to buy Strides Arcolabs local generic business.
S&P reaffirms long-term issuer credit rating of NHPC as BBB-; revises the outlook to negative
Jubilant Life Q4 cons net loss at Rs 63.5 cr Vs profit of Rs 62 cr (YoY)
GSK Consumer Q1 PAT at Rs 132 cr Vs Rs 111 cr (YoY); Q1 net sales at Rs 836 cr Vs Rs 727 cr (YoY)
GSK Pharma Q1 net profit at Rs 123 cr Vs Rs 46 lakh (YoY); net sales at Rs 623 cr Vs Rs 603 cr (YoY)
SKS Microfinance Q4 Net Loss at Rs 329 Cr Vs Loss of Rs 70 Cr (YoY)
Glenmark Pharma receives US FDA approval for Lamotrigine Tablets
HDFC Q4 net profit at Rs 1,326 cr Vs Rs 1,142 cr (YoY)
Andhra Bank Q4 PAT at Rs 340 cr Vs Rs 313 cr (YoY); NII at Rs 914 cr Vs Rs 861.5 cr (YoY)
Ramky Infra bags order worth Rs 1250 cr
TTML Q4 YoY net loss at Rs 123 cr vs loss of Rs 330 cr; net sales at Rs 648 cr vs Rs 575 cr
United Bank Q4 YoY net profit at Rs 149 cr vs Rs 143 cr; NII at Rs 619 cr vs Rs 575 cr
Punjab & Sind Bank Q4 YoY net profit at Rs 148 cr vs Rs 130 cr. NII at Rs 418 cr vs Rs 393 cr
The Indian markets have turned strongly upward from their morning lows after the Finance Minister, Pranab Mukherji, said in the Parliament that the General Anti-Avoidance Rules (GAAR) has been deferred by a year and will be implemented from April 2013 onwards. The Sensex and Nifty closed with gains of 0.48% and 0.54% respectively. Following this news, most of the BSE sectoral indices turned positive. Capital Goods and Consumer Durables jumped higher and closed with gains of 3.62% and 1.99% respectively. Among the losers, FMCG, Oil & Gas, IT and Pharma plunged between 0.17%-0.59%. The peer Asian markets closed in the deep red after the US reported weak job data numbers on Friday, May 4, 2012. Moreover, the election results in Europe and the failure of the leading party has created uncertainty ahead for the zone and for the broader spectrum of Euro-area assets. The European markets have plummeted after the election results raised concerns over the austerity measures and the ability of the region to fix its debt crisis. The Greek stock market has plunged by 7%, while CAC and DAX are trading lower by 1.075% and 1.29% respectively. Back home, the Capital Goods heavyweights were among the leading index gainers. BHEL and L&T closed up by 6.12% and 4.79% respectively. The market breadth, which indicates the overall health of the market, was negative. Out of the 3176 stocks traded on the BSE, 1661 advanced, 1372 declined and 143 remained unchanged.
The Indian markets saw a blood bath in its trading sessions today, resulting the broader markets to close down by almost 2% by end of day. The Nifty breached the psychological 5100 mark, while the Sensex plunged below 17000, creating further speculations that the markets may move southwards going ahead. The markets are currently at its lowest level in the last 3 months. This was after the weakening rupee and media reports which said that the government plans to review the tax treaty with Mauritius, which dampened investor sentiment. Among the sectoral indices, Capital Goods and Bankex plunged by more than 3% each, which led the markets to a free fall. Healthcare was the only index that closed the day in the positive territory. The peer Asian markets closed with mixed results, with Hang Seng in the red zone and Shanghai in positives. The Japanese market was shut for the day. The markets are looking nervous after Australia’s central bank cut its economic growth forecast on the back of an uncertain macro environment and the US service industries data, which came in below the street expectations. Back home, the Capital Goods heavyweights were among the leading index losers. The market breadth, which indicates the overall health of the market, was negative. Out of the 3241 stocks traded on the BSE, 2364 declined, 778 advanced and 99 remained unchanged.
In FY12, standalone debt increased 24% YoY to Rs43bn (working capital loan of Rs10bn and term loan of Rs33bn). Average interest cost of debt was 12.5%. The company was able to realise claims worth Rs2.03bn and received an arbitration award worth Rs2.56 bn. The company laid more stress on settling
the claims to reduce debt.
The company expects BOT projects to contribute revenue worth Rs2bn in FY13E and Rs3.0-3.5bn in FY14E.
For FY12, the Lavasa project reported revenue of Rs753mn, down 86% YoY, and reported a loss of Rs1.37bn as against a profit of Rs1.11bn in FY11. The company launched pre-sales for its second town Mugaon which was sold out in fortnight of launch and 95% of its first town Dasve is already sold out. The management intends to go for a capex of Rs8bn in FY13, which would be funded by banks (banks have agreed to lend additional funds worth Rs6bn) and inflow through new sales, which would bring the growth back on track. The total debt of Lavasa stood at Rs22bn. Interest payment span exceeded by 90 days on a sum of Rs7.5bn, while the rest of the debt is being serviced in a time-bound manner.
HCC’s balance sheet would continue to be under strain because of higher debt level, thereby restraining the growth of its core business, and the company would report a net loss even in FY13. Meanwhile, the likely nod to its CDR package will ease short-term cash flow, thereby improving project execution. However, we believe HCC would take some time to come out of its problems. Following the earnings downgrade,we have revised our TP from Rs17 to Rs16 and retained our Sell rating on HCC.
After witnessing nervous trading sessions, the Indian markets closed on a negative note today. Both the Sensex and Nifty closed with losses of 0.10% and 0.17% respectively. Weak quarterly earnings result from the corporates and falling rupee has dented investor sentiment. Of the sectoral indices, Auto, Metals, Bankex and Realty closed lower by 2.43%, 1.75%, 1.74% and 1.45% respectively. IT and Teck are the only indices that closed in positives. The other Asian markets closed on a mixed note, with Hang Seng trading lower and Shanghai trading with marginal gains. European markets continue to trade on a positive note, with the CAC, DAX and FTSE trading higher in the range of 0.5%-1.12%. The Auto stocks closed lower after the sales volume data for April 2012 remained subdued. Stocks like Tata Motors, Bajaj Auto, and Maruti Suzuki, Mahindra & Mahindra and Hero Motocorp are trading lower in the range of 1%-7%.
Hero MotoCorp lost 7% today after posting muted result for the Mar 2012 quarter. FMCG company, Marico, fell by 1% after posting weak consolidated net profits, which fell by 2.68% to Rs 69.69 crore in Q4 2012 as compared to the same period last year. IRB Infrastructure tanked by 10.90% on the BSE after the news that the company’s chairman is being investigated for possible involvement in a murder case. The market breadth was negative. Out of the 3211 stocks traded on the BSE, 1987 declined, 11115 advanced and 109 remained unchanged.
Sterlite Technologies Ltd
BSE : 532374 NSE Symbol : STRTECH
Sterlite Technologies is a leading global provider of transmission solutions for the power and telecom industries. Sterlite is also executing multi-million dollar power transmission system projects, Pan-India.
Sterlite Technologies Ltd (STL) Q4FY12 net revenue surprised us as volume increased in power conductor segment however EBITDA and net profit were in line with our estimates.
Net revenues grew by 18.6% YoY to Rs 809.3cr crore driven by mix of volume growth and net realization in both power conductor and telecom segment.
EBITDA stood at Rs 66.7cr, robust growth of 36.3% YoY. Operating margins marginally improved by 100bps on account of 50bps margin improvement in power segment. However margins for telecom segment declined 260bps.
Net profit increased by ~59% YoY on the back of improved operating margins. The company incurred Rs 3cr higher interest in the quarter due to increase in debt in the quarter.
Order book stood at Rs 2300cr the end of Q4FY12. Management expects orderbook to gain momentum as PGCIL and major clients release new orders in FY13E.
STL reported sales growth of 20% YoY in FY12 however margins squeezed due to low margin order execution led by intense competition.
After opening on a positive note today, the Indian markets lost their early gains in the afternoon trade and finally closed in the negative territory. This was despite the positive opening of the European markets. The Sensex and Nifty closed with losses of 0.10% and 0.17% respectively. The weakening rupee and the poor Mar 2012 quarter numbers, especially from the Auto sector, dragged the markets into the lower side today. The European markets continue to trade on a positive note. However, the London market, FTSE, has lost its gains with a loss of 0.41%. Among the rate sensitive sectors, the Auto index closed with leading gains of 2.05%. The rate cut by the RBI will lead to lower interest rates offered by banks on car loan, resulting in higher sales volumes. On the other hand, Pharma, FMCG, Metals and Bankex are up with gains of 1.18%, 0.96%, 0.80% and 0.57% respectively. Here again, the RBI’s rate cut will lead to higher liquidity in the system and will boost the investment cycle of the industrial sector in the country. Of the BSE sectoral indices, defensive sectors like Consumer Durables and FMCG moved higher by 2.41% and 0.21% respectively, while Auto, Power and Capital Goods closed down with losses of 1.72%, 1.25% and 0.94% respectively. The market breadth, which indicates the overall health of the market, was negative today. Out of the 3263 stocks traded on the BSE, 1449 declined, 1673 advanced and 141 remained unchanged.
JSW Energy Q4 net profit at Rs 225 crore versus Rs 206 crore (YoY); net sales at Rs 2,036 crore versus Rs 1,422 Cr (YOY)
Tube Investments Q4 cons net profit at Rs 79 cr Vs Rs 40 cr (YoY); cons net sales at Rs 1,755 cr Vs Rs 1,416 cr (YoY)
Shoppers Stop Q4 net profit at Rs 96 lakh; net sales at Rs 773 cr
Taj GVK Q4 PAT at Rs 7 cr Vs Rs 13 cr (YoY); net sales at Rs 71 cr Vs Rs 69 cr (YoY)
Indiabulls Sec Q4 net profit at Rs 9.4 cr Vs loss of Rs 4.6 cr (YoY); income from operations at Rs 37.4 cr Vs Rs 46 cr (YoY)
Transformers & Rectifiers Q4 net profit at Rs 1.6 cr Vs Rs 14.6 cr (YoY)
Dabur Q4 cons PAT at Rs 171 cr Vs Rs 147 cr (YoY); cons net sales at Rs 1,363 cr Vs Rs 1,108 Cr (YoY).
Exide Q4 PAT at Rs 143 cr Vs Rs 163.6 cr (YoY); net sales at Rs 1446 cr Vs Rs 1,248 cr (YoY)
Godrej cons Q4 PAT at Rs 193 cr Vs Rs 142 cr; net sales at Rs 1,323 cr Vs Rs 1,000 cr
Vijaya Bank Q4 NII at Rs 493 cr Vs Rs 478 cr
United Phosphorus Q4 cons PAT at Rs 202 cr Vs Rs 218 cr (YoY)
OBC Q4 net profit at Rs 265 cr Vs Rs 334 cr (YoY); NII at Rs 1068 cr Vs Rs 1,013 cr (YoY)
The Indian markets remained highly unpredictable today. The morning saw flat trades in the markets. In the afternoon, the news of the ratings agency S&P cutting India’s outlook from ‘stable’ to ‘negative’ rocked the markets. Both the key indices went down sharply. By closing, they recovered partially from the shock, but still ended in the negatives. Nifty held the psychological 5200 levels. After S&P’s outlook cut, the markets will now watch the stance of other rating agencies such as Fitch and Moody’s. The Asian indices traded higher and closed in the green. Nikkei and Shanghai closed with gains, while Hang Seng closed with partial losses. The European indices opened in the green, and have continued to trade positive. Meanwhile, Moody’s has said the Indian government is the biggest factor that is harming the growth of the country. The agency also said that there is broad weakness in all the sectors, particularly in mining and manufacturing. On the sectoral front, the FMCG index was up by 0.55% by the end of the day. The Auto index was also up by 0.23%. All the other indices closed the day in the red. IT, Realty, Power, PSU and CD were down by over 1% each. Among individual stocks, Wipro lost 7.29% after weak Q1 guidance. The shares of ELANTAS Beck India attained a new high today. The top turnover was seen in SBI, Infosys, United Spirits etc. High volumes were seen in the Lanco Infra, ACIL, SpiceJet, Kingfisher Airlines and IVRCL counters. The market sentiment remained negative all of today.
