Companies and Markets

Companies & Markets

Markets soar to new highs on prospect of good monsoon

The prospects of a good monsoon has brightened the domestic consumption story with stocks in FMCG, two-wheelers, fertiliser and tractor seeing renewed interest from investors and analysts.
With good rainfall there would be strong rural demand as a normal monsoon will increase spending ability of the rural population, which depends largely on farm income. This will help earnings growth of FMCG, consumer durables, agri inputs, fertiliser and cement companies, said an analyst with a leading domestic brokerage.

Mahindra net up 20%, vehicle sales flat in Q4

Homegrown auto major Mahindra & Mahindra (M&M) on Tuesday reported a 19.93 per cent increase in standalone profit after tax (PAT) at Rs 725.16 crore for the fourth quarter ended March 2017.
The company had posted a PAT of Rs 604.63 crore during the same period a year ago. Total income from operations rose 4.04 per cent to Rs 12,319.64 crore from Rs 11,840.47 crore in the same period a year ago.
The company's focus will be to increase its market share in the utility segment with one brand new vehicle and some refurbished ones, M&M MD Pawan Goenka said.

IPO-bound GIC Re reports 10% rise in FY17 net profit

With eyes on listing, national reinsurer General Insurance Corporation of India (GIC Re) on Tuesday announced its financial results for 2016-17, posting an 82.2 per cent rise in global premium income of Rs 33,585 crore, helped mainly by the government’s Fasal Bima Yojana. It also managed to cut its underwriting losses and operating expenses significantly during the year.
The profit after tax was Rs 3,127 crore, a 10 per cent growth over the previous year. The corporation has proposed a dividend of Rs 1,002 crore for 2016-17, a 17 per cent increase over the previous year.

Sensex, Nifty hit new highs; healthcare stocks rebound

Markets continued their record- setting streak for yet another session today with both the Sensex and Nifty ending at lifetime highs as investors cheered the early arrival of monsoon.
The BSE Sensex gained over 50 points to end at a new peak of 31,159.40, while the broader Nifty spurted almost 20 points to finish at 9,624.55.
Monsoon rains hit Kerala and the North East today, two days before the normal onset date, boosting optimism about a rebound in the rural economy.

Sensex off record-high, falls 41 points in early trade

Snapping its record-setting spree, the benchmark BSE Sensex fell over 41 points in early trade today as participants locked-in gains at current levels amid disappointing quarterly earnings.
Besides, absence of cues too negatively impacted trading sentiments as most of other Asian markets are shut.
The 30-share barometer retreated from its record closing by losing 41.24 points, or 0.13 per cent, to 31,068.04.
The gauge had rallied by 807.64 points in the previous three straight sessions.

Sebi to narrow P-note route, proposes $1,000 fee on each investor

The Securities and Exchange Board of India (Sebi) on Monday proposed to impose a regulatory fee of $1,000 for each participatory note (P-note) issued by foreign investors and bar issuance of such derivative-based instruments as part of its efforts to clamp down on misuse of this investment route.
In a consultation paper, Sebi proposed that P-note issuers will be given time till December 31, 2020 to wind down these products, unless they were undertaken for hedging purposes.

RCom shares plunge 20%, bond yield spikes to 17.7%

Mobile carrier Reliance Communications saw its shares and bonds plunge on Monday after it posted a fiscal fourth-quarter loss and its first ever full-year loss over the weekend, sparking renewed fear about its heavy debt load.
In a detailed report released on Monday, the company that is attempting to tackle its debt issues by forging a merger with a smaller rival and selling an interest in its tower segment, said cash flows from operations turned negative in the period ended March 31.

IOC now most profitable PSU, beats ONGC

Indian Oil Corporation (IOC) has overtaken Oil and Natural Gas Corporation (ONGC) to become India’s most profitable state-owned company.
IOC, which has for decades been India’s biggest company by turnover, posted a 70 per cent jump in net profit to Rs 19,106.40 crore in the financial year ended March 31, 2017.
This was more than the Rs 17,900 crore net profit ONGC posted in the 2016-17 fiscal, making IOC the most profitable PSU, according to earning statements of the companies.

ITC Q4 net profit up 12% to Rs 2,669.47 cr

Diversified firm ITC on Friday reported a 12.13 per cent increase in standalone net profit to Rs 2,669.47 crore for the fourth quarter of 2016-17, driven by revenue growth in agri commodities, branded packaged foods and personal care products businesses.
The company had posted a net profit of Rs 2,380.68 crore for the January-March quarter of last fiscal, ITC said in a BSE filing.
ITC’s net sales during the period under review were up 6.15 per cent to Rs 15,008.82 crore, as against Rs 14,138.78 crore for the corresponding quarter last fiscal.

Low tax outgos reflect in DLF Rs 136cr Q4 profit

India’s largest realty firm DLF on Friday reported a Rs 135.63-crore consolidated net profit for the March quarter of the last fiscal, mainly on account of lower tax outgo. It had in contrast posted a net loss of Rs 180.54 crore in the same period of the 2015-16 fiscal, according to a regulatory filing by the company.