TOP CORPORATE NEWS -21 JAN 2015

.FM Jaitley to present FY16 budget on February 28
Finance Minister Arun Jaitley will present his first full-year budget on February 28 for the 2015/16 fiscal year, a government official said on Wednesday.
February 28 is a Saturday. The parliament session will begin on February 23 and will continue till March 20. The new fiscal year begins on April 1.
·Tata Elxsi Q3 consolidated net profit up 29% (YoY)
Tata Elxsi has announced the following Audited results for the quarter ended December 31, 2014 (YoY):
Standalone: Net Profit rose by 33.20% to Rs28.60 crore Vs Rs21.47 crore (YoY).Total Income increased by 12.71% to Rs222.58 crore Vs Rs197.47 crore (YoY).
Consolidated: Net profit rose by 28.69% to Rs27.76 crore Vs Rs21.57 crore (YoY).Total Income increased by 11.84% to Rs221.82 crore Vs Rs198.97 crore (YoY).
·Jindal Saw Q3FY15 PAT grows significantly
Jindal Saw Q3FY15 results: PAT grew significantly (after adjusting exceptional item); margin expanded as well.
It reported net profit of Rs61.9 cr v/s Rs50 cr (up by 24% YoY) while adjusted net profit grew by 116% YoY (after adjusting exceptional items of Rs40 cr) with net margin expansion of 290bps.
EBITDA increased by 44% YoY while revenue grew by modest 4% YoY to Rs1777 crore.
·Crompton Greaves wins order worth Rs156 crore
Crompton Greaves sealed a deal through competitive bidding process, with PT PLN (Perusahaan Listrik Negara) Indonesia, for the manufacture and supply of 37 units of 60 MVA, 20 MVA and 150/20kV power transformers. The deal is valued around Rs156 crore (USD 26 million) and GC’s transformers would be installed across the network of PLN in 36 different substations.
·Navin Fluorine surges on improved Q3FY2015 performance
Navin Fluorine International surged over 15% to Rs754 on NSE Q3FY2015: Improved operating performance supported strong earnings growth.
In Q3FY2015 company reported revenue growth of 33% YoY to Rs145.8 crore, operating margins for the quarter improved by100 basis point YoY to 12.9%
Earnings reported growth of 108% YoY to Rs14.2 crore largely supported by improved margins, lower interest cost and higher other income.
·TCS to manage digital transformation for Virgin Atlantic Airways
Tata Consultancy Services ( TCS) announced that it has been selected by Virgin Atlantic Airways ( VAA) to provide fully managed services to transform and optimise its IT processes, applications and infrastructure.TCS will set up a private cloud for Virgin Atlantic and provide services including infrastructure-as-a-service, End User Services and Application Support Services across the whole Virgin Atlantic's technology landscape.
·Excel Crop drops post Q3FY2015 numbers
Shares of Excel Crop Care dropped 5% to Rs999 on NSE on Weak Q3 numbers, PAT down significantly. Reported net profit reported at Rs1 cr v/s Rs12.6 cr in previous year while revenue also declined by 19% YoY to Rs165.3 cr during the quarter.
·Shakti Pumps PAT grows by 19% YoY
Shakti Pumps PAT grew by 19% YoY, margin expansion both at operating and bottom-line. Though revenues just grew by 6% YoY to Rs85cr, it has managed to report double-digit YoY growth of 16% at EBITDA level with an expansion in OPM by 170bps.Net profit also grew by 19% YoY to Rs7.6cr during the quarter.
 

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NIFTY INCHES TOWARD 8750; ITC FALLS 5%, HUL GAINS 5%

• The market is consolidating with the Nifty holding the 8700-mark comfortably. The 50-share index is up 29.15 points at 8724.75. The Sensex is up 101.18 points at 28885.85. About 1139 shares have advanced, 1733 shares declined, and 270 shares are unchanged. 
• HUL is up 4 percent while Bharti, HDFC, SBI and Infosys are gainers while ITC is down 5 percent followed by Sesa Sterlite, Cipla, ONGC and Tata Steel. 
• The agri revenue dropped to Rs 1598 crore from Rs 1786 crore in the year-ago quarter. The paper and packaging business revenue also dipped to Rs 1199 crore from Rs 1257 crore. The stocks is down over 4.4%.
• Asian shares hit a six-week high as investors counted on the European Central Bank to unveil a stimulus drive at its meeting on Thursday.
• foreign institutional investors were net buyers in equities to the tune of Rs 1,276 crore on Tuesday, as per provisional stock exchange data.
• The rupee trimmed its initial gains, but was still quoting up by 7 paise to 61.62 against the US currency in late morning deals today on bouts of dollar selling by banks and exporters.

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INDIAN EQUITY MARKET OUTLOOK - 21 JAN 2015

• INDIAN BENCHMARKS are likely to open on a positive note as the global cues look slightly supportive with SGX Nifty trading 27 points higher.
• Results on January 21, 2015 ITC, Raymond, Tata Elxsi, ING Vysya Bank, Zee Entertainment,TTK Prestige, KPIT Technologies, Mcleod Russel, L&T Fin.Holdings
• FURTHER,  Tech Mahindra eyes 20% revenue from BFSI in 3 yrs.
• TCS to support Virgin Atlantic's digital transformation programme.
• M&M completes Peugeot Scooters stake buy.
• RCom gets Rs650 cr from promoter group TIFPL.
• Trend in FII flows: The FIIs were net buyers of Rs 1275.59 cr in the cash segment on Tuesday while the DIIs were net sellers of Rs. - 761.6 cr, as per the provisional figures released by the NSE.

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INDIAN EQUITY MARKET WRAPUP -20 JAN 2015

INDIAN BENCHMARKS surge to record high; blue-chips gain

INDIAN EQUITY BENCHMARKS surged to a record high as metals stocks advanced after China's economic growth data came in slightly better than expected, while blue chips were underpinned by widespread confidence about the domestic economy. The S&P BSE Sensex and CNX Nifty ended 1.85% and 1.69% higher each..
                                                                                                                                
·Axis Kotak Mahindra Bank Q3 earnings In-Line

·South Indian Bank reports weak Q3 nos

·REI Agro ltd hits 5% lower circuit

The crucial resistance for Nifty is now seen at 8735 and above this 8815. Support for the immediate term is now placed at 8625 and next support will be 8575.

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TOP CORPORATE NEWS - 20 JAN 2015

·Reliance Communications allots equity shares
Reliance Communications (RCOM) announced that the Committee of Directors at their meeting held on January 20, 2015 have allotted 8,66,66,667 equity shares to Telecom Infrastructure Finance (TIFPL), a Promoter Group company, against Warrants issued to them. As a result, the Promoter Group's holding has gone up to 59.70% from existing 58.25%. The Paid up share capital of the Company is increased from Rs1201.16 crore to Rs. 1244.49 crore.
·Force Motors sets sights on defence sector
Force Motors Limited, is actively looking at tapping the huge potential that the Indian defence sector offer. It already supplying paramilitary ambulances to the armed forces since the last year.
It has the capabilities to customise our vehicles for troops movement etc.
·MRF in talks to buy Kesoram Industries tyre unit
MRF, which is India’s largest tyre manufacturer, is in discussion with Birla group company Kesoram Industries to acquire its tyre unit branded as Birla Tyres. Kesoram Industries had earlier decided to restructure its businesses and hive off the tyre division to reduce the debt on books. Birla Tyres has two manufacturing facilities one in Orissa and the other in Uttrakhand which has an excise duty benefit till 2019. However, given the low capacity utilisation at the tyre division, it has been facing losses.
·RBI asks banks to review base rate every quarter
RBI has asked banks to notify the base rate, at least once in every three months based on cost of funds, a move seen as a nudge to lenders to pass on changes in policy rate to borrowers.  At present, the review of the base rate does not have a fixed schedule. While banks have the freedom to calculate cost of funds the methodology should be reasonable reasonable and transparent provided and consistent.
·Government may deregulate urea, scrapping import duty
Government is exploring to deregulating urea, scrapping import duty: Positive for Urea manufacturer like Chambal Fertilizer, RCF, NFL, SPIC, Tata Chemicals and Madras Fertilizer
As per media reports government is considering deregulating MRP of urea which is fixed at Rs5360 (increase by 16.5% since FY2000) lower than its cost of production.
Also considering, scrapping of import duty on urea which is around 5% to check subsidy cost. As per deregulation government is planning to raise price of urea by 20% each year for next 3 years.
·Blue Star posts 33.6% growth in consolidated net profit
Blue Star reported a 33.6% growth in consolidated net profit at Rs4.69 crore in Q3FY2015, due to improvement in subsidiaries performance. Standalone net profit saw almost flat growth and stood at Rs3.24 crore (versus Rs3.29 crore).Better revenue mix improved during the period and the company got more services businesses when compared to more of licence deals a year ago.
·Jaitley to boost public spending on Infrastructure
Mr. Arun Jaitley has said that the centre will focus on encouraging domestic and international investments in manufacturing and infrastructure in coming months. The centre was working on measures to support road infrastructure to kick off investments and housing, particularly in the affordable and poor segments. The development is positive for road developers like IRB Infrastructure, IL&FS Transportation, Ashoka Buildcon, Sadbhav Engineering among others.
·Ramky Infra bags order worth Rs209.89 crore
Ramky Infrastructure announced that the JV (70% holding Ramky Infrastructure) has been awarded the project worth Rs209.89 for rehabilitation and upgradation of NH-43 from 180km to 241km to two lane with paved shoulder in the state of Chattisgarh under NHDP-IV through EPC route by Ministry of Road Transport & Highways. The development is positive for Ramky Infrastructure.

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NIFTY HITS FRESH ALL TIME HIGH ; SENSEX TOP 28,600

Markets have extended gains with the Nifty index hitting fresh record high led by sustained buying among index heavyweight shares like HDFC and ITC.

The 50-share NSE Nifty has taken more than a month to surpass the previous intraday record high of 8626.95 (on December 4, 2014). Today it touched a fresh life high of 8629.85, up 79.15 points intraday.

UltraTech Cement and Kotak Mahindra Bank were the leading gainers during this period, up 26 percent and 14 percent, respectively. Index heavyweights HDFC (up 11 percent) & HDFC Bank (up 7 percent) and to some extend Hindustan Unilever (up 7 percent) were the major contributors.

Sesa Sterlite, Tata Steel and Hindalco Industries surged 3-4 percent whereas TCS, HUL, GAIL, Maruti Suzuki, Bajaj Auto and Hero Motocorp fell 0.5-2 percent.

The rupee traded flat to marginally lower as the dollar strengthened overseas. The rupee slipped from a two-month high , currently at 61.77 against a close of 61.71 yesterday.

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INDIAN EQUITY MARKET OUTLOOK - 20 JAN 2015

• INDIAN BENCHMARKS are likely to open on a positive note as the global cues look slightly supportive with SGX Nifty trading 27.50 points higher..
  A Results on January 20, 2015
• Kotak Mahindra Bank, South Indian Bank, Rallis India.
• FURTHER, Force Motors eyes to sell 23,000 vehicles this fiscal
• Blue Star Q3 consolidated net up 34%.
• Zensar Technologies Q3 net up 37% annually.
• Trend in FII flows: The FIIs were net buyers of Rs 433.72 cr in the cash segment on Monday while the DIIs were net sellers of Rs. -237.71cr, as per the provisional figures released by the NSE.

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