Q2 Results 2024 Updates: Biocon reports loss of Rs 16 cr; revenue at Rs 3,590.4 cr

Net profit down 20% at Rs 36 cr vs Rs 45 cr (YoY)

Revenue down 15.4% at Rs 494.6 cr vs Rs 584.4 cr (YoY)

EBITDA down 23% at Rs 51 cr vs Rs 66 cr (YoY)

Margin at 10.3% vs 11.3% (YoY)

L&T CFO R. Shankar Raman : Private sector investment in India remains around 40 percent of overall infrastructure capital investment and going forward we expect private sector capex to continue in building airports, railway stations, data centre, commercial building, residential building, IT hubs, automobile and steel plants

L&T CFO R. Shankar Raman : Going forward L&T expects govt capex to drive growth of the economy but private sector capex is also returning to support the government's capex

L&T CFO R. Shankar Raman : L&T is working with NTPC to finalise the orders and will likely announce the orders before the end of Q3FY25

L&T CFO R. Shankar Raman : India should not overlook the potential of Nuclear Power in India

L&T CFO R. Shankar Raman : L&T is well placed in its bids for contracts worth over Rs 40,000 crore floated by state-owned NTPC to set up three coal-fired power plants

L&T CFO R. Shankar Raman : L&T is eyeing a order pipleline of Rs 5 trillion from its infrastructure segment in the rest of FY25

L&T senior executive vice president (Energy) and whole-time director, Subramanian Sarma : India will need a combination of thermal and renewable energy to meet its ambitious energy demand till 2030

Net profit down 84.2% at Rs 27.1 cr vs Rs 172 cr (YoY)

Revenue up 3.7% at Rs 3,590.4 cr vs Rs 3,462 cr (YoY)

EBITDA down 7.6% at Rs 685.5 cr vs Rs 741.3 cr (YoY)

Margin at 19.1% vs 21% (YoY)

L&T CFO R. Shankar Raman : L&T is planning to bid for international orders in central Asia and Africa as well in order to avoid over-reliance on one segment in the international market

L&T CFO R. Shankar Raman : L&T is confident of meeting its FY25 order inflows and a topline growth guidance

L&T CFO R. Shankar Raman :Back in May 2024 L&T had said it will aim for a 10 percent on-year growth in its order inflows and a topline growth of 15 percent on year in the financial year 2024-25.

L&T CFO R. Shankar Raman : L&T reported EBITDA margin of 10.3 percent in Q2FY25 70 basis points than the levels seen in Q2FY24

L&T CFO R. Shankar Raman : L&T aims to reduce the debt levels of Hyderabad Metro through transit-oriented development (TOD) monetization

L&T CFO R. Shankar Raman : L&T had won two international ultra-mega orders worth Rs 400 billion in the Hydrocarbon business in Q2FY24 which had helped L&T propel order inflow last year to Rs 89,153 crore at the group level in Q2FY24

L&T CFO R. Shankar Raman : L&T saw its Q2FY25 order inflow decline 10 percent on year to Rs 80,045 crore

L&T CFO R. Shankar Raman : L&T eyes an order pipeline of Rs 8 lakh crore going forward, with 60 percent of the orderbook to be made of Infrastructure Projects, and 20 percent Energy Projects

L&T: A better-than-expected south-west monsoon augurs well for the revival of the rural economy and consumption demand

L&T : Manufacturing activity is gaining on the back of improving domestic demand, lower input costs and a supportive policy environment

L&T : Investment activity has remained resilient in Q2FY25, with government capex rebounding from a contraction observed in the first quarter.

New employment-linked Incentive schemes could improve availability of skilled / trained labour in India, say L&T

Larsen & Toubro (L&T)'s Q2 FY24 net profit rose 5 percent on-year to Rs 3,395 crore, beating Street expectations.

More here.

Broadband technology firm Sterlite Technologies Ltd (STL) has posted a consolidated loss of Rs 14 crore for the second quarter ended September 30, 2024.

STL had posted a net profit of Rs 32 crore for the same period a year ago.

Revenue from operations declined marginally to Rs 1,413 crore from Rs 1,494 crore in September 2023 quarter.

Net profit up 4.3% at Rs 99.8 cr vs Rs 95.7 cr (YoY)

Revenue down 9.1% at Rs 158.6 cr vs Rs 174.5 cr (YoY)

EBITDA down 3.6% at Rs 76.6 cr vs Rs 79.5 cr (YoY)

Margin at 48.3% vs 45.6% (YoY)

Tiger Logistics (India) on Wednesday said its net profit more than doubled to around Rs 8 crore for the September quarter on account of higher income.

It had posted a profit of Rs 3.22 crore in the July-September period of the preceding 2023-24 fiscal, the company said in an exchange filing.

During the second quarter, the company's total income rose to Rs 162.40 crore from Rs 53.99 crore a year ago, posting over three-fold year-on-year rise.

Dabur India Ltd Q2 FY25 net profit fell 18 percent on-year to Rs 418 crore, shrinking in line with the Street expectations.

More here.

Welspun Enterprises has reported around 11 per cent fall in consolidated net profit at Rs 61.56 crore for September quarter FY25 on account of higher expenses.

It had logged Rs 69.01 crore net profit in the July-September period of FY24, the company said in an exchange filing.

Total income rose to Rs 837.92 crore from Rs 692.65 crore in the year-ago period. Expenses surged to Rs 736.33 crore from Rs 595.61 crore a year ago.

Net profit up 13.9% at Rs 116 cr vs Rs 102 cr (YoY)

Revenue up 7% at Rs 1,224 cr vs Rs 1,146.3 cr (YoY)

EBITDA up 16.3% at Rs 195 cr vs Rs 167.7 cr (YoY)

Margin at 16% vs 14.6% (YoY)

Procter & Gamble Hygiene and Health Care Ltd on Wednesday reported a marginal 0.57 per cent rise in profit after tax at Rs 211.90 crore for the first quarter ended September 2024.

The company, which follows the July-June financial year, had reported a profit after tax of Rs 210.69 crore in the corresponding quarter of the previous fiscal.

Its revenue from operations of Procter & Gamble Hygiene and Health Care Ltd (PGHH) marginally fell by 0.28 per cent to Rs 1,135.16 crore during the quarter under review. It was Rs 1,138.35 crore a year ago.

Aditya Birla Capital reported a 41% decline in EBITDA for the second quarter, totaling Rs 1,103 crore compared to Rs 1,872.92 crore in the same quarter last year. The EBITDA margin also decreased significantly, landing at 10.7%, down from 24.6% year-on-year.

Aditya Birla Capital reported a net profit of Rs 1,015 crore for the second quarter, marking a significant 42% increase from Rs 715.6 crore in the same period last year. Revenue also saw robust growth, rising 35.7% to Rs 10,322 crore, up from Rs 7,607.2 crore year-on-year.

TTK Prestige reported an EBITDA of Rs 73.4 crore for the second quarter, down 9.3% from Rs 81 crore in the same quarter last year. The EBITDA margin also decreased to 9.7%, compared to 11% in the previous year.

TTK Prestige posted a net profit of Rs 52.8 crore for the second quarter, reflecting an 11% decline from Rs 59.3 crore in the same period last year. Revenue increased by 2.9%, reaching Rs 751 crore, up from Rs 729.5 crore year-on-year.

AIA Engineering reported a 28% decline in EBITDA for the second quarter, totaling Rs 275.7 crore, compared to Rs 382 crore in the same period last year. The company's EBITDA margin also decreased to 26.4%, down from 29.5% year-on-year.

AIA Engineering reported a net profit of Rs 256.7 crore for Q2, reflecting a decline of 20.5% compared to Rs 323 crore in the same quarter last year. Revenue for the quarter fell by 19.4% to Rs 1,044.2 crore, down from Rs 1,294.8 crore year-on-year.

Tata Power reported a consolidated net profit of Rs 1,188.63 crore for the first quarter of the financial year 2024-25, representing a 4% increase compared to Rs 1,140.97 crore in the same period last year. Sequentially, the net profit rose by 13% from Rs 1,045.59 crore in the March quarter. Revenue from operations saw a significant increase of 13.6%, reaching Rs 17,293.62 crore, up from Rs 15,213.29 crore in the corresponding quarter last year.

Dabur India reported a consolidated revenue of Rs 3,349.11 crore for the June quarter, marking a 7% year-on-year increase from Rs 3,130 crore. The company also achieved a net profit of Rs 500.12 crore, reflecting a 7.8% rise compared to the previous year. Margins improved slightly to 19.6%, up from 19.3% a year ago. The FMCG giant experienced a domestic volume growth of 5.2% during the quarter, driven by a sequential recovery in rural volume growth.

Larsen & Toubro (L&T) reported a consolidated net profit of Rs 2,786 crore for the quarter ending June 2024, reflecting a 12% increase from Rs 2,493 crore in the same quarter last year. Revenue from operations also saw a significant rise, growing 15% to Rs 55,120 crore in Q1 FY25, compared to Rs 47,882 crore during the corresponding period last year.

In its Q1 earnings, P&G Health reported a 0.5% increase in net profit to Rs 212 crore year-on-year, while revenue saw a slight dip of 0.3% at Rs 1,135 crore. EBITDA rose by 3% to Rs 291 crore, with margins improving to 25.6% from 25% YoY.

Dabur's Badshah Masala segment sustained strong momentum, achieving double-digit growth, with international business also projected to show double-digit gains in constant currency terms. However, adverse weather, including heavy rains and floods, impacted out-of-home consumption and reduced consumer offtake, particularly in the beverage category, according to Motilal Oswal.

Dabur India has ramped up its brand investment, with advertisement and publicity spending outpacing revenue growth. Experts predict a decline in the company's EBITDA margin, impacted by muted topline performance and elevated ad expenditures.

Shalby reported an EBITDA of Rs 32.5 crore for the second quarter, reflecting a significant decline of 38.3% compared to Rs 52.7 crore in the same period last year. The EBITDA margin also decreased to 12.1%, down from 22.1% year-on-year.

Shalby has reported a sharp decline in net profit for the second quarter, down 87.6% to Rs 3.4 crore compared to Rs 27.5 crore in the same period last year. However, the company saw revenue increase by 12.4%, reaching Rs 267.5 crore, up from Rs 238 crore year-on-year.

Voltas has expressed skepticism about significant sales boosts for air conditioners during the festival season. However, the company noted that all appliance categories have performed well over the past month. They anticipate that the onset of the festival season may lead to early demand for cooling products.

Dabur is anticipated to experience a volume growth decline of approximately 10% due to a distributor inventory correction in the general trade (GT) channel. "The company halted primary sales for the last 7-8 days of the quarter to facilitate a broad-based inventory correction among distributors. While Dabur has been proactive with new product launches, we cannot rule out the possibility of inventory returns, write-offs, or provisions related to these initiatives," noted Kotak Institutional Equities.

As L&T approaches its quarterly earnings release, investors will focus on projections for domestic order growth and capital expenditure plans in the Middle East, which are anticipated to drive revenue. Key updates on FY25 guidance, particularly regarding revenue and order inflow, will also be closely monitored.

Additionally, insights into the impact of reported labor shortages on project timelines and costs will be critical. Attention will be directed towards the pace of project execution in Saudi Arabia, overall pipeline trends in the GCC region, and factors affecting profitability, including the domestic order pipeline and margin performance.

Analysts at JM Financial are forecasting a challenging quarter for Tata Power, projecting flat net sales and an approximate 8% decline in EBITDA margins, primarily due to decreased earnings from Indonesian coal mines. Additionally, a decline in PAT is anticipated due to reduced other income and increased depreciation costs. Despite this outlook, JM Financial maintains a buy call on the stock.

Key factors to watch include long-term order book estimates for renewable power and upcoming capital expenditure announcements.

Dabur India has indicated a projected mid-single digit decline in consolidated revenue for the September quarter, attributing this decrease to several factors. The company expects its profitability to be impacted in Q2FY25, with operating margins anticipated to fall into the mid-to-high teens due to increased investment and deleveraging efforts.

One significant factor affecting earnings is volume growth, which is expected to decline by approximately 10% as a result of distributor inventory correction in the general trade (GT) channel.

Vardhman Textile net profit rises by 46.5% year-on-year to Rs 196.8 crore, up from Rs 134.3 crore in the same period last year. The company's revenue grew 4.4% to Rs 2,502.4 crore, compared to Rs 2,397.5 crore in the previous year.

Earnings estimates from analysts surveyed by Moneycontrol for Dabur India are closely aligned, indicating that any positive or negative surprises could trigger a significant reaction in the stock. The most optimistic prediction anticipates a modest 1% decline in net profit, while the most pessimistic scenario projects a steep drop of over 25% year-on-year.

Dabur India, renowned for its Chyawanprash, is set to release its earnings report for the quarter ended September on October 30, 2024. The FMCG company is expected to experience a single-digit decline in revenue due to falling consumption and low consumer offtake. According to a Moneycontrol poll of eight brokerages, Dabur is projected to report revenue of Rs 3,076 crore, marking a 4% decrease from Rs 3,204 crore in the same quarter last year.

Net profit is anticipated to fall to Rs 425 crore, down 17.4% from Rs 516 crore in the corresponding period last year.

L&T's robust order book is expected to support revenue growth, complemented by a revival in domestic order inflows following the state elections. Although a decline in order inflows is anticipated due to a high base from last year, a slight recovery in core infrastructure margins is projected. This recovery may contribute to overall earnings growth as cost efficiencies and project execution improve across key sectors.

L&T is expected to experience significant year-on-year growth in core revenue as domestic execution ramps up, supported by stabilized workforce levels following the elections. Additionally, continued project execution in the Middle East, particularly in the energy sector, will contribute to this growth. The company's strong order book is poised to sustain revenue expansion, alongside a revival in domestic order inflows anticipated after the state elections.

The Nomura report notes that Tata Power holds an order book of approximately Rs 13,000 crore in the utility scale segment. It states, “We believe Tata Power is well-placed to capitalize on the government’s green energy push and favorable policies, including the PLI scheme and solar capacity addition targets.” Notably, Tata Power is currently the largest player in the rooftop solar segment, commanding a 13% market share.

Analysts at Elara Securities anticipate that Tata Power's solar EPC business will significantly enhance its revenue. Their report highlights the company’s establishment of a 4 GW solar cell and module manufacturing facility, with the module plant already operational, having produced 130 MW in Q4 FY24 and 615 MW in Q1 FY25. The cell plant is set to be commissioned in Q2 FY25, with stabilization expected by December 2025.

Elara forecasts a 9% year-on-year revenue increase for Tata Power, along with an 11% rise in profit after tax (PAT).

B&K Securities presents the most optimistic estimate for L&T, projecting a 4% year-on-year increase in net profit and a 15% rise in revenue. In contrast, HDFC Securities offers a more pessimistic outlook, suggesting a potential 13% year-on-year decline in net profit, although revenue may still increase by 8%.

Nuvama highlights that while government capital expenditure initiatives and ME hydrocarbon ordering exhibit strong momentum, private capital expenditure has yet to reach its peak. For FY26, L&T's strategic plan focuses on achieving self-sustainability for its subsidiaries, enhancing its footprint in green energy (including hydrogen and battery storage), and exiting non-core businesses.

The brokerage adds, "With robust order inflow growth, the completion of legacy project executions, and refinancing of the Hyderabad metro, L&T's margins may see an upward trend, albeit at a slower pace."

Currently, around 14 brokerages have issued a buy rating for Tata Power, while five recommend holding and eight suggest selling the stock. Over the past year, shares of Tata Power have surged approximately 77%. In its October 2024 report, analysts at Nomura highlighted the company's EPC business as having substantial growth potential, fueled by increasing demand for solar energy projects in India and beyond.

The report noted, “Its significant and growing order book of Rs 15,700 crore provides a high level of visibility for growth in the coming years, and the integrated module manufacturing business enhances efficiencies.”

India's largest engineering, procurement, and construction (EPC) company, Larsen & Toubro (L&T), is set to announce its earnings for the quarter ending September 30, 2024, on October 30. Analysts predict subdued results due to lower operating profit and margins. A Moneycontrol poll indicates that L&T's net profit is expected to remain flat year-on-year at around Rs 3,182 crore, compared to Rs 3,222 crore reported in the same quarter last year. Revenue is anticipated to grow by 12% year-on-year, reaching Rs 57,303 crore, up from Rs 51,024 crore in the previous year.

Tata Power is set to announce its Q2 FY25 earnings on October 30, with expectations of an 11% year-on-year revenue increase to Rs 17,522 crore for the July-to-September quarter. According to an average of four brokerages, the company is projected to report an EBITDA margin of approximately 19.2%, a slight decrease from 19.6% in the same quarter last fiscal year. The net profit for the quarter is anticipated to be around Rs 1,148 crore, reflecting a 12.8% year-on-year growth.

Key results to monitor include those from L&T, Tata Power, Dabur, and Aditya Birla Capital, alongside a diverse array of other firms. Notable mentions in the earnings lineup include Procter and Gamble Hygiene and Health Care, IRB Infrastructure Developers, Carborundum Universal, Grindwell Norton, KIOCL, DCM Shriram, Vardhman Textiles, TTK Prestige, Prudent Corporate Advisory Services, and many more.

Beyond these industry giants, a host of other notable companies will also be releasing their earnings reports. Watch for insights from AIA Engineering, Biocon, Centrum Capital, D-Link, Foods and Inns, Goblin India, JK Agri Genetics, New India Assurance, Sagarsoft, Paisalo Digital, and Omax Autos, all of which could impact market sentiments.

The second quarter earnings season is officially underway, with 77 companies gearing up to unveil their quarterly performance for the July-September 2024 period today. Investors are keenly anticipating results from key players like L&T, Tata Power, and Dabur, which are expected to set the tone for the day.

Good morning! Welcome to Moneycontrol's live news blog for Q2 results on October 30. Stay with us for the latest updates and in-depth analysis of key companies' performance as their results unfold.