Market Closing Podcast
Market Closing Podcast
Here are the top headlines from Moneycontrol News' Sakshi Batra
PNB posts highest ever quarterly loss in Q4
Market Closing: Benchmark indices ended flat after the BJP is likely to fail to reach half-way mark in Karnataka, though it is likely to be emerging as the largest party with 104 seats.
The 30-share BSE Sensex was down 12.77 points at 35,543.94 and the 50-share NSE Nifty fell 4.70 points to 10,801.90.
Nifty Midcap index was down 179 points.
Punjab National Bank down 6 percent after Q4 earnings.
Karnataka Bank, Jet Airways, Dena Bank, Allahabad Bank, PTC India Financial Services, HDFC Standard Life, Adani Transmission, Indiabulls Real, NCC, Balaji Telefilms, Hathway Cables, Bajaj Hindusthan, KEC International, JK Paper and Tata Global Beverages down up to 10 percent.
Dr Lal PathLabs, Avenue Supermarts and Fortis Healthcare gained up to 10 percent.
Results Reaction: Karnataka Bank share price fell 4 percent after profit for the March quarter dropped sharply to Rs 11 crore compared to Rs 138.4 crore in corresponding period last fiscal.
Gross non-performing assets were higher at 4.92 percent from 3.97 percent and net NPA increased to 2.96 percent from 2.85 percent QoQ.
Buzzing: Punjab National Bank has posted highest ever quarterly loss at Rs 13,417 crore for the January-March period of 2018.. The stock lost more than 3 percent.
Gross non-performing assets jumped to 18.38 percent from 12.11 percent and net NPAs rose to 11.24 percent from 7.55 percent YoY.
Provisions and contingencies shot up sharply to Rs 20,353.1 crore for the quarter ended March 2018, an increase of 356 percent from previous quarter and 254 percent compared to same period last fiscal.
Results: Texmaco Rail has reported profit at Rs 22.9 crore for the March quarter against Rs 5.9 crore in same period last year.
Revenue grew by 1.8 percent to Rs 284.6 crore while operating profit jumped 88.6 percent to Rs 24.7 crore and margin improved 400 basis points to 8.7 percent YoY.
Earnings: Pharma major Lupin has posted a loss of Rs 783.5 crore for the quarter ended March 2018, due to one-time loss of Rs 1,464.3 crore on Gavis Group acquisition.
The company had reported profit of Rs 380.2 crore for March quarter 2017.
Revenue from operations for the quarter stood at Rs 4,033.8 crore, down 5.2 percent YoY.
Operating profit grew by 25.6 percent to Rs 698.7 crore but margin contracted to 17.3 percent from 22.1 percent YoY.
Results: Vodafone India posted operating profit of Rs 9,805 crore for the financial year 2017-18, ended March 31.
It had reported a loss of around Rs 30,690 crore for 2016-17 on account of the UK-based Vodafone group cutting down valuation of Indian unit by taking gross impairment charge of 4.5 billion euro.
Vodafone, which is in the process of merging with Idea, expects the process to be completed by June, possibly making the latest results the last on standalone basis.
Vodafone India continues to face tariff war heat and reported 18.7 per cent decline in organic service revenue to around Rs 35,045 crore in 2017-18 compared to Rs 42,927 crore service revenue registered in the preceding fiscal, reports PTI.
Earnings Reaction: Snowman Logistics share price fell more than 5 percent after March quarter profit after tax plunged 47.2 percent to Rs 1.9 crore from Rs 3.6 crore YoY.
Revenue from operations, however, increased 16.3 percent to Rs 51.8 crore from Rs 44.6 crore YoY.
Market Update: The market erased all its gains to trade mildly lower in afternoon, with the Nifty struggling below the 10,800 levels as the BJP is away from its half-way mark, though it is likely to be emerging as the largest party in the Karnataka Assembly.
The 30-share BSE Sensex was down 47 points at 35,509.71 and the 50-share NSE Nifty fell 23.70 points to 10,782.90.
The market breadth remained in favour of declines. About 1,567 shares declined against 949 advancing shares on the BSE.
Tata Motors was the biggest loser among Nifty50 stocks, falling more than 4 percent followed by Reliance Industries, ITC, SBI, ICICI Bank, L&T and IOC.
The Nifty Midcap index extended losses, falling 1.4 percent.
Rupee Update: The Indian rupee slipped again in afternoon, trading 35 paise or 0.52 percent lower at 67.86 against the US dollar.
Results: Auto component maker JBM Auto has reported a massive 61.1 percent growth year-on-year in profit at Rs 23.6 crore for the quarter ended March 2018, backed by revenue as well as operational performance.
Profit in the year-ago quarter stood at Rs 14.6 crore.
Revenue from operations during the quarter grew by 15.6 percent to Rs 448 crore compared to Rs 387.4 crore in same period last year.
Operating profit (EBITDA - earnings before interest, tax, depreciation and amortisation) jumped 26.3 percent year-on-year to Rs 58.8 crore and margin expanded by 110 basis points to 13.1 percent for the quarter ended March 2018.
Here are the top headlines from Moneycontrol News' Anchal Pathak
Bonus on early completion of project: Shares of PNC Infratech added 4 percent intraday as company received Rs 34 crore bonus for early completion of highway project in UP.
The company has received Rs 33.73 crore from National Highways Authority of India (NHAI) for early completion of a highway stretch in Uttar Pradesh.
PNC Raebareli Highways received the amount as bonus for early completion of two-laning of 166.44 km Raebareli-Jaunpur section of NH-231, PNC Infratech MD Yogesh Jain said in a statement.
This is the second bonus for the company in last three months.
"The scheduled date to complete the project was June 2, 2016, but we completed it on February 27, 2016," Jain added.
Buzzing: Shares of Indian Hume Pipe Company declined 4 percent intraday as company received cancellation of letter of acceptance from Madhya Pradesh Jal Nigam Maryadit.
Madhya Pradesh Jal Nigam Maryadit cancelled the letter of acceptance in respect of work order of Rs 578.50 crore due to discrepancies found in the bid process relating to tender on e-procurement portal.
The company had received letter of acceptance from Madhya Pradesh Jal Nigam Maryadit for Kundaliya Multi Village Rural Water Supply Scheme District - Rajgarh, Madhya Pradesh for the work order of Rs 578.50 crore including trial run and running and maintenance of the entire scheme for 10 years.
Panel Discussion on Karnataka Election Results
Market Update: The market lost more than 3/4th of its gains in afternoon trade. The BJP is likely to emerge as the single largest party in the Karnataka Assembly as it leads in 106 constituencies but is slightly away from its half-way mark.
The 30-share BSE Sensex was up 79.14 points at 35,635.85 and the 50-share NSE Nifty rose 20.20 points to 10,826.80.
The Nifty Midcap index extends losses, falling nearly a percent as the market breadth also turned in favour of declines.
Tata Motors, Reliance Industries, ITC and ICICI Bank are under pressure but HDFC twin and Infosys continued to support the market.
Vote Counting: The BJP was likely to finish tantalisingly close to the halfway mark in the Karnataka Assembly elections today, if not score an outright victory,
with its candidates winning 7 seats and leading in 102 others, officials said.
Congress candidates have won two seats and were ahead in 69, while the JD(S) was leading the table in 39 constituencies.
A party has to secure 112 seats for a simple majority in the Assembly. Though Karnataka has a 224-member Lower House, polling was held for 222 seats, reports PTI.
MSCI Additions: As many as four companies - Avenue Supermarts, Biocon, HDFC Standard Life Insurance Company and InterGlobe Aviation - will be added to the MSCI India Index with effect from June 1.
The news triggered buying in most of these companies, with shares of Avenue Supermarts surging 4.6 percent on BSE.
InterGlobe soared 1.2 percent and Biocon went up 0.7 percent.
The scrip of HDFC Standard Life however, fell sharply by 5.4 percent.
The changes in the constituents for MSCI India domestic index will take place as of close of May 31, 2018, MSCI India announced yesterday.
IDFC Bank, Power Finance Corporation and Vakrangee will move out of the index, it said.
Investors factor in a 'Modi win in 2019'?: Global investors have priced in a "Modi win in 2019", and the government may consider various stimulus options to support the rural economy in the run-up to Lok Sabha elections next year, says a UBS report.
"Our discussions with investors and the market's multiples suggest that Prime Minister Narendra Modi winning 2019 is being priced in," UBS Securities Head of India Research Gautam Chhaochharia and Analyst Sanjena Dadawala said in a research note.
It further noted the government may consider various stimulus options to support the rural economy ahead of the general elections.
According to the global brokerage, measures like minimum support price (MSP) hikes, price deficiency payment to farmers (done by Madhya Pradesh) and income support to farmers (done by Telangana), may be considered by the government.
Other potential ways could be through an interest rate subsidy, including zero-interest loans for farmers, reports PTI.
Europe Update: European markets were mixed, as investors monitored key political and economic risks while oil prices hovered close to multi-year highs.
The pan-European Stoxx 600 was flat, with most sectors and major bourses pointing in opposite directions, reports CNBC.
Market Update: Benchmark indices are off their day's high. The BJP is likely to emerge as the single largest party in the Karnataka Assembly as it leads in 105 constituencies but is slightly away from its half-way mark.
The 30-share BSE Sensex was up 171.46 points at 35,728.17 and the 50-share NSE Nifty gained 48.90 points at 10,855.50 while the Nifty Midcap index turned lower, falling 0.3 percent.
Market Outlook: VK Sharma, Head Private Client Group & Capital Market Strategy at HDFC Securities said going by the trends and the leads so far, with BJP emerging as a the single largest party, markets are relieved.
Even if the Congress forms the Government with the help of the JDS, the markets won’t be perturbed.
The markets will now start looking at the international commodity prices and the movement of the Dow. Early monsoon arrival forecast augurs well for the markets, he added.
CEO to step down: Vodafone's Chief Executive Vittorio Colao will step down in October after 10 years in charge of the world's second largest mobile operator, and will be succeeded by Chief Financial Officer Nick Read, the company said, reports Reuters.
German growth slows: German economic growth slowed slightly more than expected in the first quarter of the year due to weak trade, a first estimate from the Federal Statistics Office showed on Tuesday.
Europe's biggest economy grew 0.3 percent in the first three months - the slowest rate since the third quarter of 2016 - after expanding 0.6 percent in the final three months of last year, reports Reuters.