Stocks on Focus: Kotak Mahindra Bank, DMart, Mahindra Finance, Britannia, Titan, Inox Wind
In the Asia-Pacific region, stock markets opened positively on Monday following Wall Street's gains. Hong Kong's Hang Seng increased by 0.11 percent, while Australia's S&P/ASX 200 surged by 0.59 percent. However, trading for Japan's Nikkei and Korea's Kospi is closed for the day. In India, the GIFT Nifty futures were trading almost 111 points higher compared to Nifty50 futures.
Kotak Mahindra Bank: The bank has reported a 26 percent YoY increase in its Profit After Tax (PAT) for the financial year 2024, which now stands at Rs 13,782 crore. The bank's PAT for the fourth quarter of FY24 was Rs 4,133 crore, an 18 percent YoY increase. The bank's Net Interest Income (NII) for the financial year 2024 increased by 21 percent YoY to Rs 25,993 crore. The Net Interest Margin (NIM) for the fourth quarter of FY24 was 5.28 percent. The bank's board has recommended a dividend of Rs 2 per share.
Avenue Supermarts: The company running large format retail stores DMart reported a 22 percent YoY increase in net profits for Q4FY24, with PAT rising to Rs 563.1 crore. Revenue from operations grew by 20 percent to Rs 12,726 crore.
Mahindra Finance: The company earned a total income of Rs 3,706 crores in Q4FY24, which is a 21 percent YoY increase. However, its PAT decreased by 10 percent YoY to Rs 619 crores, while its NII increased by 14 percent to Rs 1,971 crores. The company's NIM remained stable at 7.1 percent. The disbursements increased by 11 percent to Rs 15,292 crores, and the Gross Loan Book grew by 24 percent YoY to Rs 1,02,597 crores. Additionally, the company improved its asset quality by reducing Stage 3 assets to 3.4 percent from 4.0 percent in December 2023. The credit costs were within the targeted range of 1.5 percent - 1.7 percent.
Britannia Industries: The company has reported a consolidated net profit of Rs 536.61 crore for the March quarter, which is a decrease of 3.76 percent from the same quarter of the previous financial year. The total revenue of the company stood at Rs 4,069.36 crore, indicating a rise of 1.14 percent from the year-ago quarter.
Titan Company: The company has announced its financial results for Q4, reporting a standalone net profit of Rs 786 crore, which represents a YoY growth of 7 percent. During the same period, the revenue increased by 17 percent to Rs 10,047 crore. Moreover, the EBITDA for the quarter grew by 6.2 percent to Rs 1,109 crore. The board has recommended a dividend of Rs 11 per equity share.
IDBI Bank: The bank has reported a 43.7 percent YoY increase in net profit for Q4FY24, amounting to Rs 1,628.5 crore. Additionally, the bank's NII has risen by 12.4 percent to Rs 3,687.9 crore. The bank's board has also recommended a dividend of Rs 1.50 per equity share for FY24.
Adani Enterprises: The company is interested in developing the port of Bataan in the Philippines. To do so, they plan to build a port that is 25 meters deep, which can accommodate Panamax vessels. In other news, the Mundra petrochemical project of the Adani Group is set to receive a loan worth Rs 17,000 crore from a consortium led by the State Bank of India (SBI). This loan will cover 60-70 percent of the capital expenditure required for the project. The loan will help in the financial closure of the project, which had stopped last year due to allegations of financial fraud. The project requires a total capex of Rs 25,000-27,000 crore and resumed operations in July last year.
JSW Infrastructure: The company plans to invest more than Rs 2,500 crore in FY2025 to expand its cargo handling capacity. They anticipate a 50 percent increase in capacity to 258 million tonnes with an investment of Rs 14,000 crore by 2027.
Inox Wind: The company reported a consolidated net profit of Rs 36.7 crore for Q4. The company's revenue from operations zoomed 176.69 percent to Rs 527.7 crore.
Tata Technologies: The company's Q4 net profit has decreased by 27.4 percent YoY to Rs 157.2 crore, while its revenue has dipped by 7.2 percent to Rs 1,301 crore. The EBITDA also declined by 1.1 percent to Rs 240 crore. Despite this, the board recommended a final dividend of Rs 8.40 and a special dividend of Rs 1.65 per equity share. In FY24, the company closed 12 large deals, and Warren Kevin Harris has been re-appointed as CEO and Managing Director.
Raymond: The company has approved a plan to consolidate its engineering business into a single entity, while segregating its aerospace and defense business into a separate entity. This move is aimed at enabling Raymond's and newly-acquired Maini Precision Products Limited's entry into certain high-growth sectors. The plan includes a demerger of the engineering business currently undertaken by JKFEL and its subsidiaries RPAL, MPPL, and JK Talabot into a new company called JKTTL. Additionally, it includes the merger of RPAL and MPPL into JKTTL, and the demerger of the aerospace and defense business of JKTTL into a new company called RGCEL.
Godrej Properties: The company has set an ambitious target to launch residential projects worth Rs 30,000 crore across major cities during this fiscal year. The aim is to achieve a 20 percent growth in sales bookings, following an impressive performance in the last fiscal year. The company's sales bookings soared by 84 percent to a record Rs 22,527 crore. It plans to launch these projects in the Delhi-NCR, Mumbai Metropolitan Region (MMR), Bengaluru, Pune, and Hyderabad markets.
One 97 Communications: Paytm has recently made some changes to its leadership. Bhavesh Gupta, the company's COO and president, has resigned from his position, effective from May 31, 2024. However, he will continue to support the company in an advisory capacity even after his resignation. Meanwhile, Varun Sridhar has been appointed as the CEO of Paytm Services, and Rakesh Singh as the CEO for Paytm Money.
Tata Power, SJVN: Tata Power Renewable Energy (TPREL) has recently entered into a power purchase agreement (PPA) with SJVN to establish a 460 MW Firm and Dispatchable Renewable Energy (FDRE) project. As per the agreement, TPREL will supply Firm and Dispatchable Renewable Energy for 25 years at a tariff of Rs 4.38/kWh. With this agreement, the total renewable energy capacity of TPREL has now reached 9,421 MW, including 4,906 MW projects that are in various stages of implementation.
Ugro Capital: The company has given their approval for the acquisition of MyShubhLife, a financial services platform, for a total enterprise value of Rs 45 crore. The deal will be made in both cash and equity. Additionally, the board has approved the raising of equity capital of Rs 1,322 crore through Compulsory Convertible Debentures (CCD) and warrants.
HCL Technologies: HCL Technologies and Cisco have collaborated to introduce 'Pervasive Wireless Mobility-as-a-Service,' which provides secure and seamless connectivity across multiple industries. The service combines HCLTech's managed network services with Cisco's URWB technology, resulting in a robust network infrastructure. It guarantees mobility and operational visibility in critical environments such as factories, mines, healthcare facilities, retail stores, and terminals.
Muthoot Finance: Belstar Microfinance, which is the microfinance arm of Muthoot Finance, has submitted preliminary papers with SEBI to raise Rs 1,300 crore through an initial public offering (IPO). The IPO will consist of fresh equity shares worth Rs 1,000 crore and an offer-for-sale (OFS) of Rs 300 crore by investor shareholders.
Coforge, Cigniti Technologies: A midcap IT firm has revealed its intentions to acquire the entire stake in Cigniti Technologies within a year. The acquisition will allow Coforge to expand and become a $2 billion company by FY 2026-27, up from the current $1.12 billion. The company aims to obtain a controlling interest of at least 51 percent through a Qualified Institutional Placement (QIP) process by August.
HDFC Bank: The bank announced that the RBI has approved the reappointment of Atanu Chakraborty as the part-time chairman for a period of three years.
Dr Reddy's Laboratories: The pharmaceutical company launched a new drug called doxycycline capsules, 40 mg in the US market. These capsules are a therapeutic generic equivalent of ORACEA (doxycycline, USP) capsules.
Mangalore Refinery and Petrochemicals: MRPL's Q4 net profit declined by 40.5 percent YoY to Rs 1,138.5 crore, while revenue from operations dipped by 0.1 percent to Rs 25,328.7 crore.
Carborundum Universal: The company reported a 4.2 percent YoY dip in net profit at Rs 142.6 crore for Q4. The company's revenue from operations increased 0.1 percent to Rs 1,201.2 crore.
