Stocks on Focus: NTPC, Cochin Shipyard, Adani Ports, Divi's, Wipro, Nazara Tech
Stocks to watch on Monday, May 27, 2024: Indian equities may have a steady start to the week on Monday, as indicated by GIFT Nifty. The GIFT Nifty futures were trading 6 points higher than Nifty 50 futures at 22,026. This morning, the Asia-Pacific markets opened with an upward trend, with Japan's Nikkei 225 rising by 0.16 percent and the broader Topix index climbing by 0.29 percent. South Korea's Kospi also edged up by 0.42 percent. Additionally, futures for Hong Kong's Hang Seng index were trading 0.58 percent higher at 18,716 levels.
NTPC: The company announced a 33 percent year-over-year increase in Q4 net profit to Rs 6,490 crore and a 7.6 percent rise in revenue to Rs 47,622 crore. In Q4, the company's gross power generation went up by 4.15 percent to 93.387 billion units (BU) compared to the same period last year, driven by increased power demand due to high temperatures across the country. The board recommended a final dividend of Rs 3.25 per share.
Cochin Shipyard: The company reported a 558.1 percent year-over-year spike in profit to Rs 258.88 crore and a 114.3 percent jump in revenue to Rs 1,286 crore in Q4.
Adani Ports, Wipro: Effective June 24, Adani Ports and Special Economic Zone will replace Wipro in the BSE Sensex. Additionally, REC, HDFC AMC, Canara Bank, Cummins India, and Punjab National Bank will be included in the S&P BSE index, while Page Industries, SBI Card, ICICI Prudential Life Insurance, Jubilant FoodWorks, and Zee Entertainment Enterprises will be removed. Trent will replace Divi's Laboratories in the S&P BSE Sensex 50 index.
Torrent Pharma: The company announced a 56.4 percent year-over-year increase in Q4 net profit to Rs 449 crore and a 10.2 percent rise in revenue to Rs 2,745 crore in Q4. The company intends to raise Rs 5,000 crore by issuing equity shares and convertible bonds through a qualified institutional placement (QIP).
Divi’s Laboratories: The company recorded a 67.6 percent year-over-year increase in Q4 net profit to Rs 538 crore and an 18 percent rise in revenue to Rs 2,303 crore. The company’s EBITDA surged 50.1 percent to Rs 731 crore.
Nazara Technologies: The company recorded a net profit of Rs 0.18 crore in Q4FY24, a significant decrease from Rs 9.4 crore reported in the same period the previous year. This was mainly due to a Rs 16.87 crore loss from discontinued operations during the quarter.
Glenmark Pharma: The company's net loss increased to Rs 1,238.6 crore in Q4FY24 from a loss of Rs 549.4 crore in the year-ago period. The company’s revenue grew by 2.1 percent to Rs 3,063 crore.
Bosch: The company experienced a 41.5 percent year-over-year growth in Q4 net profit, amounting to Rs 564.4 crore, and a 4.2 percent increase in revenue, totaling Rs 4,233.4 crore. The board proposed a final dividend of Rs 170 per share.
Karnataka Bank: The bank's Q4 profit dropped by 22.5 percent YoY to Rs 274.2 crore, with a 3 percent decline in net interest income to Rs 834 crore. The pre-provision operating profit fell by 27.1 percent to Rs 499.8 crore.
United Spirits: The company announced a 136.3 percent year-over-year increase in Q4 net profit to Rs 241 crore and an 11.2 percent rise in revenue (excluding excise duty) to Rs 2,783 crore. The company’s EBITDA surged by 42.1 percent to Rs 334 crore.
Aurobindo Pharma: The company's Q4 net profit increased by 79.6 percent year over year to Rs 909 crore, and revenue rose by 17.1 percent to Rs 7,580 crore. The company's EBITDA also spiked by 68.3 percent to Rs 1,687 crore. Additionally, the US FDA conducted an inspection at Unit III, a formulation manufacturing facility of the company's subsidiary, Eugia Pharma Specialties. The inspection classification status of this facility has been determined as Official Action Indicated (OAI).
Aster DM: The Dubai-based healthcare company has entered into an agreement with Cauvery Medical Centre for the expansion of its existing Aster CMI Hospital premises by adding another 350 beds.
Tata Steel: The Calcutta High Court has dismissed the company’s petition to waive loans from the Steel Development Fund (SDF). The company can now approach the Joint Plant Committee and pursue further legal options. As per the last audited financial statements, the total outstanding loan, including principal and interest, is Rs 2,751.17 crore.
Doms Industries: The company announced a 29.6 percent year-over-year increase in Q4 net profit to Rs 46.9 crore and a 20 percent growth in revenue to Rs 403.7 crore. The company’s EBITDA also increased by 22.6 percent to Rs 75.9 crore.
Rail Vikas Nigam: The company has secured a Rs 187.34 crore project from Maharashtra Metro Rail Corporation (Nagpur Metro) for the construction of six elevated metro stations in Phase 2.
Sun TV Network: The company recorded a 9 percent year-over-year increase in Q4 net profit to Rs 414.7 crore and a 14.4 percent surge in revenue to Rs 961.3 crore in Q4.
Reliance Industries: The company has applied for approval from the Competition Commission of India (CCI) for the $8.5 billion merger of Viacom18 and Star India Pvt Ltd (SIPL). The proposed transaction aims to combine the entertainment businesses of Viacom18, which is part of the Reliance Industries Ltd (RIL) group, and SIPL, which is wholly owned by The Walt Disney Company (TWDC).
Indiabulls Housing Finance: The company posted a 21.6 percent year-over-year growth in Q4 net profit, amounting to Rs 319.4 crore, while its net interest income decreased by 19.9 percent to Rs 281 crore.
Suzlon Energy: The company recorded a nearly 21 percent decrease in consolidated net profit to Rs 254 crore in Q4FY24, primarily due to certain exceptional items. However, the company’s total income increased to Rs 2,207.43 crore in the quarter.
Narayana Hrudayalaya: The company recorded a 17.7 percent year-over-year increase in Q4 net profit, reaching Rs 195 crore for Q4FY24. Revenue from operations also rose by 4.7 percent to Rs 1,279.4 crore.
Hindustan Construction Company: HCC recorded a 22.12 percent increase in Q4 consolidated net profit, amounting to Rs 246.2 crore, with the company's total income reaching Rs 1,813.05 crore during the quarter.
Ashok Leyland: The company has appointed KM Balaji as CFO. Gopal Mahadevan, the current CFO and Whole Time Director, will continue to be associated with Ashok Leyland as Director of Strategic Finance and M&A.
Jio Financial Services: The company plans to enter the device leasing business and is seeking shareholder approval for its unit, Jio Leasing Services, to acquire equipment worth Rs 36,000 crore from Reliance Industries' retail arm.
Easy Trip Planners: In the fourth quarter, the company reported a net loss of Rs 15.08 crore, a significant decrease from the Rs 31.06 crore profit recorded in the same period last year. On the positive side, the company's revenue increased by 40.7 percent to Rs 164 crore. In addition, co-founder and CEO Nishant Pitti has decided to withdraw his personal bid from the GoAir acquisition process. He stated that he wants to focus on other strategic priorities and initiatives that are in line with the company’s long-term vision and growth objectives.
Shaily Engineering Plastics: The board appointed Paresh Jain as the chief financial officer effective from May 24. Sanjay Shah was redesignated from chief strategy officer and chief financial officer to chief strategy officer.
Astra Microwave Products: The company reported a 302.3 percent YoY surge in Q4 net profit to Rs 54.4 crore and a 37 percent jump in revenue to Rs 354 crore. The company’s EBITDA zoomed 135.5 percent to Rs 80.7 crore.
Affle India: The company reported a 40.2 percent YoY spike in Q4 bet profit to Rs 87.5 crore and a 42.3 percent increase in revenue to Rs 506.2 crore.
HDFC Asset Management Company: Mudeita Patrao resigned as the Head—Digital effective June 21, 2024, to pursue other interests.
Hero MotoCorp: The company has filed rectification applications for reassessment orders related to six assessment years: 2013-14 to 2017-18 and 2019-20. As a result of the rectification orders received, the original tax demand has been reduced from Rs 604.87 crore to Rs 177.96 crore. The company has also filed appeals against these orders.
Divgi Torqtrans: The company saw an 11.28 percent year-over-year (YoY) decrease in net sales, amounting to Rs 65.06 crore in March 2024. The quarterly net profit was Rs 9.21 crore, marking a 31.55 percent decrease from March 2023. The EBITDA stands at Rs 18.24 crore, down by 16.71 percent from the previous year.
Harrisons Malayalam: The company saw a 19.56 percent YoY increase in net sales to Rs 140.98 crore in March 2024. However, the company reported a quarterly net loss of Rs 9.55 crore, down 2245.9 percent from the loss of Rs 0.45 crore in March 2023. The EBITDA stands at Rs 3.30 crore, down 34 percent from the previous year.
Paras Defence and Space Technologies: The company's Q4 net profit fell by 18.9 percent YoY to Rs 9.6 crore, but its revenue increased by 22.4 percent to Rs 79.7 crore.
ZF Commercial Vehicle Control Systems India: The company's Q4 net profit dropped by 1 percent YoY to Rs 100.2 crore, and its revenue declined by 1.9 percent to Rs 958.6 crore.
Zuari Agro Chemicals: The company recorded a net profit of Rs 77.4 crore in Q4, a significant improvement from a loss of Rs 426.7 crore YoY. However, the company’s revenue decreased by 33 percent to Rs 897.7 crore.
