Stocks To Focus: Infosys, LTIMindtree, CEAT, Tata Power, Zydus Lifesciences
Stocks to watch on Friday, July 19: Benchmark indices Sensex and Nifty50 may open positively today, driven by mixed global market signals. At 6:36 AM, GIFT Nifty futures were up by 19 points, trading at 24,828.50 levels, indicating a higher start for the day. In Asia, most markets traded lower, with Australia's ASX200 falling by 1.05 percent and Korea's Kospi dropping over 1.05 percent. Japan's Nikkei, however, rebounded from its lows and rose by 0.11 percent after the announcement of inflation figures meeting street expectations. In the domestic market, the focus will be on Infosys after its ADRs traded 9.5 percent higher following better-than-expected Q1 results.
Infosys: Infosys reported better-than-expected earnings of Rs 6,368 crore for the June quarter. They also surprised the market by increasing their sales forecast for FY25 to 3-4% in constant currency terms, up from 1-3% previously. This higher forecast suggests that clients are beginning to invest more in technology in a strong global environment. The 20% sequential decline in Infosys' net profits was primarily due to an income tax refund received in the last quarter. The company's growth in the banking, financial services, and insurance (BFSI) vertical contributed to their positive results.
LTIMindtree: LTIMindtree announced a multi-million dollar contract extension with Absa Bank, a leading African financial services group. The partnership, which has already spanned 17 years, has seen Mindtree play a crucial role in Absa Bank’s digital transformation, the company said in a press release.
CEAT: In the June quarter, CEAT, the flagship company of RPG group, experienced a 6% year-on-year (y-o-y) decrease in standalone net profit. This decline was influenced by the implementation of a voluntary retirement scheme (VRS). The Mumbai-based tire manufacturer reported a net profit of 
149 crore for the quarter. However, its standalone revenue from operations increased by 8% y-o-y, reaching 3,168 crore.
149 crore for the quarter. However, its standalone revenue from operations increased by 8% y-o-y, reaching 3,168 crore.
Tata Power: Tata Power Renewable Energy, the renewable energy arm of Tata Power, has announced that it has signed a memorandum of understanding (MoU) with NHPC Renewable Energy (NHPC REL) to spearhead the installation of rooftop solar projects on government buildings of central ministries, states, and Union territories.
Zydus Lifesciences: Zydus Lifesciences has announced that the USFDA has classified its injectables manufacturing facility, located at Jarod near Vadodara in Gujarat, as "official action indicated" following an inspection. The inspection, conducted by the US Food and Drug Administration (USFDA), took place between April 15 and April 23, 2024. Zydus Lifesciences made this announcement in an exchange filing.
Tata Technologies: Tata Technologies reported a net profit of 162 crore in Q1 of FY25, which marks a 15% decline compared to the same period last year. This decrease is attributed to declining revenue from its services segment and higher expenses. In the corresponding quarter a year ago, the company had reported a profit of 192 crore. The company's total operating revenue increased by 0.9% to 1,269 crore year-on-year (YoY) and decreased by 2.5% quarter-on-quarter (QoQ).
162 crore in Q1 of FY25, which marks a 15% decline compared to the same period last year. This decrease is attributed to declining revenue from its services segment and higher expenses. In the corresponding quarter a year ago, the company had reported a profit of 192 crore. The company's total operating revenue increased by 0.9% to 1,269 crore year-on-year (YoY) and decreased by 2.5% quarter-on-quarter (QoQ).
Persistent Systems: The company's net profit increased by 33.94% to Rs 306.41 crore for the quarter ending June 30, 2024, compared to Rs 228.76 crore reported in the same period a year ago. Additionally, the company's revenue from operations grew by 17.92% to Rs 2,737.17 crore in Q1 FY25 from Rs 2,321.17 crore in the corresponding period a year ago.
L&T Technology Services: In the first quarter of this fiscal year, L&T Technology Services saw a 8% decrease in net profit quarter-on-quarter, amounting to Rs 313.6 crore. However, on a year-on-year basis, the net profit increased by 0.8%. The company's revenue for Q1 also declined by 3% sequentially to Rs 2,461.9 crore, but showed a 7% increase on a year-on-year basis. Operating margins dropped to 15.6% in the last quarter from 16.9% in Q4 of FY24. Looking at it on a year-on-year basis, the margins fell by 160 basis points (100 basis points = 1%).
