News Wrap: Asian Markets, Trending Stocks; Q3 Earnings; India's Forex Reserves; Adani Wilmar IPO, Jio Platforms Investment & More…
February 4, 2022:
Indian benchmark indices Sensex and Nifty50 ended in the red.
The 30-Scrip BSE Sensex ended 143.20 points or 0.24% lower at 58,644.82.
The NSE Nifty slipped 43 points or0.25% to close at 17,516.30.
Among sectors, auto, PSU Bank and media indices down 1-2 percent, while realty index tumbled 2.76%.
The metal index gained more than 1 percent.
BSE midcap index shed 0.68 percent, while smallcap index fell 0.45 percent.
Japan’s Nikkei 225 closed 198 points or 0.73% higher at 27,439.99.
Australia’s ASX 200 rose 0.60% to 7,120.20.
KOSPI, the major stock market index of South Korea, closed 1.57% higher at 2,750.26.
Hong Kong’s Hang Seng index jumped 3.24% to close at 24,573.29.
China’s SZSE Component Index and the Shanghai Composite were closed on account of the Chinese New Year.
Earnings In Focus:
Devyani International Posts Rise In Q3 Net Profit, Revenue
Devyani International, the second-largest Quick-Service-Restaurant (QSR) chain in India, posted a 44.1% increase in net profit at Rs 63.1 crore for the quarter ended December 31, 2021.
The revenue in the third quarter jumped 64.7% YoY to Rs 624.4 crore.
As of December 31, 2021, the company operated 339 KFC stores, 391 Pizza Hut stores and 50 Costa Coffee stores in India.
EBITDA (earnings before interest, taxes, depreciation and amortisation)in Q3FY22 61.7% YoY rose to Rs 147.8 crore.
Devyani's EBITDA margin came in at 23.7 percent in Q3FY22 against 24.1 percent in Q3FY21.
Bank Of India Q3 Net Profit Increases, NII Decreases
Bank of India reported a 90% year on year rise in its net profit at Rs 1,027 crore for the third quarter ended December 2021 (Q3FY22).
The net profit stood at Rs 541 crore in Q3FY21 and Rs 1,051 crore in Q2FY22.
Net interest income (NII), the difference between the interest revenues and interest expenses, decreased 8.8% to Rs 3,408 crore in Q3FY22 versus Rs 3,739 crore in Q3FY21.
Sequentially, NII declined 3.2% from Rs 3,523 crore in Q2FY22.
The net interest margins decreased 2.27% during the quarter from 2.58 percent in Q3Fy21 and 2.42 per cent in Q2Fy22.
The non-interest income also fell 3.26% YoY to Rs 1,835 crore in Q3FY22 from Rs 1,897 crore in Q3FY21.
The bank’s Gross Non-Performing Assets (NPAs) fell 10.46% in Q3FY22 from 13.25% a year ago.
Sequentially, Gross NPAs declined from 12.2% in Q2FY22. Bank expects to reduce Gross NPAs to 10% by March 2022, according to A K Das, managing director and chief executive, BOI.
The Net NPAs increased 2.66% in Q3FY22 from 2.46% in Q3FY21. Sequentially, net NPAs declined from 2.79 percent in Q2FY22.
Tata Steel Posts 139% Increase In Profit At Rs 9,598 Cr
Tata Steel posted a 139% increase in consolidated net profit at Rs 9,598 crore for the quarter ended December 31, 2021, from Rs 4,011 crore in the year-ago period.
Consolidated revenues for the third quarter stood at Rs 60,783 crore, up 45 percent from Rs 41,935 crore posted a year ago. Revenues in the preceding quarter stood at Rs 60,387 crore.
In Q4FY22, EBIDTA stood at Rs 15,853 crores which works out to a margin of 26%, with Tata Steel Standalone EBIDTA margin at 38%, said Koushik Chatterjee, Executive Director and Chief Financial Officer.
According to T V Narendran, Chief Executive Officer & Managing Director of Tata Steel, the company’s steel deliveries in India expanded by 4% in the first nine months of the financial year, and the product mix improved.
IndiGo Finally Posts Profit Of Rs 129.79 Cr, After Reporting Losses For 7 Straight Quarters
Interglobe Aviation Ltd posted a profit of Rs 129.79 crore in the quarter ended December 31, 2021, the first time after posting losses for the straight seven quarters.
Indigo had reported a loss of Rs 621.80 crore in the year-ago period.
Net revenue in Q3FY22 increased 89 percent to Rs 9,294.77 crore from Rs 4,909.98 crore in Q3FY21.
Airline’s passenger ticket revenue attracted Rs 8,073.10 crore, up 98.4%, while ancillary revenue was Rs 1141.70 crore, up 41.3% year-over-year.
Indigo's yields rose19.2% to Rs 4.41/km at the end of the third quarter. Passenger load factor increased 79.7% from 72% a year ago.
Aircraft fuel expenses soared 186% to Rs 3,269.30 crore, while aircraft and engine rentals increased 98% to Rs 127.30 crore.
Total expenses surged 62% to Rs 9346.40 crore.
EBITDA margin improved to 21.5% from 20.1% a year earlier.
At the end of the third quarter, the airlines’ total debt stood at Rs 35,153.40 crore, up 26.8% from a year ago.
India's Forex Reserves Decrease $4.531 Bn To $629.755 Bn
India’s foreign exchange reserves reduced by $4.531 billion to $629.755 billion in the week ending January 28, RBI data showed on Friday.
In the preceding week ended January 21, the reserves had declined by $678 million to $634.287 billion.
It reached an all-time high at $642.453 billion in the week ended September 3, 2021.
During January 22-28, the reserves decreased because of a fall in the foreign currency assets (FCAs), an essential component of the overall reserves, and gold reserves.
FCAs shed $3.504 billion to $ 566.077 billion, according to the weekly data by the Reserve Bank of India (RBI).
Gold reserves dipped by USD 844 million to USD 39.493 billion in the reporting week.
The special drawing rights (SDRs) with the International Monetary Fund (IMF) decreased $141 million to $19.011 billion.
India’s reserve position with the IMF tumbled $42 million to USD 5.174 billion.
Adani Wilmar IPO Issue Price Set At Rs 230 apiece
Fortune Oil Maker Adani Wilmar has set Rs 230 apiece as the issue price of its Rs 3,600 crore initial public offering (IPO).
The price band of the IPO was Rs 218-230 a share.
The three-day initial-share sale of Adani Wilmar Ltd (AWL) was opened on Jan 27, 2022, and closed on Jan 30, 2022.
The IPO saw 17X subscriptions. Retail investors subscribed 3.92 times their reserved allotted shares.
More To Know:
Three arms of Adani Green Energy Ltd (AGEL)--Adani Green Energy (UP) Ltd, Prayatna Developers Pvt Ltd and Parampujya Solar Energy Pvt Ltd have collectively raised Rs 612.30 crore via their first domestic bond offering on a private placement basis for debt refinancing.
Cash strapped Infrastructure Leasing and Financial Services (IL&FS) announced the completion of the sale of its 35% stake in Warora Chandrapur Ballarpur Toll Road Ltd (WCBTRL) to its majority JV partner Vishvaraj Infrastructure Ltd (VIL).
Jio Platforms infused $15 million in Silicon Valley-based deep-tech start-up TWO Platforms Inc to pick a 25% equity stake on a fully diluted basis.
InterGlobe Aviation, the parent company of IndiGo airlines, appointed its Co-founder Rahul Bhatia as the company's Managing Director effective immediately.
IPO bound Life Insurance Corporation (LIC) and Policybazaar.com have partnered to offer a wide range of term and investment products to consumers.
New York-based private equity major Apollo Management has invested around Rs 940 crore ($125 million) as growth capital to acquire a minority stake in Hero Fincorp.
Adani Group chairperson- Gautam Adani has become the richest person in Asia with worth $90.1 billion, according to Forbes’ Real-Time Billionaire calculations, and the 10th richest person in the world.