February 8, 2022:

Indian benchmark indices Sensex and Nifty50 closed higher in choppy trade. 

• The 30-Scrip BSE Sensex ended 187.39 points or 0.33% higher at 57,808.58.

• The NSE Nifty climbed 53.15 or 0.31% to close at 17,266.75.

On the sectoral front, except for IT, media, realty, consumer durables, and oil & gas, all other sectoral indices ended in the green territory.

BSE smallcap and Midcap indices fell 0.45 and 1.4% each.

Asian Markets:

Japan’s Nikkei 225 closed 35.65 points or 0.13% higher at 27,284.52.

Australia’s ASX 200 rose 1.07% to 7,186.70.

KOSPI, the major stock market index of South Korea, closed 0.051% higher at 2,746.47.

Hong Kong’s Hang Seng index slid 1.02% to close at 24,329.49.

China’s SZSE Component Index was 0.98%, while Shanghai Composite rose 0.67%.

Top Trending Stocks On Encome Dashboard:

News Wrap:

Earnings In Detail:

Airtel Q3 Consolidated Profit Falls 3% YoY, Average Revenue Per User Rises 11% YoY

Telecom major Bharti Airtel posted a 3% fall in consolidated net profit after exceptional items at Rs 830 crore for the December 2021 quarter, compared with Rs 854 crore a year ago. 

Airtel posted a 12.6% rise in Q3FY22 revenue on the back of tariff hikes and subscriber additions.

The company's consolidated revenue from operations increased to Rs 29,867 crore in Q3FY22 from Rs 26,518 crore in Q3FY21.

Airtel’s average revenue per user (ARPU) jumped to Rs 163 in Q3FY22 from Rs 146 a year ago.

The consolidated net debt of the company increased to Rs 1.59 trillion in Q3FY22 as against Rs 1.47 trillion in Q3FY21. 

Bharti Airtel's India revenue rose 10% YoY to Rs 20,913 crore in Q3FY22 from Rs 19,007 crore in Q3FY21.

India contributed 355 million subscribers to the total customer base of Airtel at 485 million across 16 countries where it operates. 

The mobile services revenue in India stood at Rs 16,091.7 crore, up 9% YoY from Rs 14,779 crore a year ago. 

The company’s 4G customer base in India increased 18.1% to 195 million in Q3FY22 from 165.6 crore in Q3FY21. 

The company's capital expenditure for the quarter slid to Rs 6,101.5 crore, from Rs 6,863.8 crore a year ago. 

Godrej Consumer Q3 Consolidated Net Profit Increases 5%, Revenue Up By 8%

FMCG major Godrej Consumer Products Ltd posted a 4.93% jump in consolidated net profit at Rs 527.60 crore for the December-ended quarter 2021, compared with Rs 502.80 crore a year ago. 

Its total revenue from operations was up 8.08% at Rs 3,302.58 crore during the quarter under review, as against Rs 3,055.42 crore in the corresponding period last fiscal, GCPL said in a regulatory filing.

Company’s total expenses stood at Rs 2,714.32 crore in Q3FY22, up 11.4% from Rs 2,435.11 crore in Q3FY21.

Godrej Consumer’s India revenue jumped 7.23% to Rs 1,817.43 crore in Q3FY22 from Rs 1,694.75 crore in Q3FY21.

Revenue from the Indonesian market came in at Rs 447.19 crore versus Rs 447.28 crore a year ago.

Revenue from the African (including Strength of Nature) market increased 13.52% to 884.20 crore versus Rs 778.83 crore a year ago.

Revenue from other markets increased 11.22% to Rs 200.23 crore in Q3FY22 from Rs 180.02 crore in Q3FY21. 

IRCTC Q3 Profit Increases 3X To Rs 209 Cr

Indian Railway Catering and Tourism Corporation (IRCTC) saw a 167.41% rise in its consolidated net profit at ₹ 208.80 crore for the quarter ended December 2021 compared with ₹ 78.08 crore a year ago. 

Sequentially, the net profit rose 31.68% in Q3FY22 from ₹ 158.57 crore in Q2FY22.

Revenue from operations soared 140.77% to ₹ 540.21 crore in Q3 FY22 from ₹ 224.37 crore in Q3 FY21.

Total revenue in Q3FY22 stood at ₹ 556.51 crore.

Catering business revenue came at ₹ 104.65 crore, Internet ticketing business revenue increased to ₹ 312.86 crore, and Rail Neer revenue soared to ₹ 49.94 crore in Q3 FY22.

IRCTC announced an interim dividend of ₹ 2 per share on a face value of ₹ 2 each for the fiscal year’22. The dividend will be 100% of the paid-up share capital aggregating to ₹ 160 crore.

The record date of the payment has been fixed on February 18.

Bajaj Electricals Consolidated Profit Falls 50.94% In Q3

Bajaj Electricals Ltd posted a 50.94% in its consolidated net profit to Rs 48.17 crore for the quarter ended 31, December 2021, while the profit before tax fell more than twice or 103% year-over-year to Rs 66 crore. 

The company had reported a net profit of Rs 98.19 crore in the year-ago period. 

The company’s total revenue from operations declined 12.02% to Rs 1,319.81 crore in Q3FY22 versus Rs 1,500.14 crore in Q3FY21.

Bajaj Electricals’ total expenses for the reporting quarter stood at Rs 1,261.50 crore, down 9.16% YoY, compared with Rs 1,388.80 crore a year ago. 

The company’s revenue from the consumer product business fell 6.30% to Rs 1,080.16 crore, from Rs 1,152.83 crore a year ago.

Revenue from the engineering, procurement and construction (EPC) segment declined 30.99% to Rs 239.56 crore compared with Rs 347.18 crore a year ago.

Corporate Rejig:

Bajaj Electricals Announces Demerger Of Its Power Transmission & Distribution Business

Bajaj Electricals Ltd announced the demerger of power transmission and distribution (T&D) business into a separate company to create a sector-concentrated firm and well-organize the management structure.

Bajaj Electricals will be the demerged company, and Bajel Projects Ltd will be the resulting company. 

The scheme of arrangement is subject to the approval of shareholders.

Following the demerger, Bajaj Electricals will have two business segments: the consumer Product segment and Engineering Procurement and Construction segment.

Bajaj’s Consumer Product segment business includes appliances, fans and consumer lighting products.

Vedanta Decides Not To Go Ahead With Corporate Rejig 

Mumbai based mining corporation Vedanta Ltd has decided not to move ahead with its plans to overhaul its corporate structure after completing its reorganization review. 

Read: Vedanta Mulls Options For Corporate Restructuring, Constitutes Board Committee

Based on the inputs received from experts and advisors, the company has come to the conclusion that its current structure is optimal and in line with the current scale and its diversified lines of businesses.

Vedanta To Distribute 30% Of PAT As Dividend

In a regulatory filing, Vedanta said it would be distributing a minimum of 30 percent of the attributable profit after tax (excluding profits of HZL) as dividends.

IPO Corner: 

Inox Green Energy Services Files Paper With SEBI For IPO To Raise  Rs 740 crore

Inox Wind’s unit Inox Green Energy Services Ltd (IGESL) has filed the draft papers with SEBI to raise up to Rs 740 crore via an initial public offer (IPO).

As per the filing, the share-sale offer consists of a fresh issue of equity shares worth Rs 3,700 million (Rs 370 crore) and an offer for sale (OFS) of equity shares aggregating up to Rs 3,700 million (Rs 370 crore) by the company.

The proceeds received from the share sale will be used in repaying or prepaying certain debts of the company and for general corporate purposes.

More To Know:

• Bajaj Auto’s electric scooters and e-autos (three-wheelers) roll-out may happen by June this year. 

• Gautam Adani Dethrones Mukesh Ambani To Become Asia’s Richest Person With A Net Worth Of $88.5 Billion. Mukesh Ambani Has A Net Worth Of $87.9 Billion.

  Adani’s Personal Fortune Increased By $12 Billion, Which Makes Him World’s Biggest Wealth-Gainer This Year.

• Indian luxury products company—Titan is aiming to expand its jewellery business internationally. The company plans to launch about 20 stores in markets like the US, Canada and Gulf Cooperation Council countries, consisting of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates, over the span of the next three years.

• Sunil Kataria, the chief executive officer (CEO) of India and SAARC business at Godrej Consumer Products (GCPL) has quit the company to pursue an external opportunity. 

• Life Insurance Corporation (LIC) did not pay any dividend to the government in the last fiscal and used the free reserves to increase its paid-up capital, which now stands at Rs 6,325 crore, the government informed Rajya Sabha.

• TVS Motor Company: Ralf Dieter Speth has been appointed as the new chairman. 

  Venu Srinivasan, the present chairman and managing director, will continue to serve as the managing director and has been elected as Chairman Emeritus of TVS Motor Company, effective from April 1.

• Power trading solutions company— PTC India has bagged new contracts worth Rs 10.08 crore under consulting services.

  As per the contract, PTC will provide services to Madhya Pradesh Industrial Development Corporation (MPIDC).