In the lead-up to today’s opening bell, here are the key companies making headlines:
InterGlobe Aviation (IndiGo): IndiGo, the low-cost airline, expects around mid-thirties of its aircraft to be grounded in Q4FY24 due to accelerated engine removals. This comes as a response to new information regarding the powder metal issue from Pratt & Whitney. Despite these additional groundings, IndiGo is maintaining its earlier capacity guidance for FY23–24, aiming for a north of mid-teens capacity increase, thanks to proactive mitigation measures.
Hero MotoCorp: India’s largest two-wheeler manufacturer is set to enter the UK, Spain, and France markets in mid-2024. Their debut offering will be the electric scooter VIDA V1, followed by high-capacity premium ICE motorcycles and scooters.
Indian Railway Catering and Tourism Corporation (IRCTC): The state-owned railway company reported a 30.4 percent YoY increase in standalone net profit for the quarter ending September FY24, with revenue from operations rising by 23.5 percent, driven by growth across all segments.
Apollo Tyres: The tire manufacturing company recorded a consolidated profit of Rs 474.3 crore for the quarter ending September FY24, marking a significant 164.4 percent YoY increase due to improved financial performance after a reduction in input costs. Their revenue from operations grew by 5.4 percent to Rs 6,280 crore compared to the same period last fiscal year.
Inox Wind: The wind energy company has received board approval for raising funds through the issuance of 0.01 percent non-convertible, non-cumulative, participating redeemable preference shares worth up to Rs 500 crore on a private placement basis. This follows the company’s request for shareholder approval for the fundraising effort.
CRISIL: The rating agency reported a consolidated net profit of Rs 152 crore for the quarter ending September 2023, marking a 2.8 percent YoY increase, with lower other income offset by a strong operating performance. Their revenue from operations during the quarter increased by 7.7 percent YoY to Rs 736 crore.
Power Grid Corporation of India: The state-owned power transmission company posted a 3.6 percent YoY increase in consolidated profit for the quarter ending September FY24, with consolidated revenue from operations growing by 1 percent. Their EBITDA also increased by 5.1 percent YoY, accompanied by a 340 basis point margin expansion to 87.9 percent for the quarter. Additionally, the company approved an interim dividend of Rs 4 per share for FY24.
Greaves Cotton: The engineering company reported a consolidated net loss of Rs 190.8 crore for the quarter ending September FY24, compared to a profit of Rs 28.9 crore in the same period last year. This loss was attributed to a provision for FAME subsidy. However, consolidated revenue from operations increased by 4 percent YoY to Rs 726.7 crore during the quarter.
SJVN: The state-owned entity received a letter of intent for the purchase of 200 MW of solar power from Uttarakhand Power Corporation (UPCL). UPCL plans to buy this power at a tariff of Rs 2.57 per unit from SJVN’s 1,000 MW Bikaner solar project. The solar project, developed through SJVN Green Energy, a subsidiary of SJVN in Rajasthan, is supported by viability gap funding from the Government of India and will serve government entities, either directly or through DISCOMS.
Cummins India: Despite a weak topline, the Pune-based engine maker reported a 30 percent YoY increase in standalone net profit at Rs 328.5 crore for the July–September period of FY24, driven by improved operating margin performance and higher other income. Standalone revenue from operations declined by 2.6 percent YoY to Rs 1,900 crore during the quarter.
Shree Cement: The cement manufacturing company has reported a standalone net profit of Rs 491 crore for the July–September period of FY24, marking an impressive 159 percent YoY growth. This outstanding performance can be attributed to robust operating numbers and a strong topline. Standalone revenue from operations surged by 21 percent YoY to reach Rs 4,585 crore, with sales volumes increasing by 10 percent YoY to 8.2 million metric tonnes. EBITDA for the quarter grew by 66 percent, reaching Rs 870 crore, and the company achieved a 520 bps margin expansion to 19 percent compared to the same period in the previous fiscal, driven by improved operational metrics.
Voltas: The leading room air conditioner manufacturing company has refuted recent media reports concerning the sale of home appliances. The company stated that these reports are entirely incorrect and lacking any factual basis. The management categorically denied any such development.
JB Chemicals and Pharmaceuticals: The pharmaceutical company has reported a significant 36 percent YoY increase in profit, reaching Rs 151 crore in the July–September period of FY24. This impressive growth can be attributed to healthy operating performance. Revenue from operations also increased by 9 percent YoY, reaching Rs 882 crore for the quarter, with a well-balanced blend of growth in both domestic and international businesses. Domestic business expansion was driven by the chronic segment and an acquired portfolio.
Dilip Buildcon: The infrastructure development company has recorded a remarkable four-fold YoY increase in consolidated profit, amounting to Rs 68.6 crore for the quarter ending September FY24. This significant growth, compared to Rs 17 crore in the previous year’s period, was achieved despite weak operating performance. The increase was driven by higher other income and exceptional gains. Revenue from operations also grew by 9.7 percent, reaching Rs 2,849 crore compared to the corresponding period in the last fiscal.
Westlife Foodworld: A subsidiary of the company, Hardcastle Restaurants, faced a license suspension notice for its McDonald’s restaurant in Ahmednagar, Maharashtra from the Assistant Commissioner, FDA. The authority had raised questions related to certain menu items and disclosures. However, following an appeal to the Commissioner of Food Safety, the suspension has been stayed, and the restaurant has resumed its operations.
Deepak Nitrite: The chemical manufacturing company has reported a 17.5 percent YoY increase in consolidated profit, amounting to Rs 205 crore for the July–September period of FY24, despite experiencing a weakness in its topline. This growth was primarily attributed to a healthy operating margin performance due to lower input costs. Revenue from operations fell by 9.4 percent YoY, reaching Rs 1,778 crore in Q2 FY24.
Lux Industries: The innerwear manufacturer has reported consolidated profit at Rs 35.9 crore for the quarter ending September FY24, reflecting a 12.6 percent decline compared to the year-ago period. This drop was influenced by weak operating performance and a subdued topline. Revenue from operations increased by 0.6 percent YoY, reaching Rs 639.3 crore during the quarter.
Prism Johnson: The building material company has established a wholly-owned subsidiary, PJL Cement, which will be engaged in the business of manufacturing and dealing in cements, cement products, ready-mixed concrete, tiles, sanitary ware and bath fittings, other building materials, and allied products.
Vinati Organics: The specialty chemical and organic intermediaries manufacturing company reported a 27.4 percent YoY decline in standalone profit, amounting to Rs 84.2 crore for the quarter ending September FY24. This decline was due to weak topline and operating performance. Standalone revenue from operations also dropped by 20.9 percent YoY, reaching Rs 448.1 crore in Q2 FY24.
Mishra Dhatu Nigam: The state-run metals and metal alloys manufacturing firm reported a net profit of Rs 13.9 crore for the July–September period of FY24, marking a 58.7 percent YoY decline despite a strong topline. This decline was primarily influenced by weak operating performance due to higher input costs. Revenue from operations grew by 25.7 percent YoY, reaching Rs 227.5 crore compared to the corresponding period in the last fiscal.
Sar Televenture: The telecommunication solutions provider is poised to debut on the NSE Emerge on November 8, adhering to the T+3 timeline. The issue price for its equity shares is
