Stocks to Keep an Eye On: Get a Sneak Peek at the Companies Making Waves as the Market Opens on November 6, 2023.
Adani Ports and Special Economic Zone: The Adani Group’s company has reported an impressive 27% YoY surge in cargo volumes for October 2023 and is setting its sights on achieving a remarkable 200 MMT milestone in cargo volumes by FY25.
State Bank of India: India’s largest lender has disclosed an 8% YoY increase in standalone profit at Rs 14,330 crore, thanks to reduced provisions and increased other income. However, pre-provision operating profit dipped by 8%. The bank’s net interest income for the quarter grew by 12.3% YoY to reach Rs 39,500 crore, though the net interest margin saw a slight decline of 3 bps YoY, resting at 3.29 percent. Loan growth stood at 12.4%, with deposits growing by 11.9% in Q2 FY24. The bank’s asset quality improved with a 21 bps drop in gross NPA QoQ to 2.55 percent and a 7 bps decrease in net NPA to 0.64 percent for the quarter.
InterGlobe Aviation: The operator of the low-cost airline IndiGo has reported a profit of Rs 188.9 crore for the quarter ending September FY24, a significant turnaround from the Rs 1,583.3 crore loss in the same period last year. Revenue from operations also saw a substantial 19.6% YoY increase, reaching Rs 14,944 crore. EBITDAR skyrocketed nearly 11-fold to Rs 2,446.4 crore, with the margin improving substantially from 1.8% to 16.4% during the same period.
Vedanta: The mining company posted a consolidated loss of Rs 915 crore for the July–September period of FY24, compared to a profit of Rs 2,687 crore in the same period last year. Consolidated revenue from operations increased by 6% YoY to reach Rs 38,546 crore in Q2 FY24, primarily driven by higher sales volume, favorable exchange rate movements, and arbitration awards, partially offset by lower commodity prices and strategic hedging gains in FY23. EBITDA surged 47% YoY to Rs 11,834 crore in Q2 FY24, supported by cost reductions, softened input commodity prices, foreign exchange gains, and favorable arbitration awards, partly offset by strategic hedging gains in Q2 FY23.
Larsen & Toubro: Subsidiary L&T Infrastructure Development Projects (L&T IDPL) has inked a share purchase agreement with CPPIB India, Allianz Infrastructure Luxembourg II S À R L, and 2726247 Ontario Inc. for the sale of its entire shareholding in Interise Investment Managers, a wholly owned subsidiary of L&T IDPL, for Rs 103.86 crore.
PB Fintech: The operators of the Policybazaar and Paisabazaar platforms have reported consolidated losses of Rs 21.1 crore for the quarter ending September FY24, marking a significant reduction from the Rs 186.64 crore losses in the same period last year. Consolidated revenue also witnessed a robust 42% YoY growth, reaching Rs 812 crore, with core online revenue increasing by 46% YoY to Rs 597 crore. Adjusted EBITDA for Q2 FY24 stood at Rs 13 crore, a turnaround from a loss of Rs 53 crore in Q2 FY23, and the EBITDA margin reached 2% from a negative 9% in the same period.
JSW Infrastructure: The JSW Group’s company has reported a staggering 89% YoY increase in consolidated profit, reaching Rs 254.4 crore for the quarter ending September FY24. Revenue from operations during the same period increased by 28.1% to reach Rs 848.3 crore. Additionally, the company has received approval from the board for the acquisition of Marine Oil Terminal Corp. and its Fujairah branch by subsidiary JSW Terminal (Middle East) FZE from MPT Commodities, British Virgin Islands (Mercuria Group).
Punjab National Bank: The Reserve Bank of India has imposed a monetary penalty of Rs 72 lakh on PNB for non-compliance with certain norms related to interest rates on deposits, interest rates on advances, and customer service.
Bharti Airtel: The telecom operator has entered into a share purchase agreement (SPA) with Manipura Digital Infrastructure Opco Pte Ltd for the transfer of its entire stake in Firefly Networks for Rs 6.05 crore. Following the transfer, Firefly will no longer be a joint venture of the company.
JK Cement: The cement company has reported a consolidated profit of Rs 178.1 crore for the quarter ending September FY24, marking a robust 58.5% increase compared to the year-ago period, driven by strong operating performance. Consolidated revenue from operations increased by 23% to Rs 2,753 crore compared to the same period last year.
Bank of Baroda: This public sector lender reported a strong 28.4% year-on-year growth in standalone net profit, reaching Rs 4,253 crore for the July–September period of FY24. This impressive performance was achieved despite an increase in provisions, driven by healthy other income and pre-provision operating profit. Notably, net interest income grew by 6.5% year-on-year to reach Rs 10,831 crore. Deposits also saw a substantial rise, increasing by 14.6%, and advances went up by 17.3% year-on-year. The bank’s asset quality has improved, with gross NPA declining by 19 basis points quarter-on-quarter to 3.32%, and net NPA down by 2 basis points to 0.76% for the quarter.
JK Paper: This paper and packaging solutions company reported a consolidated profit of Rs 305.7 crore for the July–September period of FY24. However, the topline growth was tepid, and the company faced challenges related to its operating performance. Consolidated revenue from operations showed a modest 0.4% year-on-year growth, reaching Rs 1,650 crore for the quarter.
Bank of India: Another public sector lender, Bank of India, posted a standalone profit of Rs 1,458 crore for the quarter ending September FY24, marking a robust 52% increase compared to the year-ago period. The bank’s net interest income recorded a strong 13% year-on-year growth, amounting to Rs 5,740 crore for the quarter. Deposits increased by 8.68%, and advances rose by 10% year-on-year. Additionally, asset quality improved, with the gross NPA decreasing by 83 basis points quarter-on-quarter to 5.84%, and the net NPA declining by 11 basis points to 1.54% for the quarter.
GMR Power and Urban Infra: This company reported a consolidated loss of Rs 105.3 crore for the quarter ending September FY24, in contrast to a profit of Rs 1,082.7 crore in the corresponding period of the previous fiscal year. The decline was primarily due to a significant drop in consolidated revenue from operations, which fell by 60.3% year-on-year to Rs 627.5 crore during the quarter.
Crompton Greaves Consumer Electricals: The company disclosed a consolidated profit of Rs 97.22 crore for the quarter ending September FY24, indicating a 22.7% decline compared to the year-ago period. This decline was attributed to a weak operating performance. Nevertheless, revenue from operations showed a 4.9% growth, reaching Rs 1,782.3 crore compared to the corresponding period last fiscal.
Godrej Agrovet: This agri-business company reported a consolidated profit of Rs 103.9 crore for the July–September period of FY24, showing a robust 49.3% growth over the year-ago period. The growth was driven by healthy operating performance. Notably, revenue from operations increased by 5% year-on-year, reaching Rs 2,571 crore in Q2 FY24.
Lemon Tree Hotels: The hotel chain has signed a license agreement for a new 150-room property in Yadagirigutta, Telangana, operating under the brand “Keys Select by Lemon Tree Hotels.” This new hotel is expected to be operational by FY26.
NTPC: India’s largest power generation company has successfully commissioned the first part of the capacity, totaling 50 MW, out of the 150 MW of the Dayapar Wind Energy Project Phase-I in Bhuj, Gujarat. With this achievement, NTPC’s installed and commercial capacity has reached 73,874 MW.
Cello World: The consumer products company is set to list its equity shares on the stock exchanges on November 6. The final issue price has been fixed at Rs. 648 per share.
Shipping Corporation of India: This shipping company reported a consolidated profit of Rs 65.7 crore for the quarter ending September FY24, representing a 42.5% decline compared to the year-ago period. Despite recording healthy other income, the company’s performance was impacted by a lower topline. Revenue from operations fell by nearly 23% to Rs 1,093.2 crore compared to the corresponding period in the previous fiscal year.
Greaves Cotton: In a strategic move, Greaves Cotton has finalized definitive agreements with Runal Developers LLP for the sale of its Pune land for a substantial sum of Rs 284 crore. This transaction is set to be completed on November 3.
Arvind Fashions: The prominent player in casual and denim wear has entered into definitive agreements with Reliance Beauty & Personal Care (RBPCL), a subsidiary of Reliance Retail Ventures, for the sale of its subsidiary, Arvind Beauty Brand Retail (ABBRL), the entity behind Sephora India. This cash transaction will provide Arvind Fashions with valuable resources to reinvest in its brand portfolio and address debt.
Punjab & Sind Bank: Despite a provisions write-back, the public sector lender has experienced a 32% year-on-year decline in profit, reaching Rs 189 crore for the July-September period of FY24. The decrease can be attributed to lower pre-provision operating profit. Tax expenses for the quarter were Rs 106.16 crore, in contrast to a tax write-back of Rs 85.38 crore in the same period last year. Net interest income also declined by 13% year-on-year, amounting to Rs 675 crore for the quarter. Notably, asset quality exhibited improvements in Q2 FY24, with gross NPA decreasing by 57 basis points quarter-on-quarter to 6.23%, and net NPA down by 7 basis points quarter-on-quarter to 1.88%.
Ethos: The largest luxury watch retailer has announced that its Fund Raising Committee has approved the allotment of 11,31,210 equity shares to eligible qualified institutional buyers at an issue price of Rs 1,547 per share, totaling Rs 175 crore.
Metropolis Healthcare: The diagnostics company reported a 12.2% year-on-year decline in profit, reaching Rs 36 crore for the quarter ending September FY24. This decline was influenced by modest topline growth and a subdued operating performance. Revenue from operations increased by 3% year-on-year, reaching Rs 309 crore, with core business revenue (excluding COVID and COVID-allied PPP contracts) witnessing a significant 13.5% jump to Rs 302 crore in Q2 FY24.
Affle (India): This technology company has registered a 13.8% year-on-year increase in profit, amounting to Rs 66.8 crore for the July–September period of FY24. The strong performance was attributed to a 21.6% growth in revenue from operations, which reached Rs 431.3 crore compared to the corresponding period in the previous fiscal year. The growth was broad-based, stemming from both CPCU and non-CPCU businesses across India and international markets.
Thermax: The energy and environment solutions provider reported consolidated profit of Rs 158.6 crore for the quarter ending September FY24, marking a robust 45.3% increase over the year-ago period. This growth was underpinned by strong operating numbers across all segments. Consolidated revenue from operations increased by 11% year-on-year to Rs 2,302.5 crore during the quarter.
Data Patterns (India): The company specializing in defence and aerospace electronics solutions has recorded a remarkable 60.5% year-on-year growth in profit, reaching Rs 33.8 crore for the July–September period of FY24. The performance was supported by a strong EBITDA margin and a healthy topline. Revenue from operations increased by 23%, reaching Rs 108.3 crore compared to the corresponding period in the previous fiscal year.
Federal Bank: The Reserve Bank of India has imposed a monetary penalty of Rs 30 lakh on the Federal Bank for non-compliance with KYC norms.
Cigniti Technologies: CV Subramanyam has resigned from the position of Managing Director of the company due to personal reasons, effective from November 3. On the financial front, the company reported a 10.4% year-on-year growth in consolidated profit for Q2 FY24, amounting to Rs 45.8 crore. Additionally, revenue from operations increased by 8.4%, reaching Rs 451.8 crore during the quarter ending September FY24.
Vrundavan Plantation: The nursery business company is set to make its debut on the BSE SME on November 6, with an issue price of Rs. 108 per share. The equity shares will be available for trading in the trade-for-trade segment for a period of 10 days.
EIH: The hospitality company reported consolidated profit of Rs 94.1 crore for the July–September period of FY24, marking a substantial 321% growth over the year-ago period. Consolidated revenue from operations exhibited strong growth, increasing by 32.5% year-on-year to reach Rs 552.5 crore during the quarter.
Transteel Seating Technologies: The furniture company is set to list its equity shares on the NSE Emerge on November 6, with an issue price of Rs. 70 per share. The equity shares will also be available for trading in the trade-for-trade segment.
