HPCL board to consider share buyback on November 4; stock surges 5%
Shares of Hindustan Petroleum Corporation (HPCL) rose over 5 percent on Friday after the firm said that the board will consider share buyback on November 4. A board is scheduled to meet on November 4 for the approval of the September quarter and half-yearly financial results. “We now wish to inform you that in the aforesaid Board Meeting, the Board will also consider a proposal to Buy-Back the fully Paid Equity Shares of the face value of Rs.10/- each of the Company,” the company said in a BSE filing.
ICICI Bank Q2 earnings: Here’s what to expect
ICICI Bank will reports its quarterly earnings on Saturday, and the street is expecting good numbers from the bank. In the quarter gone by, ICICI Bank raised Rs 15,000 crore of capital as well as it sold stake in ICICI Securities for over Rs 310 crore. Both these should provide cushion to the balance sheet. The net interest margin is expected to remain stable sequentially; last quarter it was at 3.69 percent. PhillipCap brokerage is estimating a slippage of Rs 2,000 crore for the September quarter. Moratorium details, restructuring and collection efficiency will be watched for closely. To know more, watch the video.
Second half of FY21 to be stronger than first half, says Zensar Tech
Zensar Technologies reported a mixed set of numbers for the September quarter. Revenue declined for the fourth consecutive quarter but margins improved. “Our pipeline, our wins are pretty good and we do hope that H2 will be far better on revenue and we will maintain our margin profile in H2 as well,” Sandeep Kishore, MD & CEO, Zensar Technologies said in an interview with CNBC-TV18. He said that revenue decline was marginal and that the business was stabilizing. Some softness in one of the top five accounts caused revenue decline, he said. Excluding that, revenues grew 2.8 percent sequentially in the top 20 accounts, he added. More here
IndusInd Bank Q2FY21 earnings: Net interest margins could be under pressure
IndusInd Bank will post its Q2FY21 results today. The street is anticipating lowest net interest income (NII) growth in last six quarters. The bank has raised about Rs 3,290 crore this quarter, which should cushion the balance sheet. Deposit growth of 8 percent quarter-on-quarter (QoQ) is perhaps the best in last six quarters. It shows that customers are coming back, and are more confident about the bank’s prospects. However loan growth remains muted. Provisions may remain elevated due to moratorium loans. Net interest margin (NIM) could be under pressure. Watch for more details.
Technical View | Yesterday’s low of 11,600 has become crucial support for the market. If we break that, a wave of shorts might get triggered and we could see a slide till 11,400 levels. The upside resistance is at 11,900-11,950. Until we do not get past that, the bias will be on the sell side, says Manish Hathiramani, proprietary index trader and technical analyst, Deen Dayal Investments.
Buzzing | Vodafone Idea shares gain 6% after Q2 loss narrows
Shares of Vodafone Idea Ltd (Vi) gained over 6 percent in the early trade of Friday after the company reported its September quarter earnings. The stock gained as much as 6.44 percent to intraday high of Rs 8.92 on the BSE.
The company’s net loss in Q2FY21 narrowed to Rs 7,218.2 crore from Rs 50,897.9 crore in the same quarter of the previous fiscal. Total income declined by about 3 percent to Rs 10,830.5 crore during the reported quarter, from Rs 11,146.4 crore in the corresponding period of 2019-20. Average revenue per user (ARPU) increased to Rs 119 from Rs 107 in Q2FY20 and Rs 114 in Q1FY21.
Shriram Transport Finance Q2 net profit down 11% to Rs 685 cr
Shriram Transport Finance Co Ltd (STFC) on Thursday reported a 10.5 percent decline in net profit at Rs 684.56 crore in July-September quarter of 2020-21. The non-banking finance company had posted a net profit of Rs 765.05 crore in the same quarter of 2019-20. Total income rose 4.68 percent to Rs 4,351.26 crore during the quarter under review from Rs 4,156.92 crore in the same period a year ago, STFC said in a regulatory filing. However, net interest income fell 1.67 percent to Rs 2,021.86 crore from Rs 2,056.11 crore in the year-ago quarter. More here
Canara Bank posts Q2 net profit of Rs 444 crore
State-run Canara Bank on Thursday reported a 28 percent dip in profit after tax at Rs 444 crore for the quarter ended September on higher provisions. The bank amalgamated Syndicate Bank with itself effective April 1, 2020. The amalgamated entity had posted a standalone profit after tax of Rs 616 crore in the same quarter of the previous fiscal. The pre-amalgamation standalone profit in September 2019 quarter stood at Rs 364.92 crore. Canara Bank’s Managing Director and CEO L V Prabhakar said the bank made advanced provision for Dewan Housing Finance (DHFL), which it has declared as fraud, and also Rs 125 crore floating provision during the quarter. More here
Opening Bell: Sensex opens flat, Nifty holds 11,650; HDFC top loser
Indian indices opened on a flat note on Friday as losses in index heavyweights Infosys, HDFC, ICICI Bank, HDFC Bank and HUL were capped by gains in RIL, TCS and L&T. At 9:18 am, the Sensex was trading 26 points lower at 39,723 while the Nifty fell 3 points at 11,668. Broader markets outperformed benchmarks with Nifty Midcap and Nifty Smallcap up 0.6 percent and 0.7 percent, respectively. Among sectors, Nifty Realty rose over 1 percent and Nifty IT, Nifty Metal and Nifty Pharma were also in the green while Nifty Bank and Nifty Fin Services dragged.
Asian shares falter again, poised for first weekly loss since late-September
A gauge of Asian shares fell for a third straight session on Friday as jitters over upcoming US presidential elections and fears that the global economic downturn will persist enveloped markets, though the index was still set to end the month higher. MSCI’s broadest index of Asia-Pacific shares outside of Japan was last down 0.3 percent, on track to the end the week 1.3 percent lower after four straight weeks of gains. The index is up 3.7 percent in October so far. Analysts expect this broader outperformance to extend further. Australia’s ASX 200 fell 0.2 percent and New Zealand’s benchmark index faltered 0.6 percent. Japan’s Nikkei slipped 0.8 percent as did South Korea’s KOSPI index. Chinese shares were marginally higher, with the blue-chip index up 0.07 percent.
Vodafone Idea Q2 loss narrows to Rs 7,218 crore, to monetise its 11.15%
Debt-ridden telecom firm Vodafone Idea on Thursday reported a consolidated loss of Rs 7,218.2 crore in the second quarter of FY21. The company had posted a loss of Rs 50,897.9 crore in the same quarter of the previous fiscal on account of making provisions for statutory due payments. Total income declined by about 3 percent to Rs 10,830.5 crore during the reported quarter, from Rs 11,146.4 crore in the corresponding period of 2019-20. Vodafone Idea MD and CEO Ravinder Takkar said while challenges related to COVID-19 continue, the second quarter has shown signs of recovery with a gradual improvement in economic activities. More here
Post pandemic, Infosys will start to come back to pre-Covid level growth of 9.8%
More focus by large enterprises on automation will see digital revenues contribute over half of Infosys’ revenues in the coming quarters and will help push the company back to pre-COVID level growth beyond the pandemic, its chief executive officer Salil Parekh told CNBC-TV18. The IT bellwether had clocked a growth of 9.8 percent in FY20, while the company has guided for 2-3 percent growth in FY21 due to the COVID-19 pandemic. The company had upped its guidance for the current financial year post its strong Q2 performance from the earlier guidance of 0-2 percent. More here
RIL to announce Q2 earnings today; here’s what to expect
Oil-to-telecom conglomerate Reliance Industries Ltd (RIL) is scheduled to announce its September quarter earnings of FY21 (Q2FY21) on Friday (October 30). All segments except refining are expected to do well. Goldman Sachs expects petchem business to meaningfully recover from Q1 trough. It expects the petchem EBITDA to rise 28 percent on a QoQ basis. However, the big revival is expected to be in the consumer businesses on a sequential basis. Nomura expects a 29 percent QoQ growth in Reliance Retail revenues and a 55 percent growth in EBITDA. More here
First up, here is quick catchup of what happened in the markets on Thursday
Domestic stock markets settled on a red note on Thursday. The Sensex finished 173 points lower at 39,749.85, while the Nifty50 index closed at 11,670.80, down 59 points. Barring IT index, all sectors closed in the red. Broader markets underperformed the benchmarks, by closing up to 1 percent lower. L&T and Titan were the index top losers, down up to 5 percent. Asian Paints, UltraTech Cement, Shree Cements, HCL Tech and Kotak Mahindra Bank were among major gainers on the Nifty, while losers were L&T, Titan Company, ONGC, Adani Ports and Tata Motors.
Welcome to CNBC-TV18’s Market Live Blog
Good morning, readers! I am Pranati Deva the market’s desk of CNBC-TV18. Welcome to our market blog, where we provide rolling live news coverage of the latest events in the stock market, business and economy. We will also get you instant reactions and guests from our stellar lineup of TV guests and in-house editors, researchers, and reporters. If you are an investor, here is wishing you a great trading day. Good luck!