Pre Market Report: Dalal Street may open slightly higher; Axis Bank, ITC, Bajaj Finance and Tata Consumer Products in news

Axis Bank: The private sector lender reported a standalone net profit of Rs 5,330 crore, up 70% for the quarter ended September 2022, as against Rs 3,133 crore in the year-ago quarter. The lender’s net interest income (NII) grew 31% year-on-year to Rs 10,360 crore from Rs 7,901 crore in the last year quarter. The net non-performing asset ratio came at 0.51% was lower than 0.64% a quarter ago and 1.08% a year ago. Robust growth in net interest income and pre-provision operating profit also helped boost profitability. 

ITC: The diversified conglomerate reported a 20% rise in post-tax profit at Rs 4,466 crore for the quarter ended September 2022 as against Rs 3,697 crore a year ago. Sequentially, the profit rose 7.1% from Rs 4,169 crore recorded in June quarter this year. Standalone revenue (excluding excise duty) came in at Rs 16,130 crore for the quarter, an increase of 26.6% over Rs 12,731 crore same time last year. The company’s EBITDA jumped 27 % YoY to Rs 5,863.7 crore from Rs 4,615 crore.

Bajaj Finance: The NBFC said its profit grew by 88% year-on-year to Rs 2,781 crore for the quarter ended September FY23. Net interest income rose by 31% to Rs 7,001 crore during the same period with new loans booked up by 7% to 67.6 lakh YoY. Assets under management (AUM) grew by 31% YoY to Rs 2.18 lakh crore as of September FY23. Loan losses and provisions saw a significant declined to Rs 734 crore in Q2FY23 against Rs 1,300 crore in Q2FY22.

Tata Consumer Products: The Tata Group company has recorded a 36% year-on-year growth in consolidated net profit at Rs 389 crore led by exceptional income related to sale of land. Revenue from operations grew by 11% YoY to Rs 3,363 crore (and in constant currency terms, the growth was 10%), mainly driven by underlying growth of 9% in India business, 6% in international business and 30% in non-branded business. Consolidated EBITDA for the quarter at Rs 438 crore grew 4% YoY.

ICICI Securities: The company reported a 14% decline in profit after tax to Rs 300 crore in the three months ended September 2022. The company had posted a Profit After Tax (PAT) of Rs 351.2 crore in the same quarter preceding fiscal. The company’s total income rose to Rs 865.63 crore in the second quarter ended on September 30, 2022 from Rs 856.56 crore in the year-ago period. The board has declared an interim dividend of Rs 9.75 per share in first half of FY23 as compared to Rs 11.25 in the same period preceding fiscal.

Asian Paints: The company has approved the setting up of manufacturing facility for vinyl acetate ethylene emulsion (VAE) and vinyl acetate monomer (VAM) in India. An amount of approximately Rs 2,100 crore will be invested by the company over a period of 3 years, including the cost of land to be acquired. The installed capacity of the said manufacturing facility would be 1 lakh tons per annum for VAM and 1.5 lakh tons per annum for VAE. VAM is a key input for manufacturing VAE.

Coforge: The company’s consolidated profit grew by 28.3% QoQ to Rs 220.6 crore for the quarter ended September FY23. Revenue grew by 7.1% to Rs 1,959.4 crore compared to previous quarter. Revenue growth in dollar terms increased 3.4% to $246.9 million and constant currency revenue growth at 6.2% QoQ. The company has maintained FY23 constant currency revenue growth guidance of at least 20%.

L&T Finance Holdings: The company reported profit from continuing operations at Rs 360.31 crore for the quarter ended September FY23, up 109% over year-ago period despite moderate growth in revenue. Revenue grew by 6% to Rs 3,138 crore compared to same period last year. It recorded highest-ever quarterly retail disbursements at Rs 10,238 crore, up 84% YoY, while retail book stood at Rs 52,040 crore, up 27% YoY, which company said in line with Lakshya 2026 strategic plan.

Wipro: The IT services company has appointed Suzanne Dann as Chief Executive Officer for its Americas 2 strategic market unit, effective immediately. Dann will also join the Wipro Executive Board.

Nazara Technologies: The diversified gaming and sports media platform delivered a profit of Rs 16.9 crore for quarter ended September FY23, up 10.5% YoY. Revenue increased by 104% to Rs 263.8 crore and EBITDA rose by 9.2% to Rs 21.3 crore compared to year-ago period. The company appointed Sudhir Kamath as its new chief operating officer, while Manish Agarwal resigned as CEO effective December 1, 2022 to pursue an entrepreneurial journey.

Shriram Transport Finance Company: The company recorded a 38.3% year-on-year growth in standalone profit at Rs 1,066.9 crore for the quarter ended September FY23. Net interest income grew by 22.85% YoY to Rs 2,693.96 crore during the quarter. Total assets under management as on September 2022 stood at Rs 1.35 lakh crore as compared to Rs 1.21 lakh crores as on September 2021.

Yes Bank: The CCI approved sale of 10% the bank’s stake each to Carlyle Group and Advent International, under the lender’s efforts to raise $1.1 billion from the two global investors.

Suzlon Energy: The wind component manufacturer closed its Rs 1,200 crore rights issue which was oversubscribed by 1.8 times. The rights issue of 240 crore partly paid-up equity shares on rights basis to eligible equity shareholders was launched on October 11.

South Indian Bank (SIB): The company has posted a net profit of Rs 223 crore during the second quarter of the current financial year, as against a net loss of Rs 187 crore during the July to September quarter of 2021-22. The bank’s total income for the quarter under review increased by 11% to Rs 1,995 crore as compared to Rs 1,804 crore during the same period last year. The bank’s net NPA also declined to 2.51 per cent as against 3.85 per cent during the same quarter last year.

Indian Energy Exchange (IEX): The company reported nearly 7% fall in its consolidated net profit at Rs 71.20 crore in September quarter compared to a year ago. The consolidated net profit was Rs 77.38 crore in the quarter ended on September 2021. Total income declined to Rs 113.77 crore in the quarter from Rs 122.30 crore in the same period a year ago.

United Breweries: The consolidated revenue was up 11% at Rs 3,673.51 crore in Q2FY23 versus Rs 3,294.73 crore in the same quarter last year. Net profit jumped 42% to Rs 134.05 crore in Q2FY23 from Rs 80.38 crore in the year-ago period. EBITDA was up 33% YoY at Rs 219.42 crore in the reported quarter.

Happiest Minds Technologies: The consolidated revenue was up 8% QoQ at Rs 355.51 crore in Q2FY23. Net profit increased 5% to Rs 59.41 crore in Q2FY23 from Rs 56.34 crore in the year-ago period. EBITDA rose 4% QoQ to Rs 90.52 crore in the quarter under review.

Dixon Technologies: The contract manufacturer said that its consolidated revenues jumped 35% QoQ to Rs 3,866.77 crore in Q2FY23. Net profit surged 69% QoQ at Rs 77.25 crore in the quarter under review. EBITDA rose 45% at Rs 145.17 crore in Q2FY23.

Dhampur Sugar Mills: The company said its consolidated revenue was up 41% YoY at Rs 644.2 crore in Q2FY23. Net profit fell 54% YoY at Rs 11.41 crore in Q2F23. EBITDA was up 3% at Rs 30.95 crore in Q2FY23 as against Rs 53.49 crore in the year-ago period.

Bharat Wire Ropes: The company has reported 1,342% year-on-year growth in profit at Rs 15.4 crore for the quarter ended September FY23 boosted by operating income and revenue growth. Revenue from operations grew by 58.5% to Rs 149.7 crore during the same period.

Dynamatic Technologies: US-based aerospace and defense company Northrop Grumman has signed a letter of intent with Dynamatic Technologies to support their workshare for India Navy F/A-18 program. Hindustan Aeronautics also signed MoU with Dynamatic to work together for manufacturing and supply of front fuselage assembly along with jig and tooling complying to quality requirements.