Auto stocks may edge lower after public sector oil marketing companies (PSU OMCs) raised petrol price by Rs 1.40 a litre with effect from Friday, 1 March 2013 -- the second successive hike in a fortnight.
PSU OMCs will be in focus raising raising petrol price by Rs 1.40 a litre with effect from Friday, 1 March 2013 -- the second successive hike in a fortnight. PSU OMCs on Saturday, 2 March 2013, announced hike in diesel price for bulk consumers such as railways, State Transport Corporations and other bulk consumers by about one rupee a litre (excluding taxes). The PSU OMC simultaneously cut the price of non-subsidised domestic LPG by almost Rs 38 a cylinder effective from Friday, 1 March 2013.
PSU OMCs will also be in the spotlight after the Ministry of Petroleum & Natural Gas after trading hours on Friday, 1 March 2013, said that the under-recovery on High Speed Diesel (HSD) applicable for first fortnight of March 2013 has increased to Rs 11.26 per litre from Rs 10.27 for the second fortnight of February 2013. PSU OMCs are currently incurring daily under-recovery of about Rs 432 crore on the sale of Diesel, PDS Kerosene and Domestic LPG. The under-recovery for PDS Kerosene stands at Rs 33.44 per litre for March 2013. In case of Domestic LPG, the under-recovery stands at Rs 439 per cylinder for March 2013. The recovery-recovery for PDS Kerosene and Domestic LPG is calculated on monthly basis whereas the under-recovery for HSD is calculated on fortnightly basis.
Hero MotoCorp registered 501,271 unit sales in the month of February - its fifth consecutive month of five lakh-plus sales since October 2012. The company sales dipped 4.23% compared with February 2012.
Mr. Anil Dua, Senior Vice-President (Marketing & Sales), Hero MotoCorp, said Selling over five lakh units despite the overall sluggishness in the market is an encouraging sign of customer preference and sustained demand for our products in the market. However, overall sentiment in the industry still remains weak. The industry did stage some recovery during the festival period but does not seem to have sustained the momentum. High interest rates, persistent inflation and delayed monsoons have all played their part in building to a rather poor consumer sentiment this fiscal. We, at Hero MotoCorp, have been trying to perk up the market through ground-level activation, communication and new products. In two of the fastest growing segments of scooters and 125cc bikes, thanks to our new launches and new campaigns, we have been consistently growing faster than the industry and gaining market share.
"Going forward, we are working on further consolidating our market leadership in India. We are also soon going to announce the launch of Brand Hero in our new markets in Latin America and Africa," he added.
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Hero MotoCorp's scooters - Pleasure and Maestro - have clocked close to 54,000 unit sales in the month of February. The company is now scaling up its scooter production to over 60,000 units a month.
Hero MotoCorp said that the Delhi High Court in the hearing held on 1 March 2013, has approved the scheme of amalgamation of Hero Investments with Hero MotoCorp.
Tata Motors' total sales (including exports) of Tata commercial and passenger vehicles in February 2013 were 61,998 vehicles. The company's domestic sales of Tata commercial and passenger vehicles for February 2013 were 58,002 units. The company's sales of commercial vehicles in February 2013 in the domestic market were 47,389 units. LCV sales were 36,760 vehicles, while M&HCV sales stood at 10,629 units. In February, Tata Motors' Jamshedpur plant rolled out its two millionth truck. The company bagged an order for its fully indigenous Tata 6x6 multi-axle high mobility mobile platforms, from Bharat Electronics (BEL). Tata Motors will be launching two new exciting applications for intercity transportation and staff transportation in the MCV bus segment - the Front Engine Luxury AC Intercity Coach- 45-Seater and Luxury Staff Bus, in a phased manner shortly. Sales of passenger vehicles for February 2013 were at 10,613 units. Sales of the Nano/ Indica/ Indigo range in February 2013 were 7,769 units. The Sumo/ Safari/ Aria/ Venture range sales were 2,844 units.
Ashok Leyland after market hours on Friday, 1 March 2013 said that its total sales fell 10% to 10,046 units in February 2013 over February 2012. Commercial vehicle sales excluding SCV Dost declined 26% to 7,045 units in February 2013 over February 2012. Sales of SCV Dost jumped 90% to 3,001 units in February 2013 over February 2012.
Ashok Leyland's board of directors at a meeting held on Friday, 1 March 2013, unanimously decided to appoint Mr. R Seshasayee as Non-Executive Vice Chairman effective 1 April 2013, upon completion of his term of office as Executive Vice Chairman as at 31 March 2013. The Board noted that Mr. R Seshasayee will be taking higher responsibilities in the Hinduja Group Global operations.
Adani Enterprises will be watched as promoter group firm, Adani Agro, will sell 85 lakh equity shares of Adani Enterprises through Offer for Sale (OFS) via the stock exchanges mechanism today, 4 March 2013. Adani Agro has fixed the floor price at Rs 220 per equity share of Adani Enterprises.
Cairn India may edge lower as US crude oil futures slipped to the lowest level this year as manufacturing expanded less than forecast in China and contracted in Europe, bolstering concern that fuel demand will decline.
US crude oil futures for April 2013 delivery had tumbled $1.37 a barrel or 1.48% to settle at $90.68 a barrel on the New York Mercantile Exchange on Friday, 1 March 2013, the lowest closing level since 24 December 2012. Prices dropped 2.6% last week. Lower crude oil prices will result in lower realizations from crude sales for oil exploration firms like Cairn India.
In China, the world's biggest oil-consuming country after the United States, manufacturing slowed last month, the PMI report from the Federation of Logistics and Purchasing in Beijing showed. The reading fell to 50.1 to February from 50.4 in January.
A gauge of UK manufacturing based on a survey of purchasing managers slid to 47.9 last month, according to Markit Economics and the Chartered Institute of Purchasing and Supply. In the euro region, a factory gauge was unchanged in February at 47.9, marking a 19th month of contraction, according to a separate Markit report on Saturday, 2 March 2013.
FMCG and agri-sector stocks will be in focus after the Centre after trading hours on Friday, 1 March 2013, said that the total rabi sown area currently stands at 631.67 lakh hectares (LH), higher than 629.86 lakh hectare sown at this time last year and also higher than 619.9 lakh hectare sown on average at this time in the last five years. While wheat has been sown in approximately the same area as last year, there has been improvement in area under coarse cereals, pulses and oilseeds, the Ministry of Agriculture said in a statement. FMCG firms derive substantial revenue from rural India.
Shares of Cable TV and DTH companies will be watched after a recent review by the Ministry of Information & Broadcasting showed that over 55% digitisation target has been achieved in 38 cities, set for digitisation by 31 March 2013.
The Ministry has been constantly monitoring the preparedness for the implementation of digital addressable cable TV system in 38 cities of Phase-II. The Cable TV in these cities will undergo digital transition by 31 March 2013, Ministry of Information & Broadcasting said in a statement.
The statement added that as per the data received from the DTH operators and the MSOs, as on 22 February 2013, a total of 87.70 lakh Set Top Boxes (STBs) have already been installed in Phase-II cities against the target of 1.60 crore, registering an achievement of 55% digitisation. Out of a total of 87.70 lakhs, DTH connections accounted for 40.70 lakhs, whereas cable STBs accounted for 47 lakh.
In order to facilitate cable TV digitisation in 38 cities of Phase-II, the Ministry has already issued provisional registration to 30 Independent MSOs to operate in Phase II cities. This would enable these MSOs to operate in their respective cities to provide digital cable TV services.
UltraTech Cement said that the operations at the company's unit viz. Awarpur Cement Works, Awarpur, Maharashtra having a capacity of 3.6 mtpa has been temporarily shut down on account of stoppage of work by the workers. This will, however, not substantially impact the company's financials, UltraTech said in a statement.
Easun Reyrolle, through its subsidiary Switchcraft Europe GmbH, Germany has won an order from Energex, Australia for supplying secondary switchgear (Ring Main Units). The order is valued at around $84 million to be executed over 7 years. Key corriponents for the Ring Main Units are to be manufactured in the new facility in Bangalore and in the manufacturing facilities available at Germany subsidiary, Switchcraft Europe GmbH.
Tata Communications said that its board has approved the transfer of India Data Centre Business (IDC) to wholly-owned subsidiary, S&A Internet Services.
MIC Electronics has signed an agreement with the Nashik Municipal Corporation (NMC) to replace 69,541 street lights across the city with energy saving LED luminaries. The total cost of the scheme is Rs 202.56 crore, which includes finance costs for the agreement period.
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