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Cipla, Coal India in focus after declaring Q3 results

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Last Updated : Feb 14 2014 | 12:00 AM IST

Cipla's consolidated net profit fell 17% to Rs 284 crore on 22% rise in income from operations to Rs 2581 crore in Q3 December 2013 over Q3 December 2012. The result was announced after market hours on Wednesday, 12 February 2014.

Coal India's consolidated net profit fell 11.39% to Rs 3894.09 crore on 2.91% fall in total income to Rs 19110.74 crore in Q3 December 2013 over Q3 December 2012. The result was announced after market hours on Wednesday, 12 February 2014.

Interest rate sensitive sectors auto, banking and realty may be in action as latest data announced after market hours on Wednesday, 12 February 2014 showed that inflation based on the combined consumer price index (CPI) for urban and rural India for January 2014 eased to 24-month low level. Purchases of automobiles, including that of cars, utility vehicles and commercial vehicles are substantially driven by financing. Purchases of both residential and commercial property are largely driven by finance.

Tata Motor's British luxury car unit Jaguar Land Rover (JLR) reported 12% rise in sales to 39,106 vehicles in January 2014 from January 2013.

ONGC Videsh (OVL), the overseas arm of Oil and Natural Gas Corporation (ONGC), has entered into separate agreements with two consortiums of international banks to raise $2.5 billion by way of offshore borrowings to finance its acquisition of 10% participating interest in Rovuma Area I Block in Mozambique offshore.

The first facility for a five year term amounting to $1.775 billion was signed with consortium of reputed international banks, including ANZ, Bank of Nova Scotia, BTMU, DBS, Mizuho, RBS, Societe Generale, SBI and SMBC. The company had initially planned to raise $1 billion through this long-term facility; however, decided later to upsize the same in view of overwhelming response from the banks. SMBC took the leadership role in this facility with commitment of $700 million and acting as Facility and Escrow Agent. This is the single largest offshore 5-year loan facility arranged by an Indian company during the last three years.

The second facility is in the nature of a bridge finance of $725 million for a one year term with consortium of reputed international banks.

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In April 2013, the company had made its inaugural offshore USD bond offering of dual-tranche Reg-S notes in international markets aggregating $ 800 million to finance its acquisition of participating interest in ACG field in Azerbaijan and the associated cross-country BTC pipeline. The 5-year tranche of $300 million was priced at T+190 bps and the 10-year tranche of $500 million was priced at T+210 bps. The yields of these tranches were 2.574% and 3.756% respectively. The notes were issued at the lowest-ever coupon achieved by an Indian issuer in the 5- year and 10-year tenor in the USD bond market. This was also the largest-ever Reg-S only transaction by an Indian issuer in the USD bond market.

In January 2014, the company had raised $1.5 billion 1-year bridge loan facility from a consortium of 9 banks to finance the acquisition of participating interest of 6% in the Rovuma Area I Block in Mozambique offshore from Videocon.

With these three offshore loan facilities and the bond transaction, OVL has raised $4.8 billion from the international market in the current financial year.

"We are extremely pleased with the strong enthusiasm shown by top global banks at extremely fine pricing leading to market defining transactions. In the backdrop of a volatile global economic environment, such interest is reflective of ONGC's robust credit profile and underlines the strong India story" said Mr Sudhir Vasudeva, CMD, ONGC and Chairman, OVL.

ONGC, Sun Pharmaceutical Industries and Hindalco Industries will unveil Q3 results today, 13 February 2014.

Index heavyweight Reliance Industries (RIL) will be in focus as media reports suggested that the Anti-Corruption Bureau of the Delhi state government has registered a First Information Report (FIR) on Chief Minister Arvind Kejriwal's complaint on gas pricing. No individual has been named in the FIR even as Kejriwal's complaint mentioned Reliance Industries Chairman Mukesh Ambani and Union Minister Murli Deora and Verappa Moily. The FIR has been registered under sections dealing with criminal conspiracy, cheating and other sections of the Prevention of Corruption Act, reports added. Kejriwal had Tuesday, 11 February 2014, called for an investigation into what he alleged was collusion between government policymakers and Reliance Industries in a plan to raise natural gas prices this year.

In a statement issued after trading hours on Tuesday, 11 February 2014, RIL said that the direction of the Delhi state government to order the registration of an FIR in relation to the decision of Union Cabinet to revise the price of gas is shocking. The complaint and each of the allegations on the basis of which the Delhi government has taken such action are completely baseless and devoid of any merit or substance whatsoever, RIL said on Tuesday. The allegations appear to have been made by persons who are also Petitioners in the Supreme Court of India in a petition in which similar allegations have been made, RIL said. The issue of gas pricing is also a contentious issue between the contracting parties being the Government of India and the contractors, RIL said. "We deny these irresponsible allegations and propose to resort to the available legal remedies to protect our reputation and preserve the pioneering efforts and investment made by Reliance so far. We also remain fully committed to the development of oil and gas sector in India within the parameters of law", RIL said.

Lupin turns ex-dividend today, 13 February 2014 for the interim dividend of Rs 3 per share for the year ending 31 March 2014.

Power Grid Corporation of India said its board in their meeting held on 5 February 2014 approved System Strengthening in Southern Region - XXII at an estimated cost of Rs 243.53 crore, with commissioning schedule of 30 months from the date of investment approval.

The board also approved Sub-station Extension Works associated with Transmission System required for evacuation of power from Kudgi TPS (3400 MW in Phase-1) of NTPC Limited' at an estimated cost of Rs 167.40 crore, with commissioning schedule of 22 months from the date of investment approval.

The board also approved Northern Region System Strengthening Scheme - XXX at an estimated cost of Rs 539.82 crore, with commissioning schedule of 28 months from the date of investment approval.

Further, the board approved Northern Region System Strengthening Scheme - XXXII at an estimated cost of Rs 908.08 crore, with commissioning schedule of 28 months from the date of investment approval.

The board approved expansion/upgradation of SCADA/EMS system of SLDCs of North Eastern Region at an estimated cost of Rs 56.18 crore, with commissioning schedule of 27 months from the date of investment approval.

United Breweries net profit surged 65.6% to Rs 55.51 crore on 13.68% increase in total income to Rs 956.8 crore in Q3 December 2013 over Q3 December 2012.

Bata India's net profit rose 3.61% to Rs 52.75 crore on 8.83% increase in total income to Rs 562.17 crore in Q4 December 2013 over Q4 December 2012.

The company's net profit rose 11.15% to Rs 190.74 crore on 11.97% increase in total income to Rs 2096.52 crore in the year ended December 2013 over the year ended December 2012.

On a consolidated basis, Bata India's net profit rose 10.94% to Rs 190.90 crore on 11.97% increase in total income to Rs 2096.66 crore in the year ended December 2013 over the year ended December 2012.

Mr. Rajeev Gopalakrishnan, Group Managing Director, Bata India Limited said, "To cater to the diverse needs of the fast growing and evolving consumer base we have been relentlessly working on our product offerings. The new Spring Summer'14 collection is contemporary, stylish, on trend and aspirational targeted to appeal the sensibilities of young generation. Complementing our new range of products is the global concept store at the DLF Place Saket Mall in Delhi. The first global concept store of Bata in India, this new easy to navigate and shop retail format is a step towards making shopping a pleasurable experience for our customers. Additionally, we also have a brand new marketing strategy in line with our overall growth strategy."

Bata India will be opening over 100 new stores this year.

MOIL said that Government of India, Ministry of Steel has upgraded MOIL from Schedule-B to Schedule-A company with effect from 28 January 2014.

Hindustan Copper's net profit fell 9.07% to Rs 68.96 crore on 16.84% increase in total income to Rs 444.52 crore in Q3 December 2013 over Q3 December 2012.

On a consolidated basis, Apollo Tyres' net profit rose 87.16% to Rs 338.01 crore on 11.25% increase in total income to Rs 3608.93 crore in Q3 December 2013 over Q3 December 2012.

Max India's net profit surged 176.68% to Rs 73.68 crore on 16.58% increase in total income to Rs 295.54 crore in Q3 December 2013 over Q3 December 2012.

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First Published: Feb 13 2014 | 8:59 AM IST

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