Post result losses for index heavyweight and housing finance major HDFC and losses for two other index heavyweights Reliance Industries and ITC led losses for key benchmark indices. The barometer index, the S&P BSE Sensex, lost 152.61 points or 0.56% at 27,318.20, as per the provisional closing data. The losses for the Sensex were higher in percentage terms than those for the 50-unit CNX Nifty index. The Nifty lost 34.90 points or 0.42% at 8,260.55, as per the provisional closing data. The Sensex and the Nifty extended losses at the fag end of the trading session after news report said tremors were felt in North India after a powerful earthquake hit northeastern Afghanistan.
Stocks of Asian Paints and Bharti Airtel edged lower after both these firms reported disappointing Q2 September 2015 results.
The Sensex and the Nifty reversed direction after both these key benchmark indices struck 9-1/2-week high at the onset of the trading session. The Sensex fell 152.61 points or 0.55% at the day's low of 27,318.20 at the fag end of the trading session, its lowest level since 21 October 2015. The barometer index jumped 147.33 points or 0.53% at the day's high of 27,618.14 at the onset of the trading session, its highest level since 20 August 2015. The Nifty fell 43.40 points or 0.52% at the day's low of 8,252.05 at the fag end of the trading session, its lowest level since 21 October 2015. The index rose 40.85 points, or 0.49% at the day's high of 8,336.30 at the onset of the trading session, its highest level since 20 August 2015.
The market breadth indicating the overall health of the market was weak. On BSE, 1,730 shares declined and 972 shares rose. A total of 147 shares were unchanged. The BSE Mid-Cap index provisionally fell 0.47%. The decline in this index was lower than the Sensex's decline in percentage terms. The BSE Small-Cap index provisionally fell 0.69%. The decline in this index was higher than the Sensex's decline in percentage terms.
The total turnover on BSE amounted to Rs 2654 crore, higher than turnover of Rs 2545.16 crore registered during the previous trading session.
Shares of index heavyweight and housing finance major HDFC edged lower in volatile trade after the company announced second quarter earnings. The stock shed 2.32% at Rs 1,309.80. The stock hit high of Rs 1,350 and low of Rs 1,305.90 in intraday trade. HDFC's net profit rose 18.19% to Rs 1604.56 crore on 12.13% rise in total income to Rs 7480.24 crore in Q2 September 2015 over Q2 September 2014. On a consolidated basis, HDFC's net profit rose 2.04% to Rs 2106.51 crore on 7.61% rise in total income to Rs 12530.28 crore in Q2 September 2015 over Q2 September 2014.
Meanwhile, HDFC announced that the board of directors of the company has granted in-principle approval for a sponsored level 1 ADR programme in respect of up to 10% of the issued and paid-up share capital of the company. The programme envisages conversion of existing equity shares of the company into ADRs and there will be no fresh issue of equity shares. HDFC's board of directors also granted in-principle approval for issue of rupee denominated bonds aggregating up to $750 million in overseas markets.
More From This Section
The company's board of directors also granted approval for re-appointment of Keki M. Mistry as the Managing Director (designated as Vice-Chairman & Chief Executive Officer) subject to approval of the shareholders of the company.
Bharti Airtel fell as second quarter results disappointed investors. The stock fell 1.88% to Rs 352. The stock hit high of Rs 366 and low of Rs 347.30 in intraday trade. Bharti Airtel's consolidated net profit rose 10.08% to Rs 1522.70 crore on 4.33% growth in total income to Rs 23851.90 crore in Q2 September 2015 over Q2 September 2014. The result is as per International Financial Reporting Standards (IFRS). The result was announced during market hours today, 26 October 2015.
Bharti Airtel's bottom line in Q2 September 2015 was boosted by exceptional items. There was a net exceptional gain of Rs 659.60 crore in Q2 September 2015 as against exceptional loss of Rs 175 crore in Q2 September 2014. There was a net gain of Rs 1044 crore in Q2 September 2015 pertaining to the divestment of telecom tower assets in Zambia, Uganda and Kenya. There were exceptional charges amounting to Rs 384.40 crore in Q2 September 2015 viz. depreciation charge of Rs 16.60 crore arising out of the termination of the tower sale agreement, charge of Rs 213.60 crore towards operating costs on network refarming and up-gradation program, regulatory fee provisions of Rs 142.60 crore arising out of re-assessment of certain positions and charge of Rs 11.60 crore towards restructuring activities in a few countries.
Adverse currency movements resulted in forex and derivative losses of Rs 809 crore in Q2 September 2015, significantly higher than losses of Rs 219 crore in Q2 September 2014.
Asian Paints edged lower as second quarter results fell short of market expectations. The stock lost 4.65%. Asian Paints' net profit rose 11.92% to Rs 364.48 crore on 2.6% increase in total income to Rs 3122.98 crore in Q2 September 2015 over Q2 September 2014. The result was announced after trading hours on Friday, 23 October 2015. On a consolidated basis, Asian Paints' net profit rose 14.88% to Rs 399 crore on 4.3% increase in total income to Rs 3836.87 crore in Q2 September 2015 over Q2 September 2014. The consolidated results for Q2 September 2015 include financials of Kadisco Paint and Adhesive Industry Share Company, (Ethiopia) in which the company's wholly owned subsidiary, Berger International, Singapore acquired 51% stake on 9 February 2015. In view of this, the Q2 September 2015 results are not comparable with Q2 September 2014, Asian Paints said.
Auto stocks were mixed. Ashok Leyland (down 2.16%), Mahindra & Mahindra (M&M) (down 0.3%), Eicher Motors (down 1.17%) and TVS Motor Company (down 2.96%) declined. Tata Motors (up 0.46%), Bajaj Auto (up 1.92%) and Hero MotoCorp (up 0.97%) rose.
Maruti Suzuki India gained 0.42%. The company is set to announce its Q2 September 2015 results tomorrow, 27 October 2015.
Force Motors rose 3.96% after net profit rose 65.33% to Rs 42.48 crore on 27.45% rise in net total income from operations to Rs 763.24 crore in Q2 September 2015 over Q2 September 2014. The result was announced on Saturday, 24 October 2015.
Powered by Capital Market - Live News