Companies on firm footing, show robust sales and profit growth prospect

Companies on firm footing, show robust sales and profit growth prospect

B G Shirsat / Mumbai April 15, 2010, 0:45 IST

Cement, technology, telecom, IT pull down the rest; surge in auto, pharma, metals, construction and media sectors.

An extensive analysis of the available results of companies for the just-concluded fourth quarter (January-March, Q4) shows robust growth in sales and profit, carrying forward the momentum from earlier quarters.

The scan here is of the preview of results made by 10 prominent broking companies of the available Q4 results. The companies in question total 259, including all those from the benchmark indices of the Bombay Stock Exchange (the Sensex) and the National Stock Exchange (Nifty), barring banking, finance and oil stocks. That leaves 38 stocks from the Sensex and Nifty and 221 others, large-cap, mid-cap and small-cap; these are the ones for which results are available.

 

The representative sample shows, as mentioned, strong growth in Q4. The Nifty companies, the preview of results show, are likely to see sales growth of 26 per cent and of net profit by 31 per cent; the Sensex ones should grow by 31.5 and 27 per cent, respectively. As for the ones not part of the benchmark indices, the indication is of a 20 per cent rise in net sales for these companies, with net profit growth likely to be over 50 per cent. (Click here for MONEY MAKERS table)
 

Q4 GROWTH RATES IN SALES & PROFIT
	Sensex		Total Universe
	Sales	Net Profit	Sales	Net Profit
Angel Broking	35.60	26.40	NA	NA
CLSA	38.30	28.80	26.44	44.77
Emkay Global*	17.00	33.00	18.30	33.76
Edelweiss*	17.20	30.00	26.42	29.92
CITI	36.50	34.90	32.33	42.74
ICICI Securities	NA	NA	15.70	81.00
IDFS-SSKI	27.00	72.00	22.89	49.66
IIFL Research	28.00	17.00	23.00	30.00
Motilal Oswal	31.20	32.70	27.30	33.20
Prabhudas Lilladher	NA	NA	21.80	44.66
All total average	31.65	26.84	23.23	37.58
* For 30 Sensex companies and for others excluding oil companies :  Growth rates for total universe of the broking houses are excluding finance & oil marketing companies

 

SECTORAL GROWTH RATES
Rs crore	Sales	% chg	Opr profit	% chg	Net profi	% chg
Auto Ancillaries	10350.70	43.16	1325.87	12.65	535.40	41.27
Automobiles	8005.50	78.19	1192.05	148.00	735.91	238.85
Capital Goods	14494.82	11.75	1842.75	13.97	1088.46	13.15
Cement	7050.69	8.23	1762.88	-7.51	819.54	-25.31
Construction	14531.06	14.26	1974.13	39.73	732.94	147.76
Media	2762.79	25.90	755.53	66.95	318.83	108.42
Metals	16437.97	38.95	5624.36	143.30	3660.56	168.85
Oil gas	32723.13	41.41	3119.40	-17.69	1272.32	-34.94
Pharma	12287.13	10.58	2800.56	8.70	1967.92	1156.28
Pipes	4008.40	-20.82	703.13	22.04	364.15	34.25
Power	5122.27	28.02	1421.45	65.09