Business News at 05:30 pm on 15th July, 2024

Let’s begin, the share price of HCL technologies gained over 4% as the IT major on Friday reported robust growth during the first quarter of the financial year 2024-25. The share price of HCL Technologies jumped 4.88% to an intra-day high of Rs 1,636.40 on NSE. HCL Technologies reported a consolidated net profit of Rs 4,257 crore for the quarter ended June 2024, marking a 20% increase from Rs 3,534 crore a year ago. This figure surpassed the estimates of Rs 3,820 crore. Revenue from operations rose 7% year-on-year to Rs 28,057 crore. On a sequential basis, net profit grew 7% from Rs 3,986 crore reported in the December quarter, although revenues declined 1.5% quarter-on-quarter. In constant currency terms, revenue for the quarter increased 6% year-on-year.

Moving to IPO news, Tunwal E-Motors, Kataria Industries, and Macobs Technologies are the three IPOs opening this week in the SME segment. A total of four companies will be offering their shares to investors in the week. Out of which, one company will offer in the mainboard segment while the remaining three in the SME segment. Sanstar company will collect Rs 510.15 crore through a combination of fresh issue as well as an offer for sale. The company will be offering 41.8 million fresh shares and 11.9 million shares of promoter group and other selling shareholders. The IPO of Tunwal E-Motors opening on July 15 is a fixed price issue of Rs 115.64 crore. The company will offer fresh shares.

Over to Budget Expectation news, as India accelerates its support for defence startups through initiatives like Innovation for Defence Excellence and the Technology Development Fund as well as simplified ‘Make’ guidelines, the recent announcement by Finance Minister Nirmala Sitharaman regarding a new scheme to strengthen deep-tech technologies for defence marks a significant milestone. The incorporation of start-up-friendly measures in 2023–24 demonstrated a keen understanding of the challenges faced by these entities, emphasizing the government’s dedication to providing them with the necessary tools for resilience and success. A notable highlight was the provision of contingency measures designed to assist startups in recuperating from losses, thereby alleviating financial burdens and enabling a more robust focus on their core strengths. More such provisions are required in the upcoming budget.

Next from Industry news, HDFC Life Insurance Company on Monday reported its fiscal first quarter profit at Rs 478.97 crore, up 14.9 per cent in comparison to Rs 416.71 crore during the corresponding quarter of previous year. The company’s net premium income for the quarter stood at Rs 12,548.42 crore as against Rs 11,507.89 crore during the same period last year. HDFC Life’s annualised premium equivalent, which is a measure of new business written by a life insurance company, came in at Rs 2,866 crore for the quarter. This was up 23 per cent as against Rs 2,328 crore recorded during Q1FY24. The company recorded Value of New Business for Q1 at Rs 718 crore, reflecting a growth of 18 per cent both YoY.

Now news on Defence stocks, these stocks have been the toast of the town for a while, surging 65% in the past month. Strong order book and government push for localisation in defence have been helping these stocks. However, often the question is has the run-up in the stocks has been too much and soon. Shares of Mazagon Dock Shipbuilders have given a whopping return of over 3200% in the past five years. This simply means that if you’d invested Rs 10,000 in the company you would had almost Rs 3.4 lakh. Mazagon Dock Shipbuilders have a market cap of Rs 1.16 lakh crore as of July 11, 2024 and the stock closed at a price of Rs 5,710 a piece.

Latest update on the Mumbai-Ahmedabad Bullet Train corridor, spanning 508 kilometers, will feature 12 stations, with eight in Gujarat and four in Maharashtra. The stations in Gujarat include Sabarmati, Ahmedabad, Anand, Vadodara, Bharuch, Surat, Bilimora, and Vapi, while Maharashtra will have Boisar, Virar, Thane, and Mumbai. Recent updates indicate substantial progress in the construction of the Bullet Train stations in Gujarat. The foundation work for all eight stations is completed, and the construction of superstructures is advancing rapidly. Five stations—Vapi, Bilimora, Surat, Anand, and Ahmedabad—have completed the construction of their rail level slabs. The Concourse Level and Rail Level Slabs have been completed in Vapi, Bilimora, Surat, Anand, and Ahmedabad. The stations are designed to offer modern and advanced facilities to passengers.

Lastly, let’s have a look at how markets performed today. Markets start the week on positive note! Nifty ends over 24,550, Sensex was near 80,600. The benchmark equity indices ended Monday’s trading session in the positive territory. The NSE Nifty 50 gained 84.35 points or 0.34% to settle at 24,586.50, while the BSE Sensex jumped 145.51 points or 0.18% to 80,664.86.