Business News at 05:30 pm on 8th April, 2024

Let’s begin with the major update, the fourth quarter earnings season is almost here and India Inc is all set to release its earnings for the quarter ended March 31, 2024, starting this week, with IT services major TCS to report its quarter numbers on Friday (April 12). Other IT firms to release its Q4 earnings this month are Infosys slated to report Q4FY24 numbers on April 18, Wipro on April 19, Tech Mahindra on April 25, and HCL Technologies on April 26. According to an analysis report by HDFC Securities, IT sector growth is expected to bottom out in Q4FY24 and recover ‘gradually’ in FY25E. India Inc, meanwhile, is expected to report marginal slow down in revenue growth in Q4FY24, said a report by ICRA.

Moving on, Co-lending assets under management (AUM) of non-banking financial companies (NBFCs) is nearing ~Rs 1 lakh crore after more than 5 years since the model came into being, said a report by CRISIL Ratings. Amidst rising interests of partners – NBFCs as well as banks, growth momentum over the medium term, is seen healthy at 35-40 per cent annually, it added. CRISIL reported the findings based on a study of ~100 NBFCs, accounting for over 90 per cent of the sector’s AUM. Of the current overall co-lending book, personal loans alone account for about a third of the AUM, followed by housing loans at around 20 percent and unsecured MSME loans and gold loans each making up around 13 percent of the pie.

In other news, Prestige Group on Monday announced that it has achieved its highest ever annual sales at Rs 21,040 crore for FY24, registering a growth of 63 per cent on-year in comparison to Rs 12,931 crore reported in FY23. The company’s quarterly sales were at Rs 4,707 crore for the quarter ended March 31, 2024, up 21 per cent on-year. In terms of annual collections, the real estate developer said that it has attained highest ever annual collections at Rs 11,954 crore for FY24, up 22 per cent on-year as against Rs 9,805 crore during the previous financial year. For the fourth quarter of FY24, it reported collections at Rs 3,474 crore, recording a growth of 26 per cent YoY.

Meanwhile, Air India, India’s leading global airline, entered into an agreement with Bangalore International Airport Limited (BIAL) to develop Bengaluru into a premier aviation hub for southern India. The collaboration aims to enhance international connectivity, operational efficiency, and passenger experience over the next five years. Campbell Wilson, Managing Director, and CEO of Air India, expressed enthusiasm about the partnership, emphasising the importance of airline-airport synergy in enhancing customer experience and operational efficiency. He highlighted Bengaluru’s strategic significance as both an origin and destination market and a vital connecting hub, underscoring the airline’s commitment to expanding air connectivity and establishing a major MRO center in the region. Air India, along with Tata Group airlines AIX and Vistara, will bolster their presence at Kempegowda International Airport.

Up next, The Piramal Group announced that a Rs 110-crore investment into Biodeal Pharmaceuticals. According to the company’s statement, the contract development and manufacturing company will deploy the funds infused by Piramal Alternatives for improving its infrastructure and capacities, technology upgrade and a nutraceuticals manufacturing facility. The company stated that the infusion is done through convertible instruments from Piramal Alternatives’ Performing Credit Fund. Piramal Alternatives’ chief executive Kalpesh Kikani said the market potential in the nasal sprays segment is strong, and pointed to Biodeal’s leading position in contract manufacturing and adherence to global regulatory standards as aspects which make it into an exciting opportunity. Biodeal’s managing director Anurag Kumar said the fundraise will help it boost the production capacity by three times.

Moving ahead, Taking a step forward in India-Peru trade relations, the seventh round of India-Peru Trade Agreement negotiations have kick started. As reported earlier by Financial Express Online, the talks will continue till Apri 11, and the proposed agreement aims to strengthen bilateral trade and investments by reducing or eliminating customs duties on goods and promoting trade in services. According to the Department of Commerce, This initiative is a testament to India’s commitment towards strengthening bilateral ties and fostering economic growth between India and Peru. Top diplomats told Financial Express Online that Approximately 17 negotiators are part of the Peruvian delegation and talks are being led by Ambassador Javier Paulinich.

Lastly, let’s take a look at stocks to watch today. The Indian equity indices on Monday ended record higher. The Nifty 50 closed the day’s trading over 150 points or 0.68% higher at 22,666.30. At the same time, Sensex inched 494 points higher to finish the session at 74,742.50. The gainers included Eicher Motors, Maruti Suzuki, M&M, NTPC, and JSW Steel. The Indian Volatility Index (India VIX) closed 2.38% higher. Nifty Bank closed the day’s trading over 89 points higher at 48,582. The Nifty Midcap 100 gained 19 points or 0.04% to settle at 50,041.40. On the sectoral front, auto, realty, and Oil & Gas stocks were trading high throughout the trading session. In the broader indices, midcap and smallcap stocks closed in the green.