Q3 Results Today: As we approach the midpoint of the earnings season, excitement mounts for the Q3 Results 2024. Many companies are slated to announce their quarterly financials on Thursday (February 8), garnering significant attention from Dalal Street. Investors are particularly keen on the performance of major players such as LIC, Zomato, Grasim Industries, Apollo Hospitals Enterprises, Patanjali Foods, Page Industries, Biocon, Schneider Electric Infrastructure, JK Lakshmi Cement and Zydus Wellness.
LIC reports near 50% surge in Q3 profits
The Life Insurance Corporation of India (LIC) announced a significant surge in third-quarter profits, nearing 50%, on Thursday, bolstering its financial standing by reallocating funds to its shareholders’ account. India’s largest insurer reported a profit after tax of Rs 94.44 billion for the quarter ending December 31, compared to Rs 63.34 billion in the previous year. This quarter, LIC transferred Rs 76.92 billion from its non-participating fund to its shareholders’ fund, an increase from Rs 56.70 billion transferred during the same period last year.
The company’s strategy involves shifting portions of premium collections from fixed-return ‘non-participating’ policies to a shareholders’ fund since 2022, contributing to its profitability. Notably, LIC’s solvency ratio, reflecting its ability to meet long-term debts, improved to 1.93 in the third quarter from 1.85 a year earlier. Furthermore, its net premium income rose by nearly 4.6%, with total premiums for December nearly doubling year-over-year after experiencing declines in the preceding two months.
Zomato posts Q3 profit on higher demand
Zomato Ltd, the online food delivery giant, announced a net profit of Rs 138 crore for the quarter ending in December 2023. This is a remarkable turnaround from the net loss of Rs 347 crore that the company incurred in the same quarter of the previous fiscal year, according to its regulatory filing.
The company also saw its revenue from operations surge to Rs 3,288 crore in the third quarter of the current fiscal year, compared to Rs 1,948 crore in the same period a year ago. However, its total expenses also increased to Rs 3,383 crore from Rs 2,485 crore a year ago, the company said.
Apollo Hospitals beats Q3 profit view
The third quarter of the fiscal year saw a huge jump in net profit for Apollo Hospitals Enterprise, the largest hospital chain in India. The company overcame the losses from its pharmacy business. Its net profit rose by 59% to Rs 2.45 billion ($29.5 million), surpassing the average forecast of Rs 2.40 billion by analysts, as per LSEG data.
This was despite the fact that the December quarter is usually a slow one for hospitals, as people tend to postpone their health-related visits during the holidays.
Page Industries posts higher Q3 profit
Page Industries, the licensee of Jockey innerwear and loungewear in India, reported a rise in profit for the first time in five quarters on Thursday, boosted by higher margins.
The company, which also makes and sells sports and athleisure wear, saw its profit grow 23% to Rs 1.52 billion ($18.3 million) in the third quarter compared to the same period last year.
The company’s revenue rose 2.4% to Rs 12.29 billion. Its EBITDA margins widened to 18.7% from 16.1% a year ago. Page Industries’s total expenses fell 0.5%, mainly due to lower raw material costs, especially cotton.
Power Finance Corporation Q3 net profit rises 20 per cent
Power Finance Corporation, the state-owned power sector lender, reported a 20% increase in its net profit for the third quarter, driven by higher revenues.
The company’s net profit was Rs 6,294.44 crore in the quarter that ended on December 31, 2023, as per a BSE filing. The company’s revenue increased to Rs 23,593.40 crore from Rs 19,662.65 crore in the same quarter of the previous year.
BEML posts slight increase in Q3
BEML, the state-owned heavy equipment manufacturer, posted a slight increase in its pre-tax profit for the third quarter, despite facing higher input costs. The company’s consolidated profit before tax was Rs 668.5 million ($8.1 million) for the quarter that ended on Dec. 31, a marginal rise of nearly 1% from the same period last year.
The company was affected by the high global steel prices, which increased the cost of making machinery and equipment. Steel is a vital component in their production. This caused BEML’s raw material costs to soar by almost 20%, pushing up its total expenses by 4% to Rs 10.14 billion.
The company also incurred tax expenses of Rs 186.5 million, which reduced its net profit by 27% compared to last year. The company did not have any tax expenses in the December quarter of the previous year.
Biocon Posts Profit of Rs 660 Crore in Q3, Revenue Jumps 50%
Biocon Ltd, a leading biotechnology company, announced a consolidated net profit of Rs 660 crore for the quarter ended December 31, 2023, reversing a net loss of Rs 42 crore in the same quarter of the previous fiscal. The company attributed the turnaround to strong sales across its segments.
The company’s total revenue surged 50% to Rs 4,519 crore in the third quarter, compared to Rs 3,020 crore in the year-ago period, according to a statement released by the company on Thursday.
HCC Turns Profitable in Q3, Revenue and Expenses Improve
Hindustan Construction Company (HCC) announced a consolidated profit of Rs 233.22 crore for the quarter ended December 31, 2023, reversing a net loss of Rs 283.72 crore in the same quarter of the previous fiscal. The company disclosed this information in a BSE filing on Thursday.
The company’s total revenue increased to Rs 1,512.30 crore in the third quarter, compared to Rs 1,359.51 crore in the year-ago period. The company’s total expenses also reduced to Rs 1,412.43 crore in the quarter under review from Rs 1,759.54 crore in the corresponding period of the last fiscal.
Thermax net profit jumps nearly 88% to Rs 237 crore in Q3
Thermax reported a significant surge in consolidated net profit to Rs 237.06 crore in the December quarter, marking an increase of nearly 88 percent, primarily attributed to higher revenues. According to a BSE filing, the company’s consolidated net profit stood at Rs 126.40 crore in the corresponding period of the previous year. Total income also saw a notable rise, reaching Rs 2,382.76 crore in the quarter compared to Rs 2,091.57 crore a year ago. Additionally, the company’s board approved an additional capital expenditure of Rs 45 crore for establishing an ion exchange resin manufacturing plant in Jhagadia, Gujarat. The order balance as of December 31 amounted to Rs 10,717 crore, up 9 percent from Rs 9,859 crore in the previous fiscal year.
Honda posts 35% Q3 profit jump
Honda Motor of Japan reported a significant surge in operating profit for the December quarter and revised its annual outlook upwards, buoyed by strong sales in the United States, a more profitable product mix, and a weaker yen. The automaker adjusted its full-year operating profit forecast by 4.2% to 1.25 trillion yen ($8.4 billion), compared to the previous projection of 1.2 trillion yen, surpassing the average analyst forecast of 1.271 trillion yen, according to LSEG data. In the October-December third quarter, operating profit climbed by 35% to 379.8 billion yen, aligning with the average estimate of 371.6 billion yen from a poll of nine analysts by LSEG. Additionally, Honda announced a $336 million share buyback plan, intending to repurchase up to 0.7% of its own shares.
Nissan posts 6% rise in Q3 profit
Nissan Motor, based in Japan, reported a 6.4% increase in third-quarter operating profit to 141.6 billion yen ($951.80 million) on Thursday, falling short of analysts’ expectations, and retained its annual outlook. This result contrasted with the average estimate of 179.8 billion yen among nine analysts surveyed by LSEG and 133.1 billion yen recorded in the corresponding period a year earlier. The automaker upheld its operating profit forecast of 620 billion yen for the current fiscal year.
India’s Venky’s posts Q3 loss on subdued oilseed business
Venky’s (India) announced a third-quarter loss on Thursday, primarily attributed to the underperformance of its key oilseed business, causing a 6% decline in its shares. The company reported a net loss of 79.4 million rupees (nearly $957,000) for the three months ending December 31, compared to a profit of 165.3 million rupees in the same period a year earlier. Venky’s, headquartered in Pune, specializes in selling edible oil derived from processing oilseed like soya, with the by-product de-oiled cake utilized as poultry feed or sold. Additionally, it offers poultry and animal health products.
ArcelorMittal posts $2,966 million net loss in Q3
ArcelorMittal, the global steel giant, reported a net loss of $2,966 million in the December quarter, attributed to declining steel prices. This marks a significant contrast to the net income of $261 million recorded in the same period last year. Despite a marginal increase in steel production to 13.7 million tonnes from 13.2 million tonnes a year ago, total steel shipments for the December quarter of 2023 reached 13.3 million tonnes, compared to 12.6 million tonnes in 2022. Operating on a January-December financial year cycle, the company experienced reduced sales in 4Q 2023, amounting to $14.6 billion, down from $16.9 billion in 4Q 2022, primarily due to decreased average steel selling prices.