Indian benchmark indices are likely to extend gains on Tuesday amid strong global cues. SGX Nifty hinted at a positive start for the Indian share market as Nifty futures traded 75 pts higher at 18222 levels. In the previous session, BSE Sensex rallied 320 pts to 60,942, while NSE Nifty50 climbed 91 pts to 18,118. “In the near term, we expect market to consolidate in a range given the sustained selling by FIIs. However, stock-specific action might be seen in the market as the Q3 earnings progress. Apart from results focus this week will also remain on fourth-quarter U.S. GDP data due on Thursday,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.
Stocks in focus on 24 January, Tuesday
Wipro: The IT company sacked 452 entry-level employees after ‘they performed poorly in assessments repeatedly even after training’, said the company in a statement. The termination letter sent to the employees stated that ‘despite adequate training, they have failed to perform’. It also stated that they were liable to pay a fee of Rs 75,000 in order to compensate for the amount Wipro spent on training them. However, the company, in the same mail, waived off the fee. “We wish to inform you that training cost of Rs 75,000 which you are liable to pay, will be waived off,” the letter noted.
Canara Bank: Canara Bank’s net profit rose 92% on-year in the December quarter due to a strong growth in the state-owned lender’s loans. The bank posted a bottomline of Rs 2,882 crore, up 14% on-quarter. The state-owned bank’s domestic gross advances rose 14.1% on-year to Rs 8 lakh crore as on December 31. Domestic deposits rose 9.2% on-year to nearly Rs 11 lakh crore as on December 31. Bank’s Gross non-performing assets ratio fell to 5.89% from 6.37% as on 30 September, and 7.80% a year ago. Net non-performing asset ratio fell to 1.96% from 2.19% as at September 30, and 2.86% a year ago.
IDBI Bank: IDBI Bank’s net profit rose 60% on-year in the December quarter due to a strong growth in loans and lower provisions. On the liability side, deposits rose 5% on-year to Rs 2.3 lakh crore. The bank’s net interest income rose 23% on-year to Rs 2,925 crore in October-December. Net interest margin rose to 4.59% in October-December from 3.88% a year ago. Gross non-performing asset ratio improved to 13.82% as on December 31 from 21.68% a year ago. Gross non-performing asset ratio stood at 16.51% on 30 September.
Axis Bank: Axis Bank reported a net profit of Rs 5,853 crore for the quarter ended December 31, higher by 62% on-year. Net interest income (NII) grew 32% to Rs 11,459 crore while the net interest margin (NIM) stood at 4.26% as of December 31, up 73 bps on-year. Gross non-performing asset ratio (NPA) stood at 2.38% as of December 31, lower by 79 bps on-year. The net NPA ratio was at 0.47%, down 44 bps on-year.
Coal India: Coal India arm MCL is in the process of diversifying into power generation and will set up a coal-based plant entailing an investment of around Rs 12,000 crore in Odisha, its chairman-cum-managing director O P Singh said. Mahanadi Coalfields Ltd (MCL) also has plans to diversify into aluminium business. The subsidiary has applied to the government for coal linkage for the proposed 1,600-mw coal-fired power plant and the allotment is yet to be done, Singh said.
Poonawalla Fincorp: The non-banking finance company has registered a strong 89% on-year growth in consolidated profit at Rs 182.1 crore for the quarter ended December FY23, with writeback of impairment of financial instruments for the quarter. Net interest income grew by 42% on-year to Rs 463.7 crore during the quarter.
Gland Pharma: The pharma company has reported a 15% on-year decline in profit at Rs 232 crore for December FY23 quarter with lower topline as well as weak operating performance. Revenue from operations for the quarter at Rs 938 crore declined 12% compared to the year-ago period.
FSN E-Commerce Ventures: The Nykaa Fashion operator said the board members have appointed P Ganesh as Chief Financial Officer and key managerial personnel of the company effective February 3, 2023.
Q3 Results: Maruti Suzuki India, HDFC Asset Management Company, Colgate-Palmolive, CG Power and Industrial Solutions, Chalet Hotels, Gateway Distriparks, Granules India, Indoco Remedies, Indus Towers, Latent View Analytics, Macrotech Developers, Motilal Oswal Financial Services, Nazara Technologies, Pidilite Industries, PNB Housing Finance, SBI Cards and Payment Services, Sona BLW Precision Forgings, Tata Coffee, TVS Motor Company, and United Spirits will report quarterly earnings on 24 January.