Bp equities_morning wealth_22nd january 2014.pub

                     2nd  Feb , 2011     
Morning Wealth
B P W E A L T H
Wednesday,22nd January, 2014
Intraday Nifty Outlook
Nifty Futures
Index is consolidating around the downsloping trendline, for index to continue its short term upmove it needs to surpass this trendline. Going ahead index has immediate resistance at 6330 a sustenance above this level will open the way for 6390-6420 while support comes at 6280-6230. Indices (NSE)
Corporate News
Tata Coffee profit up 45% in Q3 on strong sales
Tata Coffee has reported 45.40 per cent profit at Rs 37.66 crore on a consoli- dated basis for the third-quarter of 2013-14 compared with Rs 25.90 crore in the corresponding period last year. Profits are higher due to upswing in sales and royalties from Eight O’ Clock brand in the US and also upswing in Green Moun- tain Coffee Roasters operations as compared to last year. However, total in- come from operations is lower by 6.25 per cent to Rs 391.93 crore in Q3 against Rs 418.09 crore during the corresponding period last year. Coffee and other produce reported a revenue of Rs 367.28 crore (last year Rs 395.93 crore), tea Rs 18.35 crore (Rs 16.10 crore), estate supplies division Rs 7.18 crore (Rs 7.62 crore) and others Rs 94 lakh (Rs 90 lakh). Earnings per share stood at Rs 20.17 against Rs 13.62. According to Harish Bhat, Chairman, “The plantation products of coffee and pepper continued its good performance. There has been a marked swing in the traditional market of the company’s instant
Torrent Pharmaceuticals Q3 net up 41% at Rs 158 cr
Indices (BSE)
Torrent Pharmaceuticals today reported 41 per cent increase in its consolidated net profit for the third quarter ended December 31, 2013 at Rs 158 crore on the back of robust sales. The company had posted a consolidated net profit of Rs 112 crore in the in the same period last fiscal, Torrent Pharmaceuticals said in a filing to the BSE. Net sales during the quarter under review stood at Rs 990 crore as compared to Rs 768 crore in the year-ago period, it added.
Cadila Health gets USFDA nod for anti-depressant drug Bupropion
Cadila Healthcare Ltd (Zydus Cadila) on Tuesday said it has received final ap- proval from the USFDA for Bupropion Hydrochloride Extended-release Tablets USP (XL) in the strength of 300 mg. The drug falls in the anti-depressant seg- ment, according to a company release here. The estimated sales in 2013, as per IMS, for this product was $255.9 million. The total market for Bupropion was Sectoral Indices
estimated at $526.7 million. The group now has 87 approvals and has so far filed 216 ANDAs since the start of filing process in FY 2003-04.
IVRCL knocks at the door of CDR cell
After making little headway in the proposed sale of road projects, Hyderabad- based infrastructure company IVRCLhas finally approached the Corporate Debt Restructuring (CDR) cell seeking additional time to meet its debt obliga- tions. The company on Tuesday informed the BSE that it had initiated the proc- ess of CDR prescribed under the Reserve Bank of India guidelines. Zensar Technologies Q3
PAT rises to Rs 50.71 cr
Software solutions company Zensar Technologies today posted 4.1 per cent growth in its consolidated net profit at Rs 50.71 crore for the quarter ended De- 31, 2013 aided by growth in infrastructure services and rebound in Europe. The Pune-based firm had reported a net profit of Rs 48.70 crore in the year-ago period. Consolidated revenues rose by 13 per cent to Rs 592.01 crore in October-December quarter this fiscal from Rs 524.78 crore in the same quar- 12-13 fiscal. Commenting on the performance, Zensar technologies Deputy Chairman and Managing Director Ganesh Natarajansaid: "The quarter has been upbeat with new client additions and growth from Continental -0.1 e." The company has a robust pipeline and is confident of a good conver- Ashok Leyland losses continue in third quarter
Commercial vehicle manufacturer Ashok Leyland Ltd continues to see a drop in
Exchange
revenue and losses mount due to the slowdown in the sector. The total industry volume of commercial vehicle business has dropped by about a third year-on- year, said a press release from the company. For the third quarter ended De- pany reported a net loss of Rs 167 crore on a reve- nue of Rs 1,953 crore. During the corresponding period in the previous year, it posted a net profit of Rs 74 crore on an income of Rs 2,406 crore. The com- pany is working to lower costs, reduce debt and divest non-core assets. There Rs (in cr)
has been a significant reduction in operating costs and lowered working capital, including a VRS for about 500 executives. The VRS expense in the quarter was
Unilever price hike may have India impact too
In a move that could further pinch the Indian consumer’s pockets, consumer goods maker Unilever has hinted at a possible hike in prices of its products in the emerging markets soon. Indian analysts expect the price hike to be in the Net Inflows/Outflows
range of 4 to 5 per cent. Paul Polman, CEO of the world’s second largest con- (Rs in cr)
sumer products company, after declaring the company’s annual earnings on Tuesday, said it would raise prices in the emerging markets to offload cost infla- tion. The company’s sales have been slower in the emerging markets due to weakening currencies and poor macroeconomic factors. But despite that, the underlying sales in these markets grew 8.4 per cent due to price increases. B P W E A L T H
Nifty Top 5 Gainers
Economic Highlights
RBI panel wants retail inflation as new policy benchmark
The Urjit Patel committee on monetary policy framework has proposed setting up of a monetary policy committee (MPC) that will be headed by the Reserve Bank of India (RBI) governor and accountable for achieving inflation target set by it. The report of the Patel committee, set up by RBI in September last year, has recommended that retail inflation, measured by the Consumer Price Index (CPI), replace wholesale inflation as the price anchor. The responsibility of the central bank, the panel has suggested, should be to bring the retail inflation rate down at four per cent, with a variation of 200 bps on either side, in three years. Nifty Top 5 Losers Close
In what could be construed as paying more if the government’s market borrow-ing is high, the panel has said that RBI’s open-market operations should be only for liquidity management and not for managing yields a practice widely followed now, though not formally admitted to. The panel has proposed a two-phased transition to the new operating framework. In the first phase, the weighted aver- age call rate will remain the operating target and repo will continue as the single policy rate. It has emphasised the need for a spectrum of term repos of varying maturities, with 14-day as the anchor rate. In the second phase, the 14-day term repo will emerge as the policy rate. (Source: Business Standard) International Highlights
Int. Indices
IMF Raises Global Outlook as Advanced Nations Accelerate
The International Monetary Fund raised its forecast for global growth this year as expansions in the U.S. and U.K. accelerate, and urged advanced economies to maintain monetary accommodation to strengthen the recovery. The global economy will grow 3.7 percent this year, compared with an October estimate of 3.6 percent, the IMF said in revisions to its World Economic Outlook released. omestic product will expand 2.8 percent, compared with 2.6 per- cent; Japan will gain 1.7 percent versus 1.2 percent; and the U.K. will increase 2.4 percent from 1.9 percent, the report showed. In advanced economies, out- ps generally remain large and, given the risks, the monetary policy stance should stay accommodative while fiscal consolidation continues. (Source: U.K. Manufacturers Boost Spending Plans as Orders Rise, CBI Says
U.K. manufacturers’ investment intentions rose in the past quarter as demand for goods increased to the highest in almost three years, according to the Con- federation of British Industry. The CBI’s index of manufacturers’ plans for capital expenditure on buildings in the next year climbed to minus 1 in the three months through January from minus 20. Manufacturers’ forecasts for spending nd machinery rose “sharply,” it said. The report showed that a quar- terly gauge of new orders at factories advanced to 13 from 6, the highest read- ing since April 2011. Bank of England policy maker said last week that business investment will probably accelerate this year as the economy recovers. (Source: Currencies
Major Bulk Deal (NSE)
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Major Bulk Deal (BSE)
Commodities
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B P W E A L T H
EVENTS CALENDAR
Wednesday
Thursday
20-Jan-2014
21-Jan-2014
22-Jan-2014
23-Jan-2014
24-Jan-2014
Results – Asian Paints
Results – Colgate Palmol- Results – Dabur India,
Results – Amara Raja,
Results –
ive, Torrent Pharma, Ko-
HDFC, M&M Fin., L&T
Coromandel Intl., Cairn
tak Mahindra Bank
US– Jobless
claims ,Existing Home
Sales
27-Jan-2014
28-Jan-2014
29-Jan-2014
30-Jan-2014
31-Jan-2014
Results – Tata Elxis
Results – Hawkins, JSW Results –ICICI Bank, Ev- Results –
Results –IDFC,ING Vysya
Steel, Maruti Szuki,
erest Inds, TVS motors
Pidilite.
Fiscal Deficit INR Crore
RBI cash reserve Ratio,
RBI Repurchase Rate,
RBI Reverse Repo Rate
US– New Home Sales
US– Durable Goods Or-
US– FOMC Meeting An-
US– GDP, Jobless claims US– Personal Income
nouncement
and Outlays
3-Feb-2014
4-Feb-2014
5-Feb-2014
6-Feb-2014
7-Feb-2014
Results – Gillette India
Results – Tech Mahindra Results –Glasosmithkl
Results – Ambuja ce-
Results –Godrej Inds
Cons, Ranbaxy Lab, TTK ment
HDFC/Market Manufac-
Healthcare
Local Car Sales
turing P M I
HDFC/Market Services
PMI
US– ISM Mfg Index
US– International Trade, US– Employment Situa-
Jobless Claims
Green: Corporate Event, Red: Economic Events, Dark Blue: US Events/ UK Events
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BP Equities reports are also a vailable on Bloomberg [BPEP <GO>]
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Disclaimer Appendix
Analyst (s) holding in the Stock : Nil
Analyst (s) Certification:
We analysts and the authors of this report, hereby certify that all of the views expressed in this research report accurately reflect our per-sonal views about any and all of the subject issuer (s) or securities. We also certify that no part of our compensation was, is, or will be directly or indirectly related to the specific recommendation (s) or view (s) in this report. Analysts aren't registered as research analysts by FINRA and might not be an associated person of the BP Equities Pvt. Ltd. (Institutional Equities). General Disclaimer
This report has been prepared by the research department of BP WEALTH MANAGEMENT Pvt. Ltd. and BP EQUITIES Pvt. Ltd, is for information purposes only. This report is not construed as an offer to sell or the solicitation of an offer to buy or sell any security in any jurisdiction where such an offer or solicitation would be illegal. BP WEALTH MANAGEMENT Pvt. Ltd. and BP EQUITIES Pvt. Ltd have exercised due diligence in checking the correctness and authen-ticity of the information contained herein, so far as it relates to current and historical information, but do not guarantee its accuracy or com-pleteness. The opinions expressed are our current opinions as of the date appearing in the material and may be subject to change from time to time. Prospective investors are cautioned that any forward looking statement are not predictions and are subject to change without prior notice. Recipients of this material should rely on their own investigations and take their own professional advice. BP Wealth or any of its affiliates or employees shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report. BP Wealth Management Pvt. Ltd. or any of its affiliates or employees do not provide, at any time, any express or implied warranty of any kind, regarding any matter pertaining to this report, including without limitation the implied warranties of merchantability, fitness for a particular purpose, and non-infringement. The recipients of this report should rely on their own investigations. BP Wealth and/or its affiliates and/or employees may have interests/ positions, financial or otherwise in the securities mentioned in this report. Opinions expressed are our current opinions as of the date appearing on this material only. While we endeavor to update on a rea-sonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. This report is not directed to or intended for display, downloading, printing, reproducing or for distribution to or use by any person in any locality, state and country or other jurisdiction where such distribution, publication or use would be contrary to the law or regulation or would subject to BP Wealth or any of its affiliates to any registration or licensing requirement within such jurisdiction. Corporate Office:
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