Result Review 4QFY2013

DLF 

For 4QFY2013, DLF reported disappointing set of numbers which were below consensus estimate, both on revenue and profitability front. On the top-line front, DLF reported revenue of `2,226 a decline of 15.0% yoy in 4QFY2013; which was below consensus estimate of `2,553cr. EBIDTAM came in at 32.6% in 4QFY2013 which was below street estimate of 38.7%. However, owing to losses of subsidiary and poor sales during the quarter, the company reported a loss of `4cr (consensus estimate was a profit of `156cr) against a profit of `213cr in 4QFY2012. Source: AngelBroking

Cadila Healthcare 

Cadila Healthcare posted better than expected results for the quarter, registering a growth of 15.9% to `1,565cr v/s expected `1,344cr on sales front. On the OPM front, the OPM came in at 15.3% V/s expectation of 19.2% , a dip of 175bps. This came inspite of contraction in the OPM’s, on back of `58.3cr tax write-back. This lead the net profit to come in at `262cr, V/s `171cr during the last period. Source: AngelBroking

Madras Cements 

Madras Cements posted a weak financial performance for 4QFY2013. Top-line rose by 5.5% yoy to `927cr. OPM stood at 15.2%, down 732bp yoy, impacted by decline in realizations and increase in freight costs, employee costs and other expenses. Bottom-line fell by 35% yoy to `64cr. Source: AngelBroking

Aurobindo Pharma

Aurobindo Pharmaceuticals posted numbers, above expectation on the sales front, while net profit came in mostly in line with expectations. On the sales front, the company posted sales of `155cr, a growth of 32.5% yoy. The margins came in at 14.3% V/s10.2% in the corresponding period of last year, which lead the company to post a reported net profit of `108.6cr V/s a net profit of `108.0cr, respectively.  Source: AngelBroking

Page Industries 

For 4QFY2013, Page Industries healthy set of numbers which were in-line with our estimates. The company's top line grew by 35.5% yoy to `209cr, marginally above our estimate of `201cr for the quarter. The EBITDA margin for the quarter expanded by 190bp yoy and came in at 17.6%, mainly because of lower other expense as a percent of net sales, in-line with our estimate of 17.7%. Consequently, the company reported a profit of `24cr, 38.5% higher yoy from `17cr in 3QFY2012, in-line with our estimate. For FY2013, the company’s revenue grew by 26.3% to `863cr with an EBITDA margin of 19.0%. The profit for the year grew by 24.8% to `113cr, in-line with our estimate. The company paid a total dividend of `50 per share for FY2013. Given the huge market size, Page’s predominant position, strong brand recall and capacity expansion plans for next four years to cater to the increasing demand; we remain positive on the company’s growth outlook. At the CMP of `4,265, the stock is trading at a PE of 27.5x FY2015E earning. Source: AngelBroking

Result Review 4QFY2013

Mahindra & Mahindra

Utility vehicle maker Mahindra & Mahindra reported a better-than-expected fourth quarter net profit of Rs 889 crore, up near 2 percent year-on-year, helped by sales growth, which was also ahead of street expectations and exceptional gain from sale of Mahindra Holidays and Resorts shares. The company's net sales in the quarter rose 12 percent from a year ago to Rs 10,353 crore in Jan-March. Analysts on average had expected M&M to report a net profit of Rs 723 crore on revenue of Rs 9,990 crore, according to a CNBC-TV18 poll. Its operating margin cane in at 12.1 percent in Jan-March. The company sold 34 lakh shares of Mahindra Holidays in the quarter, which resulted in an exceptional gain of Rs 91 crore. Its finance costs also declined to Rs 51 crore from Rs 71 crore a year ago. M&M shares surged post the earnings announcement and at 14:50hrs, the stock was up 3.7 percent at Rs 997 on NSE.Source: Moneycontrol

Ipca Laboratories

Drug firm Ipca Laboratories today reported a net profit of Rs 75.43 crore for the fourth quarter ended March 31, 2013, on back of robust sales. It had posted a net profit of Rs 76.61 crore for the corresponding quarter of the previous fiscal, the company said in a statement. "Since the entire effect for amalgamation of Tonira Pharma Ltd with the company was given in the last quarter of the financial year ended March 31 2012, the financial results of quarter ended March 31, 2013 and quarter ended March 31, 2012 are not comparable," Ipca Laboratories said. Total income from operations of the company, however, rose to Rs 671.71 crore for the quarter under consideration from Rs 561.83 crore for the same period year ago. In a separate filing on the BSE, the company said its board of directors has recommended a final dividend of Rs 2 per share for the financial year ended March 31, 2013. Net profit of the company for the financial year ended March 31, 2013 rose to Rs 331.39 crore from Rs 280.17 crore for the previous fiscal. The company's total income from operations stood at Rs 2,778.42 crore for the fiscal year ended March 31, 2013 against Rs 2,330.06 crore in the previous fiscal. The company has a strong thrust on exports. Exports now account for 61 per cent of the income, Ipca Laboratories said. Shares of Ipca Laboratories were trading at Rs 609.55 per scrip in late afternoon, up 3.11 per cent from its previous close on the BSE.Source: Moneycontrol

Lanco Infratech

Diversified group Lanco Infratech  today posted a loss of Rs 31.6 crore in the three months ended March 31, 2013. Lanco had a profit of Rs 72.7 crore in the year-ago period. The company is into power generation and road projects, among others. The reported revenue stood at Rs 3,569.6 crore in the fourth quarter of the last fiscal. The same stood at Rs 3,376.2 crore in the same period a year ago. During the fourth quarter, it incurred a forex loss of Rs 16.7 crore, according to a company statement. For the full year ended March 2013, Lanco recorded a loss of Rs 1,073.3 crore. In the comparable period, the loss was lower at Rs 112 crore. The group's net debt touched Rs 33,593.5 crore at the end of March 2013.Source: Moneycontrol

SAIL

State run Steel Authority of India’s ( SAIL  ’s )  March quarter profit declined 72 percent year-on-year to Rs 477 crore on higher employee cost which went up 36 percent to Rs 2473 crore. Even interest cost almost doulbed to Rs 215 crore from Rs 212 crore YoY. Total Income also de-grew 11 percent YoY to Rs 12330 crore. Other factors that contributed to lower profit include power and fuel cost which climbed 4 percent to Rs 1218 crore. Forex gain was also down 98 percent to Rs 16 crore along with an 7.6 percent rise in other expense. Net sales realisation also declined to Rs 34489/tonne as against 38717/tonne YoY. The company also witnessed flattish growth in saleable steel volume at 11. 1 million tonnes. Earnings before interest, tax, depreciation and amortization (EBITDA) also declined to Rs 924 from Rs 1576 crore YoY. Post earnings announcement, SAIL shares declined marginally to Rs 59.85 despite a dent in earnings.Source: Moneycontrol

GMDC

Gujarat Mineral Development Corporation ( GMDC ) today reported 5.90 per cent decline in net profit at Rs 149.27 crore for the quarter ended March 31, 2013. The company had posted a net profit of Rs 158.64 crore in the corresponding quarter a year ago. The total income of the state-government PSU dipped by 15 per cent in the quarter ended March 31, 2013 at Rs 476.52 crore against Rs 560.61 crore in the corresponding quarter of the previous year.Source: Moneycontrol

MCX

Multi-Commodity Exchange of India Ltd ( MCX ) today said its net profit increased by 16 per cent to Rs 76.62 crore in the fourth quarter ended March 31 from Rs 65.95 crore in the same period of last fiscal. Total income increased by nine per cent to Rs 169.04 crore from Rs 155.18 crore in the quarter ended March 31, 2012, a company statement said here. The leading commodity bourse's EBITDA (earnings before interest, taxes, depreciation and amortisation) rose by seven per cent to Rs 112.03 crore from Rs 105 crore a year ago. In FY13, MCX's total income went up by two per cent to Rs 644.69 crore from Rs 631.03 crore in FY 12, it said. Net profit increased by four per cent to Rs 298.64 crore from Rs 286.19 crore last fiscal. For the year ended March 31, 2013, EBITDA margin was 68 percent and PAT margin 46 per cent. The Board of Directors recommended a final dividend of 120 per cent on the face value of Rs 10 per share for the year ended March 31, 2013. The total dividend for FY13 (subject to the final dividend being approved by shareholders) is 240 per cent - Rs 24 per share on the face value of Rs 10 each. The exchange said its average daily turnover traded for FY13 stood at Rs 48,790 crore as against Rs. 50,313 crore in the previous fiscal. The total number of commodity futures contracts traded on the exchange for FY 13 stood at 375.05 million as against 389.85 million in FY12. "The global commodity markets witnessed a sharp dip in volumes due to low volatility in commodity prices resulting in low demand for risk management instruments. Despite an adverse business environment, MCX has maintained its profitability," MCX Managing Director and CEO Shreekant Javalgekar said. MCX's market share rose to 87.3 per cent from 86 per cent in the previous year and we retained the third position globally, he said. For CY2012, MCX was the world's largest exchange in gold and silver futures, second in copper and natural gas and third largest in crude oil futures, Javalgekar said. Source: Moneycontrol

Result Review 4QFY2013

ONGC 

ONGC reported lower than expected 4QFY2013 profitability performance due to higher operating costs. The company’s top line increased by 13.6% yoy to `21,388cr (above our expectation of `19,938cr). The company’s crude oil production volumes declined 1.8% yoy to 6.47mn tonnes while gas volumes stood at 6.2bcm. The company shared a subsidy burden of `12,310cr in 4QFY2013. The company's EBITDA decreased by 7.3% yoy to `10,731cr. Depreciation expenses grew by 76.9% yoy to `2,387cr which resulted in net profit declining by 39.9% yoy to `3,389cr (below our expectation of `4,172cr). The company has notified two new gas discoveries in KG basin deepwater field. The company estimates a potential gas reserve base of 4.85TCF from these fields. Source: AngelBroking

Tata Motors 

For 4QFY2013, Tata Motors (TTMT) consolidated performance better than our as well as street expectations on all broader fronts, as strong operating performance from JLR offset soft performance at standalone biz and other subsidiaries. The standalone operations posted loss of `312cr, against our expectations of a net loss of ~`490cr, primarily on account of higher discounts and higher operating costs for transport operators impacting demand for MHCV industry. The consolidated top-line registered a strong sequential growth of 21.5% qoq to `56,002cr, which was above our estimate of `50,605cr on account of strong performance from JLR. The JLR top-line grew by ~22% yoy to GBP 5,053mn, led by ramp-up in volumes of the new Range Rover On a sequential basis, consolidated EBITDA margins grew by ~160bp qoq to at 14.9% (~+80bp yoy) vs. our expectations of 12.5%, driven by the robust performance of JLR, which was underlined by the favorable impact of the new Range Rover. JLR margins came in at 16.9% (+230bp yoy, +290bp qoq) benefitting from better geographic/product mix and favorable currency. Depreciation expense in JLR at GBP 213mn (+73% yoy) continues to maintain upward trajectory as new products/platforms got amortized. Adjusted net profit at GBP 466mn was marginally ahead of estimates. Standalone margins stood at 3.6% (-600bp yoy, +140 bps qoq). On consolidated level, adjusted net profit came in at `3,931, beating our estimate of `2,298cr, aided by ~19% qoq lower tax, driven by a tax credit for past income tax losses of GBP 225mn in a UK subsidiary. As of 4QFY2013, on a consolidated level, TTMT has a healthy net auto debt/equity of ~0.24x. While the 4QFY2013 results are on expected lines, management’s commentary did not indicate any major signs of a revival in domestic business soon. In trucks, TTMT has contained inventory and discounts at the cost of market share. Company remains cautiously optimistic on JLR, with the key positive being the JLR model cycle; the company stated that margins on new Range Rover and Range Rover Sport are good.Source: AngelBroking

Cipla 

Cipla posted below expected numbers during the quarter. Cipla posted a growth in net sales by 5.1% to `1,906cr V/s expected `2,057cr. The low growth during the quarter on sales front, was on account of the low growth in domestic formulation, which grew by 5.2% yoy, while exports grew by 4.0%, on account of the 24% dip in the API exports. On the operating front, the OPM (excluding technical know-how fees) came in at 18.3%, down by 80bp over the corresponding period of last year. This along with the 684% rise in the interest expenses aided the net profit to dip by 8.3% yoy to `268cr. Source: AngelBroking

Tata Motors Result Preview

India's largest commercial vehicle maker Tata Motors  will report its fourth quarter results later on Wednesday, amid what has been a continued slump in the domestic business, and no signs yet of any pick up in demand for trucks as well as passenger cars. Its consolidated operating margins, meanwhile, are expected to see a pickup, driven by strong demand for the new Range Rover and good response to Jaguar's XF and XJ models in the global markets. Overall, analysts expect Tata Motors consolidated net profit to decline 52 percent year-on-year to Rs 2,990 crore. Its British luxury Jaguar Land Rover unit had a large one-off tax writeback of GBP 166 million, in the year ago quarter. Revenue is likely to increase 4 percent to Rs 53,000 crore, according to a CNBC-TV18 poll. Consolidated EBITDA (earnings before interest, taxes, depreciation and amortization) is seen up 8 percent to Rs 7,245 crore, while operating profit margin will expand to 13.6 percent from 13.3 percent. JLR is likely to report a net profit of GBP 399 million, with revenue rising 17 percent to GBP 4.87 billion. EBITDA is seen up 21 percent to GBP 735 million, while operating profit margin will expand 60 bps to 15.2 percent, helped by an increase in average selling price. However, some analysts feel JLR could also surprise negatively if there is a higher of lower margin products like the Evoque, Freelander and higher fixed costs for new Jaguar launches and new Range Rover assembly line at Solihull.

STANDALONE EARNINGS

Despite strong sales growth at JLR, its the standalone business, that has been a worry for several quarters now and things are unlikely to have improved in the fourth quarter, sales for both CVs and PVs remain sluggish. On an average, analysts expect Tata Motors' primarily domestic operations to report a loss of Rs 514 crore, versus a profit of Rs 565 crore, a year ago. Revenue likely tumbled 35 percent to Rs 10,640 crore. CV sales, especially medium and heavy trucks, declined 43 percent year-on-year, despite record high discounts and inventory levels are still at 6-7 weeks. Passenger car sales are down 67 percent year-on-year.

STOCK WATCH

Ahead of results, Tata Motors shares were up 1.1 percent at 163.60 on NSE in morning trade. The stock is down near 7 percent since Dec-end, underperforming the wider Nifty, which is up 3.5 percent over the same period. Outlook on domestic demand, especially, CVs, JLR demand trends and FY14 sale outlook, especially in China and the US markets, new Range Rover order book, update on Range Rover Sport and other launches, will be key factors to watch, said HDFC Securities. Many brokerages are still bullish on Tata Motors; Credit Suisse expect it to "outperform" and Goldman Sachs advises a "buy." "We believe JLR's performance will continue to drive Tata Motors' stock, as it contributes 75 percent of company's revenue and 90 percent of its profit," Brics Securities, said, putting a "add" rating to the stock.

Result Review 4QFY2013

Godrej Industries

Godrej Industries today reported consolidated net profit of Rs 93.67 crore for the fourth quarter ended on March 31. It had posted a net profit of Rs 42.72 crore in the same period in 2011-12 fiscal, the company said in a BSE filing. The total income of the company during the quarter stood at Rs 1,457.54 crore. It was Rs 1,430.95 crore in same period in 2011-12 fiscal. The company's expenses during the quarter under review declined Rs 1,368.47 crore of 2012-13 fiscal from Rs 1,405.08 crore in year-ago period. For 2012-13, net profit stood at Rs 391.18 crore. It was Rs 291.61 crore in the  previous financial year. Total income of the company in the last fiscal was at Rs 6,964.32 crore in 2012-13 while it was Rs 5,612.09 crore in 2011-12 fiscal. The results were not comparable with the previous fiscal due to changes in its shareholding in some of the  subsidiaries and joint ventures, the company said. "The company has sold part of it's holding in its subsidiary viz Godrej Agrovet Limited, entire holding in M'Modal Inc and its joint venture company viz Godrej Hershey Limited," the filing added. Commenting on the results, Godrej Industries Chairman AB Godrej said: "Our agri businesses recorded encouraging growth in a challenging enviorment and despite a highly irregular monsoon." He added that Godrej Properties witnessed a year of strong growth and continued momentum with revnues. "For our chemical business, it has been a tough year on account of volatility in the global macro economic environment and raw material price fluctuations," Godrej said. The company's board has recommended a dividend of Rs 1.75 per share of face value of Re 1 per share. Shares of the company today fell by 1.40 per cent to settle at Rs 296.80 apiece on the BSE. Source: Moneycontrol

Power Grid

Power Grid Corporation on Tuesday posted consolidated net profit of nearly 31 per cent to Rs 4,312.61 crore for the  2012-13 fiscal. The transmission utility had consolidated net profit of Rs 3,302.99 crore in 2011-12, it said in a regulatory filing. In 2012-13, the company's total income increased to Rs 13,727.12 crore, from Rs 11,073.58 crore in the previous fiscal. On a standalone basis, Power Grid reported net profit of Rs 4,234.50 crore in the last financial year. This is 30 percent higher than Rs 3,254.95 crore in 2011-12. Total income rose to Rs 13,328.74 crore in 2012-13, from Rs 10,785.01 crore in 2011-12. Power Grid will pay a final dividend of Rs 1.14 per share, which would be in addition to the interim dividend of Rs 1.61 per scrip paid in March this year. The company scrip rose marginally to close at Rs 112.50 on the BSE.  Source: Moneycontrol

Trent 

Tata group's retail venture Trent Ltd today reported a marginal decline in standalone net profit for the fourth quarter ended March 31, 2013 at Rs 19.5 crore. The company had posted a standalone net profit of Rs 19.52 crore in the same period of 2011-12 fiscal, Trent Ltd said in a filing to the BSE. Total income from operations during the quarter under review stood at Rs 229.59 crore as against Rs 198.93 crore in the year-ago period, the company added. Total expense during the fourth quarter of 2012-13 stood at Rs 224.72 crore, up from Rs 217.51 crore in the same quarter in the previous fiscal. The board of directors of the company has recommended dividend of Rs 7 per equity share, aggregating Rs 27.22 crore for the year ended March 31, 2013, it said. For the full year 2012-13, consolidated net loss was at Rs 26.83 crore, an improvement from net loss of Rs 37.76 crore in the previous fiscal. Net income from operations during FY13 stood at Rs 2,132.02 crore, up from Rs 1,844.86 crore in FY12, the filing added. Consolidated revenue from retailing for the full year 2012013 was at Rs 2,115.12 crore, up from 1,811.27 crore in the previous fiscal, it said. Shares of Trent Ltd were trading at Rs 1,065 per share in the afternoon trade, down 1.50 percent from the previous close on the BSE. Source: Moneycontrol

HDIL

Mumbai-based real estate developer Housing Development and Infrastructure ( HDIL ) disappointed the street with its fourth quarter net loss at Rs 280 crore as against profit of Rs 315 crore reported in a year ago period, impacted by consolidated exceptional loss of Rs 442 crore during the quarter. Revenue dropped more than 77 percent to Rs 143 crore during January-March quarter from Rs 625 crore in corresponding quarter of last fiscal. The real estate developer said Mumbai International Airport (MIAL) served termination notice for slum rehabilitation project. "We have initiated legal remedies against MIAL's termination notice and have written off unrealised cost of Rs 442 crore on MIAL project," vice chairman & MD, Sarang Wadhawan said. He said, however, no current project would be affected by MIAL termination. "We will monetise balance TDR of 1 m sq ft of airport project," he added. "We expect to book revenue from 3 projects in first quarter of FY14." He said standalone debt has reduced from Rs 3,740 crore to Rs 3,143 crore while consolidated debt fell by Rs 100 crore to Rs 4,018 crore. "Debt reduction continues to be primary focus of the company," he added. Shares fell 10 percent to Rs 46.15 on Bombay Stock Exchange. Source: Moneycontrol

Essar Shipping 

Essar Shipping 's consolidated net profit plunged 99.91 per cent to Rs 5 lakh during the fourth quarter ended March 31, hit hard by dismal performances of its shipping and logistics businesses as well as rising costs. The Essar group company had reported a net profit of Rs 54.98 crore in the January-March quarter of 2011-12. Its total income from operations was down 11.78 per cent at Rs 729.08 crore during the quarter due to decline in revenues from two major business segments -- fleet operations and logistics services, it said in a filing to the BSE today. In Q4 of FY'12, it was Rs 826.41 crore. While Essar's gross revenues from fleet operations or shipping business was down nearly 4 per cent to Rs 370.28 crore in Q4, logistics business reported decline of over 25 per cent at Rs 222.94 crore. The oilfield services business posted a meagre growth of 1 per cent at Rs 151.82 crore during the quarter. Moreover, the company's operating costs increased in Q4 as its total expenditure, at Rs 678.55 crore, amounted to 92.55 per cent of its total income. In the Q4 of FY'12, its expenditure was nearly 84 per cent of its total income. "The shipping business has faced challenges due to the depressed markets and freight levels globally. The robust performance of the oilfields services business has enabled the  company to maintain its consolidated profitability in line with the previous year," Essar said in a separate statement. For the full 2012-13 fiscal, the company's consolidated net profit declined marginally by 2.80 per cent at Rs 35.80 crore vis-a-vis Rs 36.83 crore of FY'12. Its total income in the last fiscal rose by 14.55 per cent at Rs 3,209.19 crore. "The  company is now fully focused on  managing operating costs effectively. Together with specific measures for interest cost reduction being pursued, these  measures will strengthen the performance of the company in the coming months and help increase profitability," Essar's  Director and CEO (Sea Transportation Business) Captain Anoop Sharma said. He added that during the year, Essar has taken delivery of its all six mini cape dry bulk carriers built at STX Shipyard. Meanwhile, in a separate announcement, the company said that Anshuman Ruia, its promoter and non-executive director has stepped down from its Board with immediate effect, though it did not specified the reasons for Ruia's resignation. Essar Shipping scrip rose by 7.16 per cent to close at Rs 22.45 on the BSE. Source: Moneycontrol

Result Review 4QFY2013

GAIL

State-run GAIL India  's March quarter profit more than halved to Rs 618 crore quarter-on-quarter on higher employee cost and depreciation cost. While employee cost went up around 28 percent to Rs 237 crore, depreciation cost also expanded 12 percent QoQ.to Rs 272.56. Sales also declined marginally to Rs 12408 crore. The company's subsidy share to oil companies also declined to Rs 587 crore from 1397 crore YoY. The firm along with other upstream firms have to partly compensate oil retaillers for selling petroleum products at subsidised rates. Source: MoneyControl

PVR

Multiplex chain PVR turned profitable in the fourth quarter. Its reported a consolidated net profit of Rs 11.7 crore against loss of Rs 13.2 crore in same quarter of previous financial year. Its consolidated net sales grew by 103 percent to Rs 242 crore during January-March quarter from Rs 119.4 crore in a year ago period. The company reported a tax writeback of Rs 29.4 crore during the fourth quarter. Revenues from its movie exhibition business doubled to Rs 214.72 crore from Rs 106.27 crore while movie production and distribution business' sales rose to Rs 17.93 crore from Rs 7.31 crore year-on-year. Revenues from bowling and gaming centre jumped to Rs 13.81 crore during March quarter from Rs 6.75 crore in a year ago period. The stock rallied 4.36 percent to close at Rs 342.05 amid hefty volumes on Bombay Stock Exchange.Source: MoneyControl

TATA GLOBAL

Tata Global Beverages today reported 76.64 percent increase in its consolidated net profit for the fourth quarter ended March 31, 2013 at Rs 95.76 crore on the back of robust performance in both tea and coffee segments. The company had posted a net profit of Rs 54.21 crore in the same period during the previous fiscal, Tata Global Beverages said in a filing to the BSE. Total income from operations stood at Rs 1,849.5 crore as compared to Rs 1,738.62 crore in the year-ago period, it added. The tea segment posted a revenue of Rs 1,366.56 crore, up from Rs 1,278.19 crore in the same quarter of previous fiscal. Coffee and other produce had sales of Rs 459.52 crore in the period under review as compared to Rs 434.38 crore in the fourth quarter previous fiscal, it said. "Both the tea and coffee segments have done well for us during the quarter and also the full year. In the tea segment, India has done exceedingly well while we also had good performance in markets like US and Australia," Tata Global Beverages CFO L Krishnakumar told PTI. Besides, cost efficiency measure undertaken by the company had also helped in better bottomline, he added. For the fiscal 2012-13, the company's consolidated net profit stood at Rs 372.75 crore as against Rs 356.14 crore in the previous fiscal. Net income from operations during FY13 stood at Rs 7,350.98 crore as against Rs 6,640.04 crore in the previous fiscal, the company said. Krishnakumar said in the coffee segment, Tata Global Beverages' joint venture with Starbucks Coffee Co is on track to open the stated 50 outlets of the US coffee chain in India within the first year. Tata Starbucks now has 13 stores in India across Mumbai and Delhi. He, however, declined to share revenues from the JV citing confidentiality clause. The company said its Board of Directors have recommended a dividend of Rs 2.15 per equity share of Re 1 each, fully paid, for the financial year 2012-13. Shares of Tata Global Beverages were trading at Rs 147.20 per scrip, during the afternoon trade, up 2.54 percent from the previous close on the BSE.Source: MoneyControl

HAVELLS INDIA

Havells India  ' fourth quarter profit jumped by 20 percent to Rs 109.8 crore from Rs 91.52 crore a year ago. Total income also surged by 11.7 percent from 1048.8 crore to Rs 1172.9 crore. The toplie growth was weak but the company did fare well on the operation front. Interest cost has also come off sharply to Rs 2.7 crore from Rs 20 crore, a year ago. The earnings before interest, tax, depreciation and amortization was up 16.4 percent at Rs 146 crore against Rs 125 crore in the previous quarter last fiscal. The company’s core operating profit margins have also improved by 50 basis points to 12.5 percent.

Segmentwise break-up

Switchgears form 25 percent of the company's revenues. Margins were under pressure in this segment. Revenues were up 31.2 percent at Rs 312 crore compared to Rs 238 crore. Earnings before interest, tax (EBIT) margins were down by 330 basis points to 31.3 percent. Cables and Wires comprises 40 percent of the total revenues. Sales in this segment were down 3.1 percent at Rs 462 crore. EBIT margins were also down 290 bps at 6.0 percent against 8.9 percent.Source: MoneyControl

Result Review 4QFY2013

Coal India

Coal India (CIL) results came in above our estimate on account of higher than expected sales volumes. Net sales grew by 2.5% yoy to `19,905cr (above our estimate of `18,918cr). Sales volumes stood at 130mn tonnes indicating company’s focus on increasing off-take. EBITDA increased by 51.0% yoy to `6,600cr due to lower employee costs. Hence the adjusted net profit stood at `5,425cr (+34.5% yoy) above our estimate of `4,376cr. Source: AngelBroking

Nalco

Nalco reported better than expected performance both on top line and PAT front. Net sales grew by 4.6% yoy to `1,835cr (above our estimate of `1,656cr). Its aluminium segment reported a positive EBIT of `59cr, compared to an EBIT loss of `16cr in 4QFY2012 which led to improvement in the performance. Nalco reported an EBITDA growth of 37.6% yoy to `421cr due to lower power costs. Other income, however, declined by 33.6% yoy to `159cr and depreciation expenses also increased by 10.6% yoy to `136cr. Consequently, the company reported a net profit decline of 12.7% yoy to `246cr (significantly above our estimate of `201cr). Source: AngelBroking

Bhushan Steel 

Bhushan Steel reported its 4QFY2013 results. Net sales was flat yoy at`2,819cr. However, EBITDA decreased by 2.5% yoy to `921cr on account of increase in employee costs and other expenses. Depreciation expense increased 27.2% yoy to `210cr on account of increased capacity and consequently, net profit decreased by 15.0% yoy to `280cr. Source: AngelBroking

Bajaj Electricals Ltd 

Bajaj Electricals Ltd. (BEL) reported poor set of numbers for 4QFY2013. Top-line reported flat growth of 5.1% yoy to `1,114cr. The consumer durables (CD) and Lighting and luminous (LnL) segment registered growth of 22.4% and 14.9% yoy respectively while E&P segment dip by 22.5%. EBITDA stood at `15cr which was lower by 84.7% yoy while margins at 1.2% lower by 694bp owing to higher raw material cost. At EBIT levels, both CD and LnL segment reported margin of 8.0% and 7.9% respectively vis-à-vis 10.6% and 11.3% in the same quarter previous year. Lower EBIT margin is attributable to the inventory correction on account of new inventory policies of the company. E&P segment, however, reported EBIT loss of `51cr, 17.8% of the segment revenue, mainly due to unexpected hits from the closure of the older delayed sites. On annual front, top-line grew by 9.3% to `3,388cr contributed mainly by CD segment (54.2%), followed by LnL (25.4%) and E&P (20.3%). EBITDA came in at `110cr, lower by 53.4%, while margins at 3.3% lower by 440bp owing to 517bp higher raw material cost. On the back of sluggish top-line growth and poor operating performance, net profit dip by 56.9% to `51cr. Amidst poor performance for the quarter, BEL is set to start the FY2014 with a clean slate after the stock correction and significant hit from the cost over-run of E&P’s delayed projects closure. In addition, BEL has initiated its entry into premium segment of CD market with new launches slated to hit the market. On the back of recent developments, we expect the top-line and bottom line to grow at CAGR of 14.9% and 96.7% (due to low base) respectively over FY2013-15E. Source: AngelBroking

TTK Healthcare 

TTKH reported a disappointing set of numbers for 4QFY2013. Topline came in at `86cr, 2.2% decline on a yoy basis from `88cr in 4QFY2012 and 11.7% lower from our estimate of `97cr. The EBITDA margin for the quarter contracted by 224bp yoy to 3.7% primarily due to increase in other expenses as compared to 4QFY2012. The margin contraction was attributable to loss of `3cr in the consumer products division. Consequently, net profit declined by 39% to `2cr on 4QFY2012. For FY2013, revenue growth stood at modest 8.1% yoy to `382cr from 354cr in FY2012. While EBITDA margin contracted by 145bp to 5.3% on account of increase in overall expenses. This led to a 9.5% yoy decline in net profit to `14cr in FY2013. Going forward we expect the EBITDA margin to expand on account of increasing contribution from high margin business like food business, thus resulting in better profit. At the current market price, the stock is trading at EV/sales of 0.7x for FY2015E, which we feel is attractive. Source: AngelBroking

Sarda Energy and Minerals 

Sarda Energy and Minerals (SEML) reported healthy 4QFY2013 numbers. The net sales grew by 5.8% yoy to `315cr mainly driven by healthy performance from steel business. The EBITDA however declined by 3.9% yoy to `71cr due to higher staff costs and other expenses. The interest costs decreased by 77.4% yoy to `8cr and the other income declined by 95.5% yoy to `2cr. The company got a tax benefit of `1cr compared to a tax expense of `24cr in 4QFY2012 and as a result the net profit of the company increased by 34.0% yoy to `50cr. Source: AngelBroking

Siyaram Silk Mills

For 4QFY2013, Siyaram Silk Mills (SSM) reported numbers mixed set of numbers. The company's top line grew by 8.3% yoy to `290cr, in-line with our estimate of `296cr for the quarter. However, the company disappointed on the operating margin front as it came in at 91bp lower to 10.3% for the quarter against our estimate of 13.0% mainly due to higher than expected raw material cost as a per cent of net sales. On yoy basis, the operating margin dipped by 177bp yoy mainly because of higher other expense. Interest outgo for the quarter was `5cr, against our estimate of `10cr and depreciation cost for the quarter stood at `6cr, against our estimate of `11cr. Consequently, the company reported a bottomline of `13cr, 23.8% lower yoy, in line with our expectation. On annual basis, the company’s top line grew by 13.7% to `1,041cr against our 

estimate of 1,048cr. Due to higher than expected raw material cost, the company’s operating margin stood at 10.6%, 69bp lower than our estimate of 11.3%. The interest cost as a per cent of loan decreased from 11.2% to 10.4% leading to an interest outgo of `29cr. Also, depreciation cost for the year stood at `22cr, against our estimate of `27cr. The company’s profit for the year dipped marginally by 3.0% as compared to FY2012 and came at `55cr, in line with our expectation. During the year the company installed 129 looms and 101 garment machines and further plans to add 50 looms and 100 garment machines in FY2014E. Also, the company has signed 27 franchise agreements in the first two months of FY2014 out of targeted 90 for the full year for strengthening and improving brand visibility. At CMP of `262, the stock is trading at a PE of 3.2x FY2015E earnings. Source: AngelBroking

Result Review 4QFY2013

Britannia Industries 

For 4QFY2013 Britannia Industries posted a 13.5% yoy growth in net sales to `1,486cr, which was in-line with estimates. The top-line growth was both on account of higher volumes and better realizations. OPM rose by 260bp yoy to 7.8%. Bottom-line rose by 65.5% yoy to `87cr. Source: AngelBroking

Crompton Greaves 

For 4QFY2013, Crompton Greaves reported 10% yoy growth in its top-line to `3,387cr. However, on the EBITDA front, the company's margin stood at 2.3%, much below our estimates, mainly on account of 630bp yoy contraction in power segment margins (due to low productivity, delay penalty and quality issues in its overseas power transformer business). Consumer segment margins also fell by 240bp yoy due to higher marketing and promotional expenses. Consequently, PAT fell by 75% yoy to `25cr. However, considering cheap valuations, we maintain Buy on the stock with a long term view, as we expect gradual recovery in margins over next couple of years.Source: AngelBroking

Bharat Forge

Bharat Forge (BHFC) reported poor performance for 4QFY2013 led by severe weakness in the domestic as well as export markets which resulted in a 35.2% yoy (1% qoq) decline in volumes. Consequently, the standalone revenue posted a significant decline of 31% yoy (flat qoq) to `675cr which was lower than ourexpectations of `734cr. The domestic and export revenues registered a decline of 29.9% and 32% yoy respectively on account of a sharp decline in commercial vehicle (CV) sales in India and export markets. Further, slowdown in capital spending in the power, mining and oil and gas sectors also impacted the non auto business. As a result, revenues declined across all the geographies, with India, America and Europe revenues witnessing a decline of 30.1%, 31.6% and 23.4% yoy respectively. On the operating front, margins contracted 310bp yoy to 22.6%, broadly in-line with our estimates of 22.9%, primarily due to lower utilization levels (~50% in domestic operations). Hence operating profit and net profit registered a sharp decline of 39.2% and 60.1% yoy respectively. On a sequential basis, EBITDA margins improved 200bp on account of productivity improvements and tight control over costs, leading to a 9.9% and 5.5% growth in operating profit and net profit respectively. At `226, the stock is trading at 13.1x FY2015 earnings. Source: AngelBroking

MOIL Ltd 

MOIL’s 4QFY2013 top-line was higher than expectation whereas the bottom-line was broadly in line with our expectations. Net sales increased by 32.2% yoy to `267cr (above our estimate of `222cr) due to higher sales volumes and realizations. EBITDA also increased by 26.7% yoy to `109cr but EBITDA margin declined 167bps yoy to 40.8%. Other income declined by 4.7% yoy to `60cr. Net profit increased by 11.1% yoy to `110cr which was in-line with our estimate of `113cr.Source: AngelBroking

Force Motors

Force Motors (FML) reported disappointing set of numbers for its 4QFY2013. Topline for the quarter dips by 13.8% yoy to `527cr, vis-à-vis our estimate of `582cr. The company reported EBITDA loss of `13cr against profit of `27cr for the same quarter previous year. EBITDA loss was mainly due to increased employee and other expenditure which rose by 646bp and 230bp yoy respectively. On the back of negative top-line growth and poor operating performance, net profit registered a loss of `23cr as compared to profit of `17cr in 4QFY2012.On annual basis, top-line growth dips marginally by 5.4% to `1,973cr. EBITDA however fell by 55% to `54cr with margins at 2.8%, lower by 307bp. Net profit too came in lower by 58% to `15cr.Source: AngelBroking

Result Review 4QFY2013

JSW Ispat 

JSW Ispat, which is expected to be merged with JSW Steel during CY2013, reported its 4QFY2013 results. Its net sales declined by 3.6% yoy to `2,621cr. The EBITDA also decreased by 2.5% yoy to `190cr mainly due to lower steel prices and higher power costs. However, the company's interest cost declined by 13.4% yoy to `232cr and therefore this coupled with deferred tax credit benefits helped the company to post a positive PAT of `94cr in 4QFY2013 compared to a loss of `141cr in 4QFY2012. Source: AngelBroking

Tech Mahindra 

Tech Mahindra reported better than expected revenue growth but disappointed slightly on the operational margin front. The dollar revenues came in at US$353.2mn, up 7.2% qoq, aided by acquisition of HGS and Comviva. USD revenues from non-BT accounts grew by ~13.3% qoq to US$265mn. Revenue from BT declined by 7.6% qoq and BT now contributes 25% to revenues 37% in 4QFY2012. In INR terms, the revenue came in at `1,907cr, up 6.5% qoq. The two acquisitions which the company did – HGS and Comviva – has got lower margin profile than company average, due to which EBITDA margin of the company declined by ~105bp qoq to 19.9%. The company’s utilization level went up by ~100bp qoq to 77%, majorly because of reduction in its employee base by 1,560 employees. Management indicated that US is on a path of recovery in terms of IT send from telecom clients while Europe still remains patchy. Deal pipeline of the company from emerging markets remains strong. The consolidated reported PAT came in at `377cr while adjusted PAT (adjusting for exceptional item in Mahindra Satyam) came in at `320cr, down 20% qoq. The overall results were healthy on the back of acquitsions and new deals. The Management indicated that the proposed Tech Mahindra - Satyam merger had been approved by the Bombay High Court, while it awaits the Andhra Pradesh High Court approval. Management indicated that hearings at Andhra Pradesh High Court are complete and the judgment has been reserved and expects that the judgment will become available in the first two weeks of June.Source: AngelBroking

Result Review 4QFY2013

Coal India 

Coal India reported its standalone 4QFY2013 results. Its net sales declined by 21.3% yoy to `122cr. The company reported an EBITDA loss of `2cr due to higher costs. Its other income grew by 71.0% yoy to `2,680cr. As a result the PAT grew by 89.6% yoy to `2,320cr. Source: AngelBroking

India Cements 

India Cements posted weak set of numbers for 4QFY2013. Net sales rose by 8.1% yoy to `1,199cr. Sale volumes rose by 6.7% yoy to 2.8mn tonnes. Net Plant Realization fell by 6.2% yoy to `3,250/tonne. OPM fell by 412bp yoy on account of lower realization and increase in input costs. Overall Input costs rose on account of higher freight coast and other expenses. Bottom-line fell by 61% yoy to `26cr. Source: AngelBroking

Result Review 4QFY2013

ITC 

For 4QFY2013 ITC posted strong set of numbers. Net sales rose by 19.2% on a yoy basis to `8,180cr. Cigarettes business posted a 11.5% yoy growth in net sales to `3,623cr aided largely by price hikes. Other FMCG business posted a healthy 26.0% yoy growth in net sales to `2,036cr. Agri business posted a strong 31.1% yoy growth in net sales to `1,855cr. Hotels and Papers & Packaging businesses posted a top-line growth of 10.4% and 7.9% respectively. OPM came in at 32.1% up 51bp on yoy basis. While the cigarette business posted 421bp margin expansion, other FMCG business posted profit of `12cr (vs. loss of `17cr in 4QFY2012). However, other divisions posted margin contraction on a yoy basis. The company’s bottom-line rose by a healthy 19.4% yoy to `1,928cr. Source: AngelBroking

SUN TV

For 4QFY2013, Sun TV’s top-line performance was better than our estimates. The company reported 10.7% yoy growth in its top-line (vs our expectation of 8% growth) to `433cr driven by strong growth of 14.6% yoy in advertising revenue to `269cr. However, on the operating front, margins contracted by 311bp yoy to 73.7%. The company has decided to hike weekday prime-time advertising rates by 19% on an average on Sun TV channel with effect from 15th July 2013. Hence, we expect OPM to improve going forward. On the bottom-line front, PAT grew by 11.6% yoy to `178cr. Source: AngelBroking

Result Review 4QFY2013

Bajaj Auto 

Bajaj Auto (BJAUT) reported lower-than-expected operating performance for 4QFY2013, nevertheless, the bottom-line was slightly ahead of our estimates driven by higher other income and lower tax-rate. For 4QFY2013, the top-line posted an in-line growth of 2% yoy (down 12.3% yoy) to `4,746cr, following a 3.5% yoy (13% qoq) drop in volumes to 981,242 units. The net average realization, however, improved strongly by 6.8% yoy (0.7% qoq) led by favorable foreign exchange rate on the exports front and also due to price hike in the export markets (effective November 2012) to pass on the impact of reduction in export incentives. While, the domestic revenues declined 3.3% yoy (13.2% qoq) led by 8% yoy (18% qoq) decline in volumes; export revenues surged 18.2% yoy led a 5.1% yoy growth in volumes and a 12.5% yoy growth in net average realization. The EBITDA margin declined 217bp yoy (107bp qoq) to 17.6%, below our expectations of 18.6%, mainly due to adverse product-mix (higher share of less than 125cc motorcycles in the product-mix) and increase in other expenditure. The adjusted net profit registered a marginal growth of 1.9% yoy (down 6.5% qoq) to `766cr. However, it was slightly ahead of our expectations driven by higher other income (74.6% yoy and 19.9% qoq) and lower tax-rate (at 25.9% as against 30.2% in 3QFY2013). At the CMP of `1,808, the stock is trading at 13.2x FY2015E earnings. Source:AngelBroking

Mahindra Satyam 

For 4QFY2013, Mahindra Satyam reported net profit while disappointed on the operational front. The dollar revenues came in US$359cr, up 1% qoq. In INR terms, revenues came in at `1,936cr, down 0.2% qoq. The company’s operational performance was below expectations as EBITDA margin declined by ~145bp qoq to 20.1% (vs. our expectation of margin inching up qoq), due to subdued revenue growth. The company reported exceptional gain of `134cr during the quarter, adjusting for this profit came in at `320cr, down 14% qoq impacted by lower other income of `72cr as against `111cr in 3QFY2013. We wait for management clarity on decline in operational margins as the company continued to deliver operational exuberance with decent volume growth since last five quarters (till 3QFY2013). Management indicated that they are in penultimate stage in the merger process of Tech Mahindra and Mahindra Satyam as it has been approved by the Bombay High Court, while it awaits the Andhra Pradesh High Court approval. Source:AngelBroking

DBCorp

For 4QFY2013, DB Corp’s top-line performance was in-line with our expectations, growing by 12.7% yoy to `398cr, primarily on account of 13.1% yoy growth inadvertising revenue to `298cr. On the operating front, the company reported 303bp yoy expansion in OPM to 23.6% aided by reduction in losses of emerging editions (`5.8cr loss in 4QFY2013 vs a loss of `18.5cr in corresponding quarter last year). Consequently, net profit grew by 22.0% yoy to `55cr. At the current market price, DB Corp is trading at 14.3x FY2015E consolidated EPS of `16.9. Source:AngelBroking

Hitachi Home

For 4QFY2013, Hitachi Home (HHLS) reported a yoy revenue growth of 14.6% to `270cr in line with our expectation of `269cr. The company disappointed on the EBITDA front with a margin of 5.5%, yoy contraction on 111bp from 6.6% in 4QFY2012. However, forex gain of `5.3cr led to 6.3% yoy growth in net profit to `8cr during 4QFY2013 as compared to `7cr in 4QFY2012. For FY2013, HHLS’s topline growth came in at 20.3% to `960cr, while the EBITDA margin expanded by 506bp yoy to 8.7% from 3.7% in FY2012 owing to lower raw material costs and declining other expenses. This led to a 1411% growth in net profit to `49cr in FY2013 from `3cr in FY2012.Source:AngelBroking

Result Review 4QFY2013

United Spirits 

For 4QFY2013 United Spirits posted a 11.3% yoy growth in top-line to `2,094cr, which was slightly below our estimates. Volume growth stood at 4% for the quarter.Volume growth in Prestige and strategic brands stood at 30%. OPM came in line with estimates at 11.3%. Bottom-line stood at `56cr impacted by `22cr of exceptional items. Source:AngelBroking

J&K Bank 

J&K Bank reported healthy operating performance for the quarter, which came largely on expected lines, however, on the asset quality front, it faced moderate pressures during the quarter. While, NII grew by 23% yoy, non-interest income grew by 71% (possibly aided by the booking of Metlife stake sale, during the quarter) and hence, growth in operating profit was strong at 29% yoy. On the asset quality front, the bank witnessed pressures during the quarter, as their gross and net NPA levels were sequentially higher by around 11% each and hence, the provisioning expenses for the bank more than doubled on a yoy basis and earnings grew at a moderate pace of 20% yoy. Source:AngelBroking

IRB Infra 

For 4QFY2013, IRB Infrastructure (IRB) reported a healthy set of numbers and was above street expectations. The company’s revenue came in below our expectation owing to delay in toll collection at IRDP-Kolhapur BOT project which led to lowerthan-expected BOT revenue for the quarter. However better-than-expected performance at the EBITDAM level and lower tax expense led to healthy growth at earnings level. IRB’s top line witnessed a growth of 11.4% yoy to `948cr in 4QFY2013 and was below our estimate of `1,104cr. The growth was mainly due to healthy execution pace in the under-construction BOT projects. The E&C segment’s revenue grew by 10.6% yoy to `691cr (our estimate was `638cr) while the BOT segment witnessed 12.7% yoy growth to `289cr (our estimate was `310cr). On the EBITDAM front, IRB’s margin came in at 44.6% in 4QFY2013, indicating a decline of 53bp on a yoy basis and was higher than our estimate of 44.0%. Stable input prices led to EBITDAM of 34.2% (excluding other income) for E&C segment. Interest cost came in at `158cr, indicating a growth of 3.0% on a yoy basis. At the earnings front, IRB reported PAT of `151cr (our estimate was `187cr), an increase of 25.6% yoy owing to better-than-expected operating performance and lower tax expense during the quarter. IRB is looking at both organic and inorganic options for growth with a threshold of 18% equity IRR and intends to allot 20% of consolidated cash flow post debt repayment towards acquisitions. IRB has a robust order book of `6,431cr (2.4x FY2013E E&C revenue, excluding O&M orders), which lends revenue visibility. Although a slowdown in order awarding by NHAI in road sector has been witnessed in FY2013, IRB expects ordering activity to improve going ahead. Source:AngelBroking