RBI Lowers India Growth; Maruti Suzuki Net Up

123jump.com Staff
26 Oct, 2009
New York City

Mumbai stocks closed lower ahead of the Reserve Bank of India rate decision tomorrow. The RBI lowered its economic growth target to 6% from 6.5%. Maruti Suzuki quarterly sales surged 47%. Pantaloon Retail quarterly net increased 21%. Dena Bank, Canara Bank and ING Vysya earnings surge.

[R]6:00 PM Mumbai, 8:30 AM New York – Mumbai stocks closed lower ahead of the Reserve Bank of India rate decision tomorrow. The RBI lowered its economic growth target to 6% from 6.5%. Maruti Suzuki quarterly sales surged 47%. Pantaloon Retail quarterly net increased 21%. Dena Bank, Canara Bank and ING Vysya reported sharply higher earnings.[/R]

Investors sold stocks ahead of rate decision from the Reserve Bank of India tomorrow. Banks fell on the worries that the RBI may raise earlier than expected as inflationary forces are on the rise.

A day before the rate decision, the central bank lowered its annual economic growth rate to 6% from 6.5% on the weaker than expected agriculture output and on the weakness in exports, loan growths and weak consumer demand.

The Sensex index in India decreased 70.31 or 0.4% to 16,740.50 and CNX Nifty index fell 26.15 or 0.5% to 4,970.90. Among the Sensex 30 stocks, 16 declined and 14 rose.

On BSE trading, 985 stocks advanced, 1,740 declined and 67 were unchanged.

Rupee edged lower 7 paisa to 46.57 against one dollar.

Gainers & Losers

3i Infotech Limited decreased 4.9% to Rs 89.10 after the global provider of IT solutions said second quarter sales rose 4% to Rs 626 crore from Rs 602 crore a year ago. Net profit for the quarter fell 22.6% to Rs 52.88 crore or Rs 3.77 per diluted share compared to net profit of Rs 68.35 crore or Rs 4.93 per share a year ago.

Adani Enterprises Limited increased 1.6% to Rs 732.00 ahead of earnings release on October 30.

Canara Bank fell 4.0% to Rs 363.00 after the financial conglomerate said second quarter net profit rose 72% to Rs 910.52 crore or Rs 22.21 per diluted share compared to net profit of Rs 529.43 crore or Rs 12.91 per share a year ago.

Century Enka Limited added 3.3% to Rs 204.05 after the manufacturing of synthetic yarn said second quarter net profit rose 552.6% to Rs 32.76 crore.

CORE Projects and Technologies Limited declined 2.7% to Rs 197.80 after the education provider said second quarter sales rose 24% to Rs 200.72 crore from Rs 161.54 crore a year ago. Net profit for the quarter rose 24.7% to Rs 36.96 crore or Rs 3.97 per diluted share compared to net profit of Rs 29.65 crore or Rs 2.80 per share a year ago.

Dena Bank fell 4.7% to Rs 71.90 said second quarter net profit rose 21.2% to Rs 124.64 crore compared of Rs 102.83 a year ago.

Gujarat State Petronet Limited dropped 0.9% to Rs 88.15 after the natural gas transmission company said second quarter sales rose 115% to Rs 254.76 crore from Rs 118.59 crore a year ago. Net profit for the quarter rose 287% to Rs 110.06 crore or Rs 1.96 per diluted share compared to net profit of Rs 28.38 crore or Rs 0.50 per share a year ago.

India Infoline Ltd rose 0.5% to Rs 149.70 after the financial services company said second quarter sales rose 13.4% to Rs 313 crore from Rs 276 crore a year ago. Net profit for the quarter rose 45% to Rs 58 crore compared to net profit of Rs 40 crore a year ago.

ING Vysya Bank Limited fell 1.0% to Rs 288.85 after the bank said second quarter net interest income rose 22.2% to Rs 191.4 crore from Rs 156.6 crore a year ago. Net profit for the quarter rose 14% to Rs 53.5 crore compared to net profit of Rs 47 crore a year ago.

JMC Projects (India) Limited decreased 5.0% to Rs 173.00 after the buildings contractor said second quarter net profit declined 15.8% to Rs 5.72 crore.

Kavveri Telecom Products Limited increased 5.0% to Rs 58.85 said second quarter sales rose 13.5% to Rs 59.51 crore.

J. Kumar Infraprojects Limited rose 2.8% to Rs 181.40 after the civil and engineering contractor said second quarter net profit rose 219.3% to Rs 19.83 crore.

Maruti Suzuki India Limited climbed 1.0% to Rs 1,532.70 after the passenger carmaker said second quarter sales rose 46.7% to Rs 7,049.58 crore from Rs 4,806.26 crore a year ago. Net profit for the quarter rose 92.6% to Rs 570.00 crore or Rs 19.73 per diluted share compared to net profit of Rs 296 crore or Rs 10.25 per share a year ago.

Nagarjuna Fertilizers and Chemicals Limited declined 1.1% to Rs 34.00 after the manufacturer and supplier of plant nutrients said second quarter sales fell 37.7% to Rs 533.2 crore from Rs 855.9 crore a year ago. Net profit for the quarter fell 0.6% to Rs 8.10 crore or Rs 0.19 per diluted share compared to net profit of Rs 8.15 crore or Rs 0.19 per share a year ago.

Pantaloon Retail (India) Limited increased 2.0% to Rs 330.00 after the retail stores operator said first quarter sales rose 17.6% to Rs 1,777 crore from Rs 1,511 crore a year ago. Net profit for the quarter rose 21% to Rs 43.82 crore or Rs 2.29 per diluted share compared to net profit of Rs 36.18 crore or Rs 2.07 per share a year ago.

Petronet LNG Ltd rose 2.7% to Rs 74.15 after the liquefied natural gas importer said second quarter sales rose 105.8% to Rs 3,406.1 crore from Rs 1,654.9 crore a year ago. Net profit for the quarter rose 16.7% to Rs 120.7 crore compared to net profit of Rs 103.4 crore a year ago.

PTC India Limited fell 1.6% to Rs 96.15 after the power trading firm said second quarter sales rose 21% to Rs 2,458 crore from Rs 2,031 crore a year ago. Net profit for the quarter fell 5.8% to Rs 30.8 crore or Rs 1.02 per diluted share compared to net profit of Rs 32.7 crore or Rs 1.44 per share a year ago.

Punj Lloyd Limited plunged 14.6% to Rs 222.05 after the engineering procurement construction company said second quarter net profit decreased 52.4% to Rs 41.88.

Ranbaxy Laboratories Limited gained 2.9% to Rs 383.10 after the pharmaceutical industry said third quarter sales fell 8.9% to Rs 1,720.5 crore from Rs 1,888.4 crore a year ago. Net profit for the quarter fell 70.4% to Rs 116.6 crore compared to net profit of Rs 394.5 crore a year ago.

REI Agro Limited rose 5.9% to Rs 50.70 after the business of basmati rice processing said that it has declared the payment of an interim dividend of Rs 0.10 per equity share, for the Financial Year 2009-10. November 06, 2009 has been fixed as the record date for the purpose of payment of interim dividend.

Sona Koyo Steering Systems Limited rose 2.3% to Rs 17.60 said steering shoots up on good earnings.

Swaraj Engines Limited rose 0.1% to Rs 322.00 after the manufacturer of diesel engine components and spare parts said second quarter sales rose 14% to Rs 69 crore from Rs 60.6 crore a year ago. Net profit for the quarter rose 65.5% to Rs 9.6 crore or Rs 7.69 per diluted share compared to net profit of Rs 5.8 crore or Rs 4.62 per share a year ago.

Titan Industries Limited dropped 2.6% to Rs 1,323.05 after the watch and jewellery manufacturer said second quarter sales rose 5.4% to Rs 1,146.8 crore from Rs 1,088.5 crore a year ago. Net profit for the quarter fell 11.6% to Rs 77.6 crore compared to net profit of Rs 87.8 crore a year ago.

Union Bank of India fell 5.1% to Rs 252.65 said second quarter net profit rose 38.63% to Rs 505.1.

Welspun Gujarat Stahl Rohren Limited the pipe producing company advanced 2.6% to Rs 287.30.

Zee Entertainment Enterprises Limited surged 11.8% to Rs 254.00 said second quarter net profit rose 77.1% to Rs 102.48.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed higher 79.63 or 0.77% to 10,362.62, and CSI 300 index in China higher 0.99 or 0.03% to 3,414.24. ASX 200 index in Australia decreased 29.10 or 0.60% to 4,830.30. The FTSE Bursa KL Composite index in Malaysia was lower 7.18 or 0.57% to 1,259.92. Markets in Hang Seng index in Hong Kong were closed today.

The Kospi Index in South Korea increased 16.94 or 1.03% to close at 1,657.11. SET index in Thailand closed higher 3.07 or 0.43% to 711.83. JSE Index in Indonesia decreased 0.23 or 0.01% to 2,467.71. The Sensex index in India decreased 70.31 or 0.42% to 16,740.50.