Stocks in Focus on June 15: BHEL, Zee Entertainment to Tyre Stocks; here are the 5 Newsmakers of the Day
Grasim Industries, Hindalco, BHEL, Eicher Motors and IOL Chemicalsstocks are expected to remain newsmakers throughout the intraday trade session today
The Sensex and the Nifty recouped all losses and ended with strong gains on Friday, June 12, 2020, mirroring a recovery in global stock markets. The barometer S&P BSE Sensex rose 242.52 points or 0.72% at 33,780.89. The Nifty 50 index jumped 70.90 points or 0.72% at 9,972.90. But certain stocks came in news after the market was closed. These stocks can impact the indices when it reopens on Monday, June 15, 2020. List of such five stocks:
Grasim Industries/ Hindalco/ BHEL/ Eicher Motors/ IOL Chemicals/ Mangalore Chemicals: They are the companies that reported their financial results of the fourth quarter of the financial year 2019-20 (FY20) after the market hours on Friday, June 12, 2020, and Sunday, June 14, 2020, after the market hours. Find details:
Grasim Industries: Grasim Industries with businesses ranging from cement to chemicals has posted the financial results for the Q4FY20 and reported a 21% year-on-year decline in net profit at Rs 357 crore. It posted a profit of Rs 451 crore a year ago in the same quarter. Revenue from operations declined by 19% to Rs 4,213 crore when compared to Rs 5,352 crore posted a year ago in the same quarter. EBITDA was Rs 394 crore, down 56% from Rs 898 crore posted a year ago, while margin contracted to 9.14% in Q4FY20 against 16.8% of Q4FY19.
Hindalco: The company on Friday posted the financial results for the quarter that ended on March 31, 2020, and reported a 47% year-on-year rise in the standalone net profit Rs 326 crore. It posted a profit of Rs 236 crore in the corresponding quarter a year ago. Revenue from operations fell 19% to Rs 9,992 crore from Rs 12,373 crore posted a year ago in the same period. EBITDA was Rs 1,141 crore, up 26% from Rs 903 crore posted a year ago, while margin stood at 11.4% from 7.3%. The board also recommended a dividend of Re 1 per share.
BHEL: State-run BHEL on Saturday reported a consolidated net loss of Rs 1,534 crore for the March quarter compared with a profit of Rs 682 crore in the corresponding quarter of last year. Revenue from operations declined 51.3% to Rs 5,049 crore against Rs 10,297 crore posted a year ago in the same quarter. It saw an EBITDA loss of Rs 562 crore against the EBITDA of Rs 1,395 crore posted in Q4FY19. Deferred tax expenses for the quarter stood at Rs 822 crore against Rs 14 crore in the year-ago quarter.
Eicher Motors: Royal Enfield-maker Eicher Motors on Friday announced the financial results of the quarter that ended on March 31, 2020, and reported a 44.2% year-on-year decline in consolidated profit of Rs 304.3 crore. It posted a profit of Rs 544.8 crore a year ago in the same quarter. Analysts at Zee Business had projected a net profit of Rs 410 crore for the quarter. Revenue from operations stood at Rs 2,208 crore, down 11.7% as compared to Rs 2,500 crore posted a year-ago quarter. EBITDA fell 36.8% to Rs 432.5 crore from Rs 685 crore posted in the same quarter last year, while margin contracted to 19.6% from 27.4%. The board has approved share spilt 1:10.
IOL Chemicals and Pharmaceuticals: IOL on Friday announced the financial results for the period ended March 31, 2020, and reported an 11% year-on-year decline in net profit to Rs 90.26 crore. It posted a profit of Rs 101.65 crore in the corresponding quarter last year. Revenue from operations grew 4.5% to Rs 441 crore as compared to Rs 422 crore posted a year ago. EBITDA stood at Rs 137 crore, down 12% from Rs 157 crore, while margins contracted to 31% from 37%.
Mangalore Chemicals & Fertilizers: The company on Friday announced the financial results for the period ended March 31, 2020, and reported a profit of Rs 24 crore against the net loss of Rs 5.95 crore posted a year ago in the same quarter. Revenue from operations declined 12% to Rs 563 crore against Rs 643 crore posted a year ago in the same quarter. EBITDA stood at Rs 30 crore, up 9% from Rs 27.6 crore of last year, while reported a margin of 5.3% against 4.2%.
Events: RIL rights issue listing/ OPEC meet/ SBI Life/ Vedanta
RIL Rights Issue: Reliance Industries' shares offered in the just-concluded rights issue will be listed on stock exchanges on today, concluding the issue in just 42 days. The new securities of Reliance Industries shall be listed and permitted to trade on the Exchange in the list of 'A' Group of Securities," BSE said.
SBI Life: The OFC of SBI Life will be open for retail investors and non-retail investor today. India’s biggest public-sector lender, State Bank of India (SBI) has decided to reduce its stake in SBI Life Insurance Company by 2.10% through an Offer for Sale (OFS) to achieve minimum public shareholding of 25%. The floor price for the sale has been fixed at Rs 725. SBI holds 57.60% stake in the company as on 31 March.
OPEC: The Organization of Petroleum Exporting Countries will meet today.
VEDANTA/ Videocon: The case of Ravva Oil and gas fields of Rajasthan is scheduled to be heard in Delhi High Court today.
Zee Entertainment Enterprises Ltd (ZEEL): Media & Entertainment Powerhouse ZEE Entertainment Enterprises Ltd. (ZEE) today announced a national level CSR drive towards enhancing the Country’s healthcare infrastructure, further strengthening its fight against Covid-19. It will donate over 200 Ambulances, 40,000 PPE Kits and build 100+ ICU Units across the Nation to fight against Covid-19. In the first stage, the group has handed over 12 ambulances to Maharashtra Government.
Reliance Industries: TGP invests Rs 4,546.80 crore in Jip Platforms for a 0.93% stakes. Similarly, Catterton has invested Rs 1,894.5 crore in Jio Platforms for 0.39% stakes. This was the ninth and the tenth investment in the company.
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Tyre Stocks in focus: Stocks of tyre companies like BKT, Apollo Tyres, CEAT Tyres, JK Tyres will be in focus as DGFT imposed curbs on imports of certain new pneumatic tyres used in motor cars, busses, Lorries and motorcycles. The decision was taken to promote domestic manufacturing.
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