Stocks in Focus on October 11: Aditya Birla Sun Life AMC, TCS, Tata Motors, Bandhan Bank to Wockhardt; here are the 5 Newsmakers of the Day

Equity markets closed with a gain of over 0.50% on Friday, October 8, 2021. The S&P BSE Sensex gained 381.23 points or 0.64% to end above the 60,000 level at 60,059.06. The Nifty 50 index rose 104.85 points or 0.59% to end at 17,895.20. But certain stocks came in the news after the market was closed. These stocks can impact the indices when it reopens on Monday, October 11, 2021. List of such five stocks:

See Zee Business Live TV Streaming Below:

Aditya Birla Sun Life AMC Listing: The shares of Aditya Birla Sun Life AMC will debut on the bourses, NSE & BSE, today. The Rs 2,786.26 crore initial public offering (IPO) of the company closed with 5.25 times subscription. The initial share sales price band was fixed at Rs 695-712. The offer was entirely an offer for sale, wherein two promoters -- Aditya Birla Capital and Sun Life (India) AMC Investments -- will divest their stakes in the asset management firm.

TCS: India’s largest information technology company Tata Consultancy Services (TCS) has reported a 6.8% QoQ rise in the consolidated profit at Rs 9,624 crore for the quarter ended September 30, 2021 (Q2FY22). It had posted a profit of Rs 9,008 crore in the previous quarter ended June 30, 2021 (Q1FY22). Its revenue from operation grew 3.2% to Rs 46,8676 crore in the reported quarter compared to Rs 45,411 crore posted in the previous quarter. Revenue in dollar terms rose 2.9% to $633.3 crore as against $615.4 crore posted in the previous quarter. The EBIT stood at Rs 12,000 crore, up 3.6%, from Rs 11,588 crore posted in Q1FY22. The margin remained almost flat at 25.6% in Q2FY22 compared to 25.5% posted in Q1FY22. The company has declared a second interim dividend of Rs 7 per Equity Share of Re 1 each of the Company. The second interim dividend shall be paid on Wednesday, November 3, 2021, to the equity shareholders of the Company, whose names appear on the Register of Members of the Company or in the records of the Depositories as beneficial owners of the shares as of Tuesday, October 19, 2021, which is the Record Date fixed for the purpose. It reported a CC revenue growth of 15.5% (QoQ). TCV in Q2 stood at $7.6 billion as compared to $8.1 billion (QoQ). All verticals grew 15% YoY. Attrition stood at 11.9% in Q2FY22 as compared to 8.6% (QoQ). Besides, Mr Rajesh Gopinathan was re-appointment as Chief Executive Officer and Managing Director for a term of five years from February 21, 2022, to February 20, 2027. Mr N Ganapathy Subramaniam re-appointment as Chief Operating Officer and Executive Director from February 21, 2022, to May 19, 2024. Besides, the company has said that 4G testing was done in collaboration with BSNL on a network made in India. The 4G equipment was made in collaboration with CDOT. 4G equipment was installed in 5 areas of Chandigarh.

Verticals (CC YoY growth) 

- BFSI 17% 

- Manufacturing 21.7% 

- Life sciences 19% 

- Retail 18.4% 

- Communication & Media 15.6% 

- Tech & Services 14.8% 

 Regions (CC YoY growth)  

- North America: 17.4% 

- UK:15.6% 

- Europe: 13.5% 

- India: 20.1% 

- Latin America: 15.2%   

 Management commentary 

- Strong and sustained demand environment 

- India Market has witnessed holistic growth during the quarter despite Rupee appreciation 

- Demand pipeline continues to be robust, and there is a strong appetite to adopt digital and cloud agenda 

- The increase in hiring is to make sure we provide adequate supply in the high-demand environment. 

- Expect to hire another 35,000 in H2FY22, FY22 fresher hiring target almost doubled 

- Already crossed target projected earlier with 43,000 freshers joining in H1 (highest ever freshers on-boarded in just the first 6 months) 

 Business Update: Tata Motors + Maruti Suzuki

Tata Motors: Jaguar Land Rover retail sales for the three-month period to September 30, 2021, continued to be constrained by the impact of the global semiconductor shortage on production, with wholesales for the period in line with July guidance. The underlying demand for Jaguar Land Rover products remains strong with order books at record levels. Retail sales for Q2FY22 were 92,710 vehicles, 18.4% lower than the 1,13,569 vehicles sold in Q2FY21. Retails were lower year-on-year in most regions, including North America (-15.6%), China (-6.3%), Europe (-17.0%), and in the UK (-47.6%), but were up in our Overseas region (+10.0%). Retail sales of all models were lower year on year with the exception of the new Land Rover Defender, which retailed 16,725 vehicles, up 70.4% year on year, making it our bestselling model in the quarter. Q2FY22 wholesales stood at 64,032 units (excluding the China JV), down 12.8% year-on-year from 73,431 units sold last year. Despite the continuing semiconductor supply constraints, Jaguar Land Rover expects to report a free cash outflow of under £0.7 billion for the quarter, significantly better than the £1 billion outflows initially anticipated. Total liquidity at the end of the second quarter is expected of about £5.9 billion including a £2.0 billion undrawn committed revolving credit facility (RCF). The Company expects semiconductor shortages to gradually ease over about the next 12 months from here.

Maruti Suzuki: The carmaker in its production update for the month of September 2021, said, total production dropped to 81,278 units in September 2021 from 1,66,086 units produced in September 2020. The production volume of the Company in September 2021 was affected due to an electronic components shortage.

Business Update: Badhan Bank + Equitas Small Finance Bank 

Bandhan Bank: The private lender in its business update for Q2FY22 said, its loans and advances grew 7% YoY to Rs 81,668 crore in Q2FY22 compared to Rs 76,615 crore posted in Q2FY21. Total deposits grew 24% YoY to Rs 81,898 crore in the reported period compared to Rs 66,128 crore posted in Q2FY21. CASA deposits improved by 45% YoY to Rs 36,548 crore from Rs 25,279 crore posted last year. CASA ratio improved YoY to 44.6% in Q2FY22 from 38.2% posted in Q2FY21. The liquidity coverage ratio (LCR) as of September 30, 2021, stands at 139%. Collection efficiency* for the month of September 2021 was at 90%.

Equitas Small Finance Bank: The company in its business update for Q2FY22 said gross advances grew 13% YoY at Rs 18,981 crore as compared to Rs 16,731 crore posted last year. The disbursement grew 65% YoY to Rs 3,137 crore as compared to Rs 1,902 crore. Total deposits grew 40% YoY to Rs 18,094 crore as compared to Rs 12,901 crore. CASA stood at Rs 8,200, up 153% YoY, compared to Rs 3,246 crore posted last year. The CASA ratio stands at 45% in Q2FY22 compared to 25% posted in Q2FY21. Besides, SEBI has granted relied on the Scheme of Amalgamation of Equitas Holdings Limited (EHL) with Equitas Small Finance Bank Limited (ESFBL) by relaxing minimum shareholding norms. It has acceded to the company's request to relax three-year minimum promoter lock-in requirements to the extent required to implement the Scheme of Amalgamation soon after receiving final NCLT approval.

Wockhardt: The company in its clarification to media reports linked to proposed stake sale by Wockhardt Limited said, the company is in the process of evaluating/ negotiating various fundraising options, including by way of further issue of equity shares, as part of its normal course of business. The above negotiations are in their initial stage and, if found feasible, will be subject to further approval by the Board of Directors of the Company before finalisation. Therefore, the present news information detailing the deal/ parties to the deal are purely speculative in nature. With this clarification, the company had not denied the said report which was exclusively reported earlier by Zee Business.