world indices & indian adrs (us$) 2-may-17 · kansai nerolac (#) posts fall in q4 net profit at...
TRANSCRIPT
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EQUITY
Latest 1 Day P/E* P/B*
SENSEX 29,921.2 0.0 22.1 2.9
NIFTY 9,313.8 0.1 22.3 2.9
CNXMIDCAP 18,187.8 0.6 31.6 2.3
2-May-17
*Source: Bloomberg
NET INFLOWS (Rs. Crs.) 28-Apr-17
NET MTD YTD
FII (1113.5) (7416.0) 10162.9
MF** 258.4 19971.3 30516.0
*YTD From January till date **As on 27-Apr-17
3 May 2017
Sushil Financial Services Private Limited Member BSE : SEBI Regn.No. INB/F010982338 | NSE : SEBI Regn.No.INB/F230607435. Regd. Office : 12, Homji Street, Fort, Mumbai 400 001. Phone: +91 22 40936000 Fax: +91 22 22665758 Email : [email protected]
Please refer to important disclosures at the end of the report For private Circulation Only.
2-May-17
Latest Points % Chg.
NIKKEI 225 * 19445.7 135.2 0.7
HANG SENG * 24696.1 81.0 0.3
DOWJONES 20949.9 36.4 0.2
NASDAQ 6095.4 3.8 0.1
SGX NIFTY FUT* 9356.0 10.0 0.1
INFY 14.5 (0.0) (0.1)
HDFC BANK 81.4 1.1 1.4
ICICI BANK 8.5 (0.1) (1.1)
TATA MOTORS 34.8 (0.4) (1.0)
WIPRO 10.0 0.1 0.7
DR REDDY 40.9 0.3 0.8
* At 08:20 a.m. IST on 3-May-17
WORLD INDICES & INDIAN ADRs (US$)
COMMODITIES 2-May-17
Latest Points % Chg.
GOLD 1256.4 1.3 0.1
CRUDE OIL (WTI) 48.1 0.4 0.8
CRUDE OIL (Brent) 50.9 0.5 0.9
FII ACTIVITIES IN DERIVATIVES 2-May-17
FII Net Buy (Rs.
Crs)
Open
Interest
Ch. in Open
Int. (DOD)Index Futures (713.5) 15402.0 (3.8)
Index Options 792.7 50113.9 1.9
Stock Futures (176.2) 68039.9 1.2
Stock Options 145.1 2339.4 32.9
2-May-17
Closing % Chg.
Dollar Index 98.9 (0.05)
Rs. / $ 64.2 (0.05)
Rs. / EURO 70.1 (0.21)
Rs. / UK Sterling 83.0 (0.02)
EXCHANGE RATE
G.SEC. YIELD 2-May-17
Yield (%)
GS CG2025 8.2% 6.99
US 10 Year Gsec 2.28
KEY OVERNIGHT DEVELOPMENTS
Wall Street edged higher on Tuesday as gains for the tech and industrial
sectors countered weakness in auto and energy stocks and investors digested
a heavy day of earnings reports. Asian stocks followed global indexes higher
on Wednesday, as strong earnings and manufacturing data boosted risk
appetite, while expectations that the Federal Reserve will signal a June rate
increase later in the session lifted the dollar.
MUST KNOW…. Steps taken by UP govt will aid plant load factor: JSW Energy (Rs.62, -7%)
Optimistic on FY18, have undertaken good consolidation: RPG Life Sciences (Rs.422, -4%)
IOC to set up Rs.600-cr ethanol plant at Panipat (Rs.443, +1%)
Hero MotoCorp (##) hikes prices by up to Rs.2,200 (Rs.3351, +1%)
Kesoram Industries share price slips on big loss in Jan-Mar quarter (Rs.150, -10%)
Escorts up on jump in tractor sales to 4,899 units (Rs.564, +3%)
Tata Motors (#) shares slip as weak commercial vehicle sales hit Apr performance (Rs.452, -1%)
ICICI Bank (#) to create 500 more digital villages (Rs.276, -1%)
Expect 5-10% volume growth in FY18; GST uncertainty may impact: Dabur (#) (Rs.284, -1%)
Mahindra sales decline 6% to 39,357 units in Apr (Rs.1341, +1%)
Ashok Leyland (#) sales decline 30% to 7,083 units in Apr (Rs.84, -2%)
Thermax gains on export order win worth USD 157 mn (Rs.1028, +1%)
Maruti Suzuki (##) share price hits record high post stellar sales data in Apr (Rs.6706, +3%)
Infosys (##) plans to hire 10,000 American workers, open 4 US tech centres (Rs.921, 0%)
Kansai Nerolac (#) posts fall in Q4 net profit at Rs.116 cr (Rs.398, +1%)
Coal India (##) Apr 17' production slips 4.1% (Rs.275, -1%)
Reliance Defence gets empowered group nod to exit CDR scheme (Rs.68, +5%)
DCB Bank (#) raises Rs.379 cr via QIP (Rs.197, +7%)
Tata Teleservices fires 500-600 employees (Rs.9, +10%)
Chlor-Alkali biz to do well in 2018; agri biz depends on monsoon: DCM Shriram (Rs.375, +5%)
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Corporate Announcements & Financial Scoreboard
Steps taken by UP govt will aid plant load factor: JSW Energy (Rs.62, -7%)
JSW Energy has posted a weak quarter, worse than expected. It is a topdown miss, 30% lower on the
topline, margins have slipped and an over 90% crack on the bottomline. In an interview to media, Sanjay
Sagar, Joint MD & CEO of JSW Energy spoke about the results and his outlook for the company. He said that
lack of demand hurt earnings in Q4. However, Q4 is the weakest quarter for hydro plants, he added. See a
slight glimmer of hope with plant load factor (PLF) inching higher, said Sagar. However, steps taken by
Uttar Pradesh (UP) government will aid plant load factor, he added. Profit on consolidated basis fell 91.7%
year-on-year to Rs.24.8 crore and revenue plunged 29.2% to Rs.1,862.1 crore in the quarter ended Mar
2017. Company's profit in FY17 slipped 54%. Power generation during the quarter was down 31% to 4,064
MUs as Ratnagiri plant operated at 47% (against 92% in previous year) due to shutdown of one unit
(300MW) and Vijayanagar plant's plant load factor was at 77% (against 99% in previous year) due to weak
merchant demand amid lower tariffs. Even its merchant volume for Q4 and FY17 dropped 44% and 53%,
respectively which contributed 26% to total volume of FY17. Operating profit on consolidated basis
declined 45.5% to Rs.587 crore and margin contracted by 940 basis points to 31.5% compared with same
quarter last fiscal.
Optimistic on FY18, have undertaken good consolidation: RPG Life Sciences (Rs.422, -4%)
RPG Life Sciences posted a weak set of numbers in Q4 FY17. There was a Rs.21 lakh loss because of higher
finance cost and a tax outgo. In an interview to media, CT Renganathan, MD of the company spoke about
the results and his outlook for the company. "We are optimistic of 2018, in terms of consolidation, we have
done good consolidation last year", he said. FY18 is definitely going to be better than FY17, he added.
Speaking about warning letters the company received from US-FDA for its Akleshwar and Navi Mumbai
plant, he said, "Consultants are working with us, team is fully prepared and getting ready to get rid of the
warning letter and we will be submitting our first product in 2018. So we are looking forward to reach US
market by 2019-2020".
IOC to set up Rs.600-cr ethanol plant at Panipat (Rs.443, +1%)
State-owned oil company Indian Oil Corporation will set up a Rs.600-crore plant to produce second
generation ethanol at Panipat in Haryana. The state government has accepted the investment proposal,
which was approved by the empowered executive committee at its meeting held, an official spokesperson
said. "The plant will use plant waste, stubble, husk and straw to produce 100 KL of ethanol every day. The
state government has agreed to provide land either on nominal lease or free of cost. Billed to be the
largest such plant in the country, it is expected to generate hundreds of jobs," the spokesperson added.
The plant, which would help reduce stubble burning drastically, is likely to be commissioned in the next
two years. The empowered committee has agreed to provide all possible incentives for setting up the
plant, the official said.
Hero MotoCorp (##) hikes prices by up to Rs.2,200 (Rs.3351, +1%)
The country's largest two-wheeler maker Hero MotoCorp hiked prices of its products ranging from Rs.500
to Rs.2,200 across models to offset the impact of rising input costs. "The company raised the prices –
ranging from Rs.500 to Rs.2,200 – across different models to partially offset the commodity cost increases,
effective from May 1," Hero MotoCorp said in a statement. Hero MotoCorp sells a range of two-wheelers
starting from entry level bike HF DAWN to top-end Karizma ZMR, with prices ranging from around
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Rs.40,000 to over Rs.1 lakh. Last month, the company dispatched 5,91,306 units of two-wheelers, 3.49%
down from 6,12,739 units in the corresponding month last year. "With the ongoing marriage season, the
company expects to maintain the trend of robust retail sales in May," the two-wheeler major said.
Kesoram Industries share price slips on big loss in Jan-Mar quarter (Rs.150, -10%)
Shares of Kesoram Industries declined as it has posted a net loss in the quarter ended Mar 2017. The
company in the quarter ended Mar 2017 (Q4) has posted net loss at Rs.74.5 crore versus profit of Rs.348.9
crore, reported in the same quarter last fiscal. Total income of the company was down 6.5% at Rs.1,103.6
crore versus Rs.1,179.8 crore. The company operating loss (EBITDA loss) was at Rs.34.8 crore versus loss of
Rs.271.2 crore.
Escorts up on jump in tractor sales to 4,899 units (Rs.564, +3%)
Shares of tractor major Escorts rose as the company reported a double digit growth in tractor sales of 20%
at 4,899 units versus 4,086 units in the same period of the previous year. Domestic tractor sales of the
company also jumped up 18% at 4,760 units versus 4,048 units year on year. Escorts' agri machinery
segment in Apr 2017 sold 4,760 tractors against 4,048 tractors in Apr 2016. Export for the month of Apr
2017 stood at 139 tractors up by 266% against 38 tractors in Apr 2016.
Tata Motors (#) shares slip as weak commercial vehicle sales hit Apr performance (Rs.452, -1%)
Tata Motors share price fell on dismal sales performance in Apr but passenger cars sales growth remained
strong. Its total sales (including exports) in Apr 2017 were at 30,972 vehicles, degrowth of 21% over 39,389
vehicles sold in Apr 2016, hit by commercial vehicle sales. The commercial vehicles sales declined 36%
year-on-year to 16,017 units during the month, which was an unusual decline, in exceptional
circumstances, the company said in its filing. "Commercial vehicles were affected by the Supreme Court
judgement announced on Mar 29, with the ban on BS3 sales, leading to the need for a higher quantity of
BS4 stock for Apr sales. After the strong prebuying of BS3 vehicles in Mar, and the price increase of BS4
vehicles (especially in the medium & heavy commercial vehicle and Buses at 8-10%), demand for BS4
vehicles was also weak," the company reasoned. Exports also fell 43.8% to 2,128 units year-on-year.
Domestic passenger vehicle sales were strong, growing 23% to 12,827 units compared with year-ago
month due to an encouraging response for its recently launched lifestyle UV, Tata HEXA and latest
styleback, the Tata TIGOR that continued to maintain good order pipeline. Tata Motors expects production,
wholesales & retails to pick up in May & Jun.
ICICI Bank (#) to create 500 more digital villages (Rs.276, -1%)
ICICI Bank has created 100 'digital villages' across the country within 100 days and now plans to add 500
more to the list by year-end, its chief Chanda Kochhar said. The 100-village project, which also included
imparting skill training and providing credit linkages to people living there, was taken up by the bank after
noticing that minimum inconvenience was caused to people living in a model 'digital village' in Gujarat
during the demonetisation period. During the 100-day period, the bank provided vocational training to
11,300 villagers, including 70% women, and opened more than 2 lakh bank accounts, Kochhar said, adding
that a credit linkage facility was also given to many in these 100 villages to help them earn their livelihood.
The bank has also provided loans to the tune of Rs.14 crore to customers of these 100 digital villages and
with more addition, the credit flow is going up, she said. On the programme, Kochhar said it encompassed
digitisation of transactions and other commercial activities besides providing vocational training, credit
facility and market linkage to help villagers earn a sustainable livelihood. "We will transform another 500
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villages into 'ICICI Digital Villages' by December 2017 and train another 50,000 individuals," she said. The
ambitious project, which began in November 2016, was inspired by the success of India's first digital village
created by ICICI Bank at Akodara in Gujarat in 2015. "We were very happy with the work we did in Akodara
2 years ago. We noticed that during the demonetisation period, this village saw very less inconvenience
compared to others, because of the digital banking and other infrastructure we had created there. "This
made us think that we can do more on this front and we decided to convert 100 villages into digital
villages," she said, adding these efforts were also in line with the government's 'Digital India' programme
and the initiatives aimed at promoting 'less cash' economy in the country. "What we also thought that we
will add skill training and credit linkages to our work in those villages. This way we have been able to
promote a 'less cash' ecosystem and also promote locally required skill sets on those areas," she said.
Kochhar said the initiative has already covered 17 states, including Maharashtra, Andhra Pradesh,
Telangana and Gujarat. "Also, we have opened more than 2 lakh accounts so far, which covers most of the
adult population in these villages. We have installed POS machines, micro ATMs and also opened accounts
for Village Level Centres or VLCs. "We have also introduced very simple features for mobile banking so that
people in those villages can do banking just on the basis of SMS and without requiring smartphones," she
said. Kochhar said ICICI Bank is now picking more and more states and villages for the next phase in which
it would create 500 digital villages by December 2017. Asked whether the next 500 villages would lead to
over 10 lakh accounts, she said, "It should be so. Basically, it would depend on the population of the
villages, but broadly that kind of numbers should be achieved." About skill training, she said the focus was
on skills that are very local in nature and are relevant to the local needs and the area. "We had a special
focus on women, who have been trained in tailoring, dress designing and many other skills. As a result,
people in those villages have begun to earn Rs.20,000 -30,000 a month and many have become
entrepreneurs," she added. On credit linkages, Kochhar said credit facilities have been extended to those
wanting to start their own small business and also for the self-help groups (SHGs). "Credit linkage has been
provided to about 1,000 people directly and for over 2,000 through SHGs. "In terms of training, 70% were
women. Besides, 84% of those having been given training are now earning their livelihood on their own,"
she said. Free vocational training was provided in association with ICICI Foundation for Inclusive Growth,
the CSR arm of the group. The 100 villages covered so far include 16 in Gujarat, 14 each in Maharashtra
and Madhya Pradesh, 12 in Tamil Nadu and Karnataka and 11 in Rajasthan, among others. ICICI Bank said it
is using Aadhar-based e-KYC to help villagers open accounts in a paperless manner, without submitting
physical documents. There is a dedicated ICICI Bank branch in each village to service these accounts. The
bank has provided an SMS-based mobile service which facilitates the villagers to transfer funds, receive
SMS alerts and mini-statements and know their account balance. It is available in 10 regional languages
and functions on basic feature phones as well, without the requirement of smartphones. The training
programmes included agriculture, dairy and vermicomposting, agriculture equipment service and repair,
dress designing and sandstone cutting, mobile phone servicing and electrical home appliances.
Expect 5-10% volume growth in FY18; GST uncertainty may impact: Dabur (#) (Rs.284, -1%)
Dabur India reported disappointing set of numbers this quarter. India volumes grew 2.4% which was a
material recovery over the 5% decline in Q3, but its international business is still under stress. In an
interview to media, Sunil Duggal, CEO of Dabur spoke about the Q4 performance and the outlook going
forward.
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Mahindra sales decline 6% to 39,357 units in Apr (Rs.1341, +1%)
Auto major Mahindra & Mahindra reported a 6% decline in total sales at 39,357 units in Apr. The company
had sold 41,863 units in the same month last year, the company said in a statement. In the domestic
market, sales were down 4% at 37,829 units last month compared to 39,357 units in Apr 2016. Exports
were down 39% at 1,528 units in Apr against 2,506 units in the same month last year. Sales of passenger
vehicles, including Scorpio, XUV500, Xylo, Bolero and Verito, were down 15% at 19,325 units compared to
22,655 units in the same month last year. Commercial vehicle sales were up 16% at 15,066 units in Apr
against 12,947 units in the year-ago period, M&M said. M&M President Automotive Sector Rajan Wadhera
said the company expects that the new financial year will bring in positive sentiments for the automotive
industry with the key demand drivers in place. "Factors such as the ongoing infrastructure development
initiatives, outlook for a normal monsoon and the expectation of a stable policy environment will fuel
growth in the coming days," he added. Home-grown auto major Mahindra and Mahindra reported a 22%
increase in total tractor sales at 26,001 units in Apr this year. The company had sold 21,386 units in the
same month last year. Exports during the month stood at 920 units as against 682 in the same month last
year, an increase of 35%, the company said. Mahindra and Mahindra President Farm Equipment Sector
Rajesh Jejurikar said: "We expect that the prediction of a normal monsoon coupled with the expectation of
good rabi crop will boost tractor demand in the coming months.
Ashok Leyland (#) sales decline 30% to 7,083 units in Apr (Rs.84, -2%)
Hinduja Group flagship Ashok Leyland reported a 30% decline in total sales at 7,083 units in Apr. The
company had sold 10,182 units in the same month last year. Sales of heavy and medium commercial
vehicles declined by 43% to 4,525 units last month as against 7,873 units in the year-ago period, the
company said in a statement. Light commercial vehicle sales rose by 11% to 2,558 units compared to 2,309
in Apr last year, it added.
Thermax gains on export order win worth USD 157 mn (Rs.1028, +1%)
Shares of Thermax gained on export order win worth USD 157 mn. The company has won export contracts
of approximately USD 157 mn from a leading African conglomerate to supply 4 utility boilers, 8 heat
recovery steam generators, and 2 flue gas steam generators for its refinery and petrochemical project
coming up in Nigeria. The contract includes design, engineering, procurement, manufacturing and testing,
and supervision and commissioning of these equipment at the site. M.S. Unnikrishnan, MD and CEO of
Thermax said, “Thermax has proven experience of executing projects in Africa, and we are happy to receive
this repeat order from the customer which is a reflection of the goodwill and trust we are gaining in the
continent.” The company’s equipment is for a grassroot 460000 BPSD petroleum refinery and 600000 TPA
polypropylene plant, the client is setting up in the Lekki Free Trade Zone of Nigeria. “We do not change our
earnings on back of this announcement as we already factor 15%/26% growth in consolidated order inflow
for FY18/19 and EPS growth of 33%/12% for FY18/19,” it added.
Maruti Suzuki (##) share price hits record high post stellar sales data in Apr (Rs.6706, +3%)
Maruti Suzuki share price hit fresh record high of Rs.6,700, following stellar auto sales data in Apr. The
country's largest car maker sold 1.51 lakh units in month gone by, a growth of 19.5% over 1.26 lakh units
sold in corresponding month of last year. The growth was entirely driven by domestic sales that grew by
23.4% to 1.44 lakh units on year-on-year basis. Export sales fell sharply by 29.4% to 6,723 units during the
month against 9,524 units in same month last year. Overall passenger vehicle sales in Apr was strong as the
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company sold 1.09 lakh passenger cars, a growth of 26.6% over a year-ago month while utility vehicles
sales increased 28.6% during the month, driven largely by Vitara Brezza. In light commercial vehicle
segment, the company sold 411 units in month gone by. Meanwhile, Maruti reported a 15.8% growth in
fourth quarter profit at Rs.1,709 crore compared with Rs.1,476.2 crore in same quarter last fiscal, aided by
better revenue growth of 20.4% YoY. It sold 4.14 lakh units in quarter ended Mar 2017, a growth of 15%
over 3.6 lakh units sold in same quarter last fiscal. Export increased 17.6% and domestic volumes grew by
15% year-on-year. The company expects volumes to grow in double-digits in FY18 and is on course to
achieve sales of 2 mn vehicles by 2020, as the economy would support growth.
Infosys (##) plans to hire 10,000 American workers, open 4 US tech centres (Rs.921, 0%)
IT services firm Infosys Ltd said late on Mon that it plans to hire 10,000 American workers in the next two
years and open four technology centres in the United States, starting with a centre this Aug in Indiana, the
home state of Vice President Mike Pence. The move comes at a time when Infosys and some of its Indian
peers such as Tata Consultancy Services and Wipro have become political targets in the United States for
allegedly displacing jobs of American workers by flying in foreign workers on temporary visas to service
their clients in the country. The IT service firms rely heavily on the H1-B visa programme, which President
Trump has ordered federal agencies to review. In a telephone interview with Reuters from Indiana, Infosys
CEO Vishal Sikka said his company plans to hire American workers in fields such as artificial intelligence. He
said the firm has already hired 2,000 American workers as part of a previous effort started in 2014. "When
you think about it from a U.S. point of view, obviously creating more American jobs and opportunities is a
good thing," Sikka said.
Kansai Nerolac (#) posts fall in Q4 net profit at Rs.116 cr (Rs.398, +1%)
Kansai Nerolac Paints reported a sharp fall in standalone net profit at Rs.116.17 crore in the Jan-Mar
quarter of the last fiscal. It had posted a net profit of Rs.619.32 crore in the corresponding period of 2015-
16. The company attributed sharp fall in profits in the fourth quarter of 2016-17 to exceptional gains from
sale of fixed assets in the year ago period. Its total income grew by 8.24% to Rs.1,085.98 crore during the
quarter under review, as against Rs.1,003.28 crore in the year-ago period, the company said in a BSE filing.
In 2015-16, the company had reported exceptional gain of Rs.535.34 crore due to sale of its Perungudi
fixed assets. Kansai Nerolac Paints Managing Director H M Bharuka said: "During the quarter, Kansai
Nerolac Paints continued to see strong double-digit volume and value growth in decorative (segments).
However, industrial demand has been subdued and in single digit". Bharuka cautioned that going forward,
input costs and availability can be a concern and will put pressure on costs. In a separate filing, the
company informed that its Board has recommended a normal dividend of Rs.2.50 per share and a special
dividend of Rs.0.50 per share for the fiscal.
Coal India (##) Apr 17' production slips 4.1% (Rs.275, -1%)
Coal India's coal production in Apr 2017 declined by 4.1% to 38.44 mn tonnes as compared to 40.09 mn
tonne produced in the comparable month of last year. But, coal offtake during the month under review
was up 6.6% at 45.29 mn tonne compared to offtake of 42.45 mn tonne in the Apr 2016, CIL sources said.
All figures are provisional. The miner slipped in its production target by 11.7%. The target was set at 43.58
mn tonne for the Apr 17'. Miner’s two subsidiaries –South Eastern Coalfields Limited (SECL) and Mahanadi
Coalfields (MCL) contributed majority of its monthly production by generating 10.10 mn tonnes and 10.28
mn tonnes of coal respectively. The company also achieved 91% of its off-take target of 49.51 mn tonnes
for the last month.
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Reliance Defence gets empowered group nod to exit CDR scheme (Rs.68, +5%)
Reliance Defence and Engineering (RDEL) said it has received CDR empowered group's approval to exit the
debt refinancing scheme. Reliance Infra-controlled RDEL has received approval from the CDR empowered
group (CDR EG) for exiting the CDR scheme. "As part of the refinancing scheme approved by the lenders,
the door-to-door tenure of RDEL's term loans stands extended to 18 years," the company said in a
statement. The consortium of lenders, led by IDBI, had agreed to the exit plan of RDEL with a longer
maturity period for loans worth about Rs.6,800 crore. Pursuant to the refinancing scheme, RDEL's existing
debt of about Rs.650 crore will also be converted into equity shares at a price of Rs.59.35 per equity share,
it said. Shareholders of RDEL by an overwhelming majority of 100% had already approved the issue of
equity shares to lenders by conversion of debt, at the extraordinary general meeting held on Mar 20, 2017.
"In line with the RBI approval, RInfra through its subsidiary has also increased its shareholding in RDEL to
nearly 31%," the company said. The approval by CDR EG makes RDEL eligible for participating in all future
contracts of the Navy. Now, RDEL and Larsen & Toubro are the only two private sector shipyards that will
compete with government-owned shipyards for prestigious contracts for making submarines, landing
platform dock (LPD) and corvette. Exiting CDR is also expected to provide increased financial manoeuvring
to the company. RDEL's current order stands at over Rs.5,300 crore from the Navy, the Coast Guard and
commercial vessels. Reliance Infra had acquired Pipavav Defence and Offshore Engineering Company in
March 2015, which was later renamed as Reliance Defence and Engineering. Immediately after the
acquisition, Reliance Group had announced its plans to exit CDR. The Reserve Bank of India (RBI) had also
given its nod to RDEL to exit the CDR package.
DCB Bank (#) raises Rs.379 cr via QIP (Rs.197, +7%)
Private sector lender DCB Bank said it has raised Rs.379 crore through qualified institutional placement
(QIP) to fund business growth. As of Mar 31, the bank's Capital Adequacy Ratio (CAR) stood at 13.76% (of
which Tier I capital was 11.87% and Tier II was 1.89%) as per Basel III norms, that is, before the QIP. The
promoter holding in the enhanced capital base of the bank now stands at approximately 15.04%, DCB Bank
said in a statement. "The capital raising is in line with the business plans. The bank is confident of achieving
steady growth in the coming years," it added.
Tata Teleservices fires 500-600 employees (Rs.9, +10%)
Tata Teleservices has fired between 500 and 600 employees to tide over difficult times in the hyper-
competitive telecom market. As many as 500-600 employees have been impacted by the lay offs in sales
and other related functions, two people familiar with the matter said. The lay-offs are across locations,
they said, adding that the severance package being offered to the employees impacted by the decision is
one month's salary for every year of service. An e-mail sent to Tata Teleservices did not elicit a response.
Sources in the company said that these are challenging times for the telecom industry. "What most of the
operators including Tata Telservices are doing is workforce rationalisation, to stay competitive in line with
the needs of the market," they added. The lay-offs comes at a time when the telecom industry has been
witnessing an intense tariff war triggered by the entry of Reliance Jio, whose disruptive positioning in the
market has left most of the telcos bleeding. The telecom operators are facing tremendous pressure on
revenue and profitability even as the industry's debt has soared to nearly Rs.4.6 lakh crore. Tata
Teleservices spearheads Tata Group’s presence in the Indian telecom market. The company, along with the
listed arm Tata Teleservices (Maharashtra) Ltd has presence in 19 telecom circles in the the country. It
offers integrated telecom solutions to its customers across wireline and wireless networks on platforms
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like GSM, CDMA and 3G. As per the data of Telecom Regulatory Authority of India (Trai), Tata's mobile
subscriber base stood at 51.2 mn as on Feb 28, 2017. The company has nearly 4.4% market share in the
country's total mobile subscriber base of more than 1.16 bn.
Chlor-Alkali biz to do well in 2018; agri biz depends on monsoon: DCM Shriram (Rs.375, +5%)
DCM Shriram posted a good set of earnings in Q4 as margins improved drastically with the sugar business
showing solid growth. In an interview to media, Ajay Shriram, Chairman & Senior MD of DCM Shriram
spoke about the results and his outlook for the company. He expects sugar and chlor-alkali business to do
well in FY18. However, agri-related business will depend on monsoon, he added.
9
Information Of Bulk Deals – 2nd May 2017 On BSE
Scrip Name Name Of Client BUY (B) / SELL (S)
Quantity Shares
Trade Price/ W Avg. Price
Bharatwire Aardee Multitrade Private Limited B 2,295,984 102
Bharatwire Cosmos Prime Projects Limited B 310,453 102
Bharatwire Gaji Mercantile Private Limited S 6,705,000 102.02
Bharatwire India Max Investment Fund Limited B 500,000 102
Bmbmumg Bhavnaben Vipulbhaibhai Thakker S 50,000 1.71
Bmbmumg Discovery Infoways Ltd B 70,000 1.71
Crowntours Indrajitsinh Mahendrasinh Rathod B 19,800 22.3
Escorp Geet Infracon Private Limited B 104,000 15.5
Escorp Sonal Mercantile Limited B 96,000 15.5
Escorp Yuva Trading Co Private Limited S 200,000 15.5
Fraser Manojkumar Ambalal Darji B 50,000 10.3
Fraser Maulikkumar Pradipbhai Shukla B 33,000 10.36
Fraser Ruben Chetty S 29,040 10.35
Fraser Shriti Bhatt S 39,147 10.37
Layla Charamsukh It Marketing Pvt Ltd S 170,468 58.57
Natplasti Swaran Financial Private Limited S 50,000 42
Novapub Epoch Mercantiles Pvt Ltd B 17,350 68.85
Novapub Error Account Hdfc Securities Ltd S 20,606 68.85
Pflinfotc Shiv Enterprises S 89,651 7.06
Rdbrl Nirmal Kumar Soni S 104,926 40.74
Rdbrl Sangeeta Maheshwari S 117,500 40.85
Rdbrl Tecknopoint Mercantile Co Private Limited B 169,208 41.04
Sal Dheeraj Kumar Lohia B 100,000 31.5
Sal Ishwar Enterprises S 300,000 31.5
Sal Litty Thomas B 92,500 31.5
Sal Om Prakash Chugh B 100,000 31.49
Sal Thar Commercial Finance Private Limited S 100,000 31.5
Simran Ragini Chetan Mehta S 22,202 67.81
Vippysp Sachin Suresh Dhoot S 44,414 48.94
Wwleath Abhishek Jain B 72,000 6.27
Wwleath Anju Jain B 388,286 6.25
Wwleath Arwa Umesh B 15,000 6.27
Wwleath Nilgiri Mercantiles Pvt.Ltd S 495,000 6.27
Wwleath Parag Jain B 78,000 6.26
Wwleath Praincy Jain B 27,000 6.27
Wwleath Punita Jain B 27,000 6.27
Wwleath Rakhee Chopra S 137,250 6.2
Wwleath Umesh Chamdia B 15,000 6.27
10
Information Of Bulk Deals – 2nd May 2017 On NSE
Scrip name Name of Client BUY (B) / SELL (S)
Quantity Shares
Trade Price/ W Avg. Price
Alchemist Ltd Antara India Evergreen Fund Ltd S 70000 18.78
Alchemist Ltd Plutus Terra India Fund S 70000 20.06
Amtekauto-Roll Sett Ancient Suppliers Private Limited S 2687200 40.42
Asl Industries Limited Amrutlal Gordhandas Thobhani B 96000 34.93
Asl Industries Limited Guiness Securities Limited B 100000 34.96
Asl Industries Limited Ram Ballabh Katta S 56000 34.95
Bharat Wire Ropes Ltd. Cosmos Prime Projects Limited B 1100000 102
Bharat Wire Ropes Ltd. Gaji Mercantile Private Limited S 2700000 102.05
Focus Lightg & Fixtrs Ltd Bijal Kishorchandra Madhani B 30000 138.19
Gyscoal Alloys Ltd Trilochan Corporate Services Private Limited B 1250000 10.38
HDIL Credit Suisse (Singapore) Ltd A/C Crdit Suisse (Sing S 2436095 90.24
Idfc Limited Frst State Invt Icvc-Stewart Invstrs Asia Pacific Ldr S 12263442 60.83
Infobeans Techno. Ltd. Kuber India Fund S 300000 69.6
Panache Digilife Limited Krunal Finvest- Nikesh Natavarlal Sheth S 32000 108.03
Sikko Industries Limited Armour Capital Private Limited S 88000 34.79
Sikko Industries Limited Dilipsinh Ranjitsinh Makwana B 88000 34.79
Sikko Industries Limited Shah Shirishbhai Ayan S 92000 35.48
Sikko Industries Limited Sureshbhai Bachubhai Usdadiya B 104000 35.43
Stampede Capital Ltd Jhaveri Trading And Investment Pvt Ltd B 2440000 20.36
Stampede Capital Ltd Usha Rani Meenavalli S 1500000 20.5
The Byke Hospitality Ltd Wasatch Advisors Inc. B 400000 212
Ujjivan Fin. Servc. Ltd. Ltd Kemnay Investment Fund S 1010555 361.68
11
Disclosures Under SEBI (Prohibition Of Insider Trading) Regulations, 2015
Company Name Name of Acquirer / Seller Securities Held pre Transaction
Securities Acquired / Disposed Number Value Transaction Type
Securities held post Transaction
Period
Crisil Ltd. Rajat Bahi 13816 (0.01) 4,000 7702705 Disposal 9816 (0.01) 27/04/2017 Mark
et
Crisil Ltd. Ramraj Pai 6747 (-) 6,747 13261047 Disposal (-) 28/04/2017 Mark
et
Godrej Industries Ltd. Prashant Deo 4505 (-) 500 262500 Disposal 4005 (-) 14/03/2017 Mark
et
Godrej Industries Ltd. Prashant Deo 4005 (-) 1,000 501600 Disposal 3005 (-) 16/03/2017
Godrej Industries Ltd. Prashant Deo 3005 (-) 57 28785 Disposal 2948 (-) 20/03/2017
Godrej Industries Ltd. Prashant Deo 2948 (-) 2,000 1005000 Disposal 948 (-) 27/03/2017
Jsw Steel Ltd. Jsw Steel Emplys Welfare Trust- Esop 10511590 (0.44) 89,050 17679379.01 Disposal 10422540 (0.44) 02/05/2017
Jsw Steel Ltd. Jayant Acharya 493620 (-) 20,000 2600000 Disposal 473620 (-) 28/04/2017
Jsw Steel Ltd. Vinod Nowal 550350 (-) 2,000 260000 Disposal 548350 (-) 26/04/2017
Lupin Ltd. Chetan Ramesh Mohite 3120 (-) 800 1069899.60 Disposal 2320 (-) 27/04/2017
Reliance Industries Ltd. Piyush Bhatt 27738 (-) 600 815736.54 Disposal 27138 (-) 13/04/2017
Reliance Industries Ltd. Piyush Bhatt 27138 (-) 300 421301.28 Disposal 26838 (-) 27/04/2017
Reliance Industries Ltd. Piyush Bhatt 26838 (-) 600 843798.00 Disposal 26238 (-) 28/04/2017
Greycells Education Limited Nowshir Engineer 256192 (3.24) 1,00,000 2875390 Disposal 156192 (1.98) 28/04/2017
Crestchem Ltd. Dipak Narendraprasad Patel 315362 (10.51) 100 Acquisition 315462 (10.51) 18/04/2017
Crestchem Ltd. Dipak Narendraprasad Patel 294862 (9.82) 100 Acquisition 294962 (9.83) 31/03/2017
Crestchem Ltd. Dipak Narendraprasad Patel 294962 (9.83) 19,500 Acquisition 314462 (10.48) 31/03/2017
Crestchem Ltd. Dipak Narendraprasad Patel 314462 (10.48) 350 Acquisition 314812 (10.49) 10/04/2017
Crestchem Ltd. Dipak Narendraprasad Patel 314812 (10.49) 450 Acquisition 315162 (10.51) 13/04/2017
Crestchem Ltd. Dipak Narendraprasad Patel 315262 (10.51) 100 Acquisition 315362 (10.51) 17/04/2017
Jaiprakash Associates Ltd. Prabodh V Vora 2250000 (0.09) 20,000 284000 Disposal 2250000 (0.09) 05/04/2017
12
Jaiprakash Associates Ltd. Prabodh V Vora 2230000 (0.09) 10,000 131500 Disposal 2230000 (0.09) 18/04/2017
Jaiprakash Associates Ltd. Prabodh V Vora 2220000 (0.09) 20,000 391000 Disposal 2220000 (0.09) 24/04/2017
Jaiprakash Associates Ltd. Prabodh V Vora 2200000 (0.09) 10,000 134500 Disposal 2200000 (0.09) 26/04/2017
Jaiprakash Associates Ltd. Prabodh V Vora 2190000 (0.09) 30,000 405500 Disposal 2190000 (0.08) 27/04/2017
Lokesh Machines Ltd. Bollineni Vijayalakshmi 314305 (1.84) 23,740 Disposal (1.70) 26/04/2017
Gss Infotech Ltd. Madhukar Sheth 1645143 (9.71) 16,45,143 41050038.41 Disposal (-) 24/04/2017
Srs Ltd. Btl Holding Company Ltd 110239206 (39.57) 7,50,207 2719458 Disposal 109488999 (39.30) 27/04/2017
Srs Ltd. Btl Holding Company Ltd 109488999 (39.30) 9,00,626 3209142 Disposal 108588373 (38.98) 28/04/2017
Apl Apollo Tubes Ltd. Bhanu Pratap Singh 1250 (-) 1,150 1393500 Disposal 100 (-) 25/04/2017
Advanced Enzyme Technlges Ltd Satish B Pagar 6700 (0.03) 3,700 7718200 Disposal 3000 (0.02) 28/04/2017
13
Rating Scale This is a guide to the rating system used by our Institutional Research Team. Our rating system comprises of six rating categories, with a corresponding risk rating.
Risk Rating Risk Description Predictability of Earnings / Dividends; Price Volatility
Low Risk High predictability/ Low volatility
Medium Risk Moderate predictability / volatility
High Risk Low predictability/ High volatility
Total Expected Return Matrix Rating Low Risk Medium Risk High Risk
Buy Over 15 % Over 20% Over 25%
Accumulate 10 % to 15 % 15% to 20% 20% to 25%
Hold 0% to 10 % 0% to 15% 0% to 20%
Sell Negative Returns Negative Returns Negative Returns
Neutral Not Applicable Not Applicable Not Applicable
Not Rated Not Applicable Not Applicable Not Applicable
Please Note
Recommendations with “Neutral” Rating imply reversal of our earlier opinion (i.e. Book Profits / Losses).
** Indicates that the stock is illiquid With a view to combat the higher acquisition cost for illiquid stocks; we have enhanced our return criteria for such stocks by five percentage points.
“Desk Research Call” is based on the publicly available information on the companies we find interesting and are quoting at attractive valuations. While we do not claim that we have compiled information based on our meeting with the management, we have taken enough care to ensure that the content of the report is reliable. Although we have christened the report as “Desk Research Calls” (DRC), we intend to release regular updates on the company as is done in our other rated calls.
For any information or suggestion, please contact the below mentioned…
Nishita Shah ([email protected])
Sushil Financial Services Private Limited Member BSE: SEBI Regn.No. INB/F010982338 | Member NSE: SEBI Regn.No.INB/F230607435.
Office: 12, Homji Street, Fort, Mumbai 400 001. Phone +91 22 4093 6000 Fax +91 22 2266 5758
“Research Analyst – SEBI Registration No. INH000000867”
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