Kotak Mahindra Bank Q4 net profit at Rs.1055 crore

Gross NPA came in at 2.36% as against 2.3% qoq. The Board of Directors of the Bank at its meeting held on May 11, 2016, has recommended dividend of Rs.0.50 paise per share.

Kotak Mahindra Bank Q4 net profit came in at Rs.1055 crore.

Gross NPA was at 2.36% as against 2.3% qoq.

The Board of Directors of the Bank at its meeting held on May 11, 2016, has recommended dividend of Rs.0.50 paise per share.

Kotak Mahindra Bank Ltd is currently trading at Rs. 732.15, up by Rs. 10.65 or 1.48% from its previous closing of Rs. 721.5 on the BSE.

The scrip opened at Rs. 722 and has touched a high and low of Rs. 734.7 and Rs. 715.7 respectively. So far 2242465(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 132367.14 crore.

The BSE group 'A' stock of face value Rs. 5 has touched a 52 week high of Rs. 744.45 on 21-Jul-2015 and a 52 week low of Rs. 586.5 on 29-Feb-2016. Last one week high and low of the scrip stood at Rs. 725 and Rs. 697 respectively.

The promoters holding in the company stood at 33.7 % while Institutions and Non-Institutions held 40.64 % and 25.66 % respectively.

The stock is currently trading above its 200 DMA.

Radico Khaitan plunges 3%

The company’s standalone revenue stood at Rs. 377.64 crore, up 9.97% yoy but down 5.8% qoq.

Radico Khaitan Ltd was lower by 3% at Rs. 89.The company’s standalone revenue stood at Rs. 377.64 crore, up 9.97% yoy but down 5.8% qoq.

The scrip opened at Rs. 89.9 and has touched a high and low of Rs. 90.15 and Rs. 87.7 respectively. So far 118356(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 1224.06 crore.

The BSE group 'B' stock of face value Rs. 2 has touched a 52 week high of Rs. 130.9 on 20-Nov-2015 and a 52 week low of Rs. 78.1 on 29-Jun-2015. Last one week high and low of the scrip stood at Rs. 93.8 and Rs. 86.95 respectively.

The promoters holding in the company stood at 40.46 % while Institutions and Non-Institutions held 39.08 % and 20.46 % respectively.

The stock is currently trading below its 200 DMA.

India signs revised tax treaty with Mauritius

The Protocol for amendment of the Convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and capital gains between India and Mauritius was signed by both countries at Port Louis, Mauritius

The Protocol for amendment of the Convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and capital gains between India and Mauritius was signed by both countries today at Port Louis, Mauritius. The key features of the Protocol are as under:

Source-based taxation of capital gains on shares: With this Protocol, India gets taxation rights on capital gains arising from alienation of shares acquired on or after 1st April, 2017 in a company resident in India with effect from financial year 2017-18, while simultaneously protection to investments in shares acquired before 1st April, 2017 has also been provided. Further, in respect of such capital gains arising during the transition period from 1st April, 2017 to 31st March, 2019, the tax rate will be limited to 50% of the domestic tax rate of India, subject to the fulfillment of the conditions in the Limitation of Benefits Article. Taxation in India at full domestic tax rate will take place from financial year 2019-20 onwards.

Limitation of Benefits (LOB): The benefit of 50% reduction in tax rate during the transition period from 1st April, 2017 to 31st March, 2019 shall be subject to LOB Article, whereby a resident of Mauritius (including a shell / conduit company) will not be entitled to benefits of 50% reduction in tax rate, if it fails the main purpose test and bonafide business test. A resident is deemed to be a shell/ conduit company, if its total expenditure on operations in Mauritius is less than Rs. 2,700,000 (Mauritian Rupees 1,500,000) in the immediately preceding 12 months.

Source-based taxation of interest income of banks: Interest arising in India to Mauritian resident banks will be subject to withholding tax in India at the rate of 7.5% in respect of debt claims or loans made after 31st March, 2017. However, interest income of Mauritian resident banks in respect of debt-claims existing on or before 31st March, 2017 shall be exempt from tax in India.

The Protocol also provides for updation of Exchange of Information Article as per international standard, provision for assistance in collection of taxes, source-based taxation of other income, amongst other changes.

Major impact: The Protocol will tackle the long pending issues of treaty abuse and round tripping of funds attributed to the India-Mauritius treaty, curb revenue loss, prevent double non-taxation, streamline the flow of investment and stimulate the flow of exchange of information between India and Mauritius. It will improve transparency in tax matters and will help curb tax evasion and tax avoidance. At the same time, existing investments, i.e. investments made before 1.4.2017 have been grand-fathered and will not be subject to capital gains taxation in India.

NTPC gains 2%; commences commercial operation of Kunta ultra mega solar project

The company has announced that consequent upon testing and commissioning, 200 MW capacity (4X50 MW) of NP Kunta Ultra Mega Solar Power Project Stage-I at Anantapuram is declared on commercial operation w.e.f. 00:00 Hrs of May 09, 2016.

NTPC stock was up by 25 at Rs. 143. The company has announced that consequent upon testing and commissioning, 200 MW capacity (4X50 MW) of NP Kunta Ultra Mega Solar Power Project Stage-I at Anantapuram is declared on commercial operation w.e.f. 00:00 Hrs of May 09, 2016.

The scrip opened at Rs. 140.5 and has touched a high and low of Rs. 143.5 and Rs. 139.5 respectively. So far 871666(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 115972.39 crore.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 148.9 on 29-Dec-2015 and a 52 week low of Rs. 107.2 on 25-Aug-2015. Last one week high and low of the scrip stood at Rs. 144.7 and Rs. 136.5 respectively.

The promoters holding in the company stood at 69.96 % while Institutions and Non-Institutions held 27.76 % and 2.29 % respectively.

The stock is currently trading above its 100 DMA.

Asian Paints: robust Q4 performance expected

IIFL estimates the company’s net profit to surge to Rs.500 crore at 46.6% yoy and 7.9% qoq.

Asian Paints, one of the leading manufacturers of decorative paints in India, will announce its financial results on May 11 for the fourth quarter ended March 31, 2016.

IIFL estimates the company’s net profit to surge to Rs.500 crore at 46.6% yoy and 7.9% qoq.  
 
As per IIFL’s forecast, the company’s net revenue for Q4 FY16 is expected to soar to Rs.3,944 crore at 11.6% yoy; however, the same is likely to fall 5.2% qoq.      

Operating Profit Margin is likely to be at 18.1%, with a yoy increase of 233 bps.

Our preview coverage universe of 374 companies, representing ~75% of India’s equity market cap is expected to report 4.2% yoy drop in net profit in Q4 FY16. On a qoq basis, profits will rise by 17% on account of low base of preceding two quarters, which had witnessed sequential PAT declines.

Other key quarterly results on May 11 include Apollo Tyres, Chambal Fertilizers, Gulf Oil, Havells India, Indian Bank, Oracle Financial, Oriental Bank of Commerce, Siti Cable, South Indian Bank, TD Power Systems, TVS Srichakra, and Vakrangee.

Stock view:

Asian Paints Ltd ended at Rs. 898.65, down by Rs. 7.5 or 0.83% from its previous closing of Rs. 906.15 on the BSE.

The scrip opened at Rs. 901.1 and touched a high and low of Rs. 908.5 and Rs. 893.75 respectively. A total of 1083790(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 86198.51 crore.

The BSE group 'A' stock of face value Rs. 1 touched a 52 week high of Rs. 924.65 on 05-Aug-2015 and a 52 week low of Rs. 693 on 16-Jun-2015. Last one week high and low of the scrip stood at Rs. 913.4 and Rs. 861.95 respectively.

The promoters holding in the company stood at 52.79 % while Institutions and Non-Institutions held 27.07 % and 20.14 % respectively.

The stock traded above its 50 DMA.

Rupee slips further; opens at 66.80/$

The rupee opened lower by 13 paise at 66.80/$ against US Dollar on Tuesday as against the previous close of 66.67/$.

The Indian rupee opened lower by 13 paise at 66.80/$ against US Dollar on Tuesday as against the previous close of 66.67/$. Indian rupee exhibited weakness, as US dollar persisted with the strength against the major currencies. There has been strong rebound in US dollar particularly against Japanese Yen. Euro has also retreated from the recent highs. Resilience in US dollar was at lower levels wasquite expected, given the divergent monetary policy between US and other developed economies (EU & Japan).

Meanwhile, Indian rupee can weaken further in the short run, deriving cues from concerns emanating from revision in the bilateral tax treaty between India and Mauritius. In this respect, India will levy capital gains tax on investments sourced from Mauritius beginning from April 1, 2017. The tax will be imposed at half of the domestic rate until March 31, 2019.

On Tuesday, the Indian currency ended lower by 9 paise at 66.67/$. The local unit had hit a high of 66.99 and a low of 67.05. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.72 and for Euro stood at 75.95. The RBI’s reference rate for the Yen stood at 61.35; reference rate for the Great Britain Pound (GBP) stood at 96.1069.

Opening Bell - Sensex falls over 300 points

At 9:15 AM, the S&P BSE Sensex is trading at 25,413 down 348 points, while NSE Nifty is trading at 7,783 down 101 points.

At 9:15 AM, the S&P BSE Sensex is trading at 25,413 down 348 points, while NSE Nifty is trading at 7,783 down 101 points.

US stock indices advanced on Tuesday, with the Dow and the S&P 500 logging their best one-day percentage gains in two months. Kotak Mahindra Bank, Apollo Tyres, Asian Paints, Havells India, Oriental Bank Of Commerce and Indian Bank are among the results scheduled for the day.

Reserve Bank of India (RBI) Governor Raghuram Rajan said on Tuesday that he had doubts that "helicopter money" would be successful if adopted by developed world central banks.
Helicopter money refers to the free cash given directly to people to spend and stimulate economic growth. Rajan said that the effectiveness of helicopter money was far from proven. "It is not absolutely clear that throwing the money out of the window, or targeted cheques to beneficiaries...will be politically feasible in many countries, or produce economically the desired effect," he said during a lecture at the London School of Economics (LSE) on Tuesday.

The Bharatiya Janata Party (BJP) led government in Maharashtra will launch infrastructure projects worth INR 1 lakh crore (US$15 billion) during the next one year, reports a business daily.

The Government's ambitious port expansion plan is likely to face hurdles, as domestic dredging companies are finding it tough to raise funds, reports a business daily.

Asian stocks trade lower; Singapore Nifty down 1.6%

Asian stock market are trading lower on Wednesday after the Japanese yen strengthened and crude oil prices slipped in Asian trades.

Asian stock market are trading lower on Wednesday after the Japanese yen strengthened and crude oil prices slipped in Asian trades. The Australian market is advancing in a broad-based rally, following the positive lead overnight from Wall Street and a rebound in crude oil as well as other commodity prices.

China’s Shanghai Composite is currently trading 0.05% higher at 2,833.93 points. South Korea’s Kospi index ​is ​at 1,973.42 points (down 0.46%) and Indonesia’s Jakarta Composite ​is ​at 4,772.53 points (up 0.20%).

Taiwan’s Taiex at 8,147.90 points (down 0.10%), Singapore’s Straits Times at 2,730.49 points (down 0.39%), Hong Kong’s Hang Seng at 20,106.43 points (down 0.68%), Thailand’s SET Composite at 1,389.93 points (down 0.01%) and Singapore Nifty at 7,790 points (down 1.66%).

US stock indices advanced on Tuesday, with the Dow and the S&P 500 logging their best one-day percentage gains in two months. The Dow Jones Industrial Average surged by 222.44 points, or 1.3%, to end at 17,928.35. The S&P 500 index climbed 25.70 points, or 1.3%, to close at 2,084.39, with all 10 main sectors closing higher. Energy, Materials and Industrials led the gains. New York Federal Reserve President William Dudley spoke in Zurich on Tuesday morning, saying that he would like to see more currencies achieve reserve status as that could strengthen the financial system.

Brazil’s benchmark Bovespa stock index gained 3.8% and the country’s currency jumped after impeachment proceedings against President Dilma Rousseff came back on track, fuelling optimism that a new pro-market administration could take over on Thursday.

Top 16 stocks in focus today: Tata Motors, Asian Paints, Yes Bank

Check out the companies which will be in focus during trade today based on recent and latest news developments.

Tata Motors: Tata Motors Group global wholesales in April 2016, including Jaguar Land Rover, were at 81,333 nos., higher by 5%, over April 2015.

Asian Paints: Asian Paints will announce its Q4 numbers today. IIFL estimates the company’s net profit to surge to Rs.500 crore at 46.6% yoy and 7.9% qoq.  

Apollo Tyres: The company will announce its Q4  results today. IIFL estimates the company’s net profit to fall to Rs.299 crore at 2.6% yoy, but increase 7.2% qoq.

SKF India: SKF India, auto technology, services and solutions provider, reported standalone net profit of Rs.51.18 crore for the quarter ended March 31, 2016, registering decline of 0.12% yoy and 11.97% qoq.

Telecom stocks: Telecom stocks will be in focus as the Supreme Court to pronounce verdict on the important call-drop penalty today at 11 am.

EID Parry: The company has posted a 39.8% decline in its consolidated net profit at Rs.39.74 crore for the March quarter. 

Radico Khaitan: The company’s standalone revenue stood at Rs. 377.64 crore, up 9.97% yoy but down 5.8% qoq.

YES Bank: Yes Bank has announced that it is seeking shareholder nod to raise up to Rs. 10,000 crore.

Ruchi Soya Industries: The Rs. 26,000-crore Ruchi Soya Industries Ltd. has decided to extend its second brand 'Mahakosh' to soya meals, reports a business daily. Mahakosh will target the mass segment, says the paper.

Mangalore Refinery & Petrochemicals Ltd: Mangalore Refinery & Petrochemicals Ltd (MRPL) is sourcing petrol blend from Paradip refinery of Indian Oil Corporation (IOC) to make up for the shortfall of petrol in Karnataka following the shutdown of its phase-III units, reports a business daily.

JSW Steel: JSW Steel stated that as part of company's growth strategy, the company evaluates several opportunities ​​including the current opportunity of UK steel facilities. It is premature to add any further at this stage​.​

Zee Entertainment: Zee Entertainment Enterprises, India's top entertainment company, reported consolidated net profit of Rs.260.61 crore for the quarter ended March 31, 2016, registering growth of 12.93% yoy, but decline of 5.23% qoq. 

NTPC: NTPC Ltd has announced that consequent upon testing and commissioning, 200 MW capacity (4X50 MW) of NP Kunta Ultra Mega Solar Power Project Stage-I at Anantapuram is declared on commercial operation w.e.f. 00:00 Hrs of May 09, 2016.

SML ISUZU: The company’s standalone revenue stood at Rs. 318.07 crore, down 1.08% yoy but up 63.81% qoq.

Prism Cement: The company has entered into a Supply Agreement with ECO Cements Limited (‘ECL’), Kolkata in terms of which ECL will manufacture and supply cement to the Company as per the Company’s quality and other specifications.

Century Plyboards (India): Century Plyboards (India), plywood and veneer manufacturers, reported standalone net profit of Rs.40.52 crore for the quarter ended March 31, 2016, registering decline of 15.54% yoy and 2.59% qoq.

Infrastructure Leasing & Financial Services Ltd: The company is seeking to raise as much as US$900 million from listing trusts comprising road & power assets later this year, reports a business daily.

Kaveri Seed Company: Kaveri Seed Company, country's leading seed producer, reported consolidated net loss of Rs.7.45 crore for the quarter ended March 31, 2016. However, it had reported net profit of Rs.1.25 crore in the corresponding quarter of the previous year and Rs. 9.23 crore in the preceding quarter.