Netweb Technologies' Q3 Profit Rises 16% to ₹30.3 Cr

Netweb Technologies' Q3 Profit Grows 16% to ₹30.3 Crore

Third Quarter Financial Performance

Netweb Technologies, an Indian IT server manufacturer, reported a 16.56% increase in profit, reaching ₹30.32 crore for the third quarter ending December 31, 2024. This growth was driven by rising demand for artificial intelligence projects. The company had reported a profit of ₹26 crore in the same period last year.

Revenue Growth

Revenue from operations saw a significant rise of approximately 32%, reaching ₹334 crore during the reported quarter, compared to ₹253.4 crore in the December quarter of the previous fiscal year. The company expressed satisfaction with achieving its highest quarterly income and profit after tax (PAT).

Strategic Growth Initiatives

Sanjay Lodha, Chairman and Managing Director of Netweb Technologies, emphasized their strategic growth efforts. He stated, "We are delighted to report that we recorded our highest quarterly Income and PAT. In line with our growth strategy, export revenue contribution stood at 9.0% in Q3 FY25, reflecting our efforts to expand the international market presence and capitalize on global opportunities."

AI and Market Expansion

Lodha noted that India's AI research ecosystem, supported by government initiatives and industry partnerships, presents substantial innovation potential. Netweb is strategically positioned to leverage these opportunities, focusing on high-performance computing (HPC), private cloud, and AI. Artificial intelligence has become a crucial revenue source for Netweb Technologies, contributing 14.7% to their revenue over nine months of FY25, a year-on-year growth of 136.3%.

Order Book

As of December 2024, Netweb Technologies holds an order book valued at ₹360 crore. This positions them well for continued growth and expansion in both domestic and international markets.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Mazda Announces 1:5 Stock Split; Record Date Jan 28

Mazda Announces 1:5 Stock Split; Record Date Set for January 28

Stock Split Details

Mazda Ltd., an industrial product manufacturing company, has announced a stock split in the ratio of 1:5. This move is expected to have a significant impact on its shareholders and the market. The company stated that each equity share with a face value of ₹10 will be split into five equity shares with a face value of ₹2 each.

Rationale Behind the Split

The stock split is designed to increase liquidity in the stock market and make the shares more affordable to a broader range of investors. This move potentially unlocks more value for existing and new shareholders. The decision was approved by shareholders through a postal ballot process.

Record Date

The official record date for the stock split has been set for January 28, 2025. Investors who hold Mazda shares as of this date will be entitled to receive the new shares in the 1:5 ratio.

Mazda Share Performance

At the close of Friday's trading, Mazda shares were priced at ₹1,970.00, an increase of 79.95 points or 3.90%. Over the past five days, the stock has gained 3.52%, with a monthly increase of 40.02%. On a yearly basis, the stock has appreciated by 28.52%, and over the last five years, it has surged by 308.38%. The stock's all-time increase is at an impressive 483%.

Market Capitalization and 52-Week Range

Mazda currently holds a market capitalization of ₹784.64 crore. The stock’s 52-week high is ₹2,144.40 and the 52-week low is ₹1,103.55, based on BSE data.

About Mazda Enterprises

Mazda Limited, founded in 1972 and headquartered in Ahmedabad, Gujarat, India, specializes in the manufacture of vacuum products, evaporators, pollution control equipment, and food products. The company operates through two primary segments: Engineering Products and Food Products. Mazda Limited has established itself as a leading entity in the global market by integrating advanced technologies, maintaining high-quality standards, and adopting a customer-centric approach.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Kotak Mahindra Bank Q3 Profit Rises 10% YoY to ₹3,305 Cr

Kotak Mahindra Bank Q3 Net Profit Rises 10% YoY to ₹3,305 Cr

Q3 Financial Results

Kotak Mahindra Bank announced its financial results for the quarter ending December 31, 2024, on Saturday. The bank's Profit After Tax (PAT) grew by 10% year-on-year to ₹3,305 crore, up from ₹3,005 crore in Q3FY24. For the nine-month period (9MFY24), PAT increased by 5% year-over-year to ₹10,168 crore from ₹9,648 crore.

Net Interest Income

Net Interest Income (NII) for the bank rose by 10% year-on-year to ₹7,196 crore in Q3FY25, compared to ₹6,554 crore in Q3FY24. For 9MFY25, NII totaled ₹21,058 crore, up from ₹19,084 crore in 9MFY24. The Net Interest Margin (NIM) for Q3FY25 reached 4.93%.

Fees and Operating Profit

Kotak Mahindra Bank's fees and services went up by 10% year-on-year to ₹2,362 crore in Q3FY25 from ₹2,144 crore in Q3FY24, and by 15% year-on-year to ₹6,915 crore in 9MFY25 from ₹5,998 crore in 9MFY24. The bank's operating profit grew 13% year-on-year to ₹5,181 crore from ₹4,566 crore in Q3FY24, and 10% year-on-year to ₹15,534 crore from ₹14,126 crore in 9MFY25.

Deposits and CASA Ratio

In Q3FY25, average total deposits grew by 15% year-on-year to ₹458,614 crore from ₹398,908 crore in Q3FY24. Average current deposits increased by 12% year-on-year to ₹66,589 crore, average savings deposits climbed by 1% year-on-year to ₹124,282 crore, and average term deposits jumped by 24% year-on-year to ₹267,743 crore. As of December 31, 2024, the bank's CASA ratio was 42.3%.

Asset Quality and Customer Base

On December 31, 2024, the Gross Non-Performing Asset (GNPA) was 1.50%, and the Net Non-Performing Asset (NNPA) was 0.41%. The Provision Coverage Ratio was 73%. The bank's standalone return on assets (ROA) for Q3FY25 (annualized) was 2.10%, compared to 2.20% in Q3FY24. The bank's customer base reached 5.2 crore as of December 31, 2024, up from 4.8 crore in the same period of the previous fiscal year.

Kotak Mahindra Bank's consolidated PAT climbed 10% year-on-year to ₹4,701 crore in Q3FY25 from ₹4,265 crore in Q3FY24 and to ₹14,180 crore in 9MFY25 from ₹12,876 crore in 9MFY24. As of December 31, 2024, the book value per share was ₹769, and the consolidated net worth was ₹152,878 crore.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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RBL Bank Q3 Net Profit Plunges 86% to ₹33 Cr

RBL Bank's Q3 Net Profit Plummets 86% to ₹33 Crore

Significant Drop in Net Profit

RBL Bank Limited announced its financial results for the quarter and nine months ending December 31, 2024, on Saturday, January 18, 2025. The bank's standalone net profit for the December quarter saw a significant 86% year-on-year drop to ₹33 crore, compared to ₹233 crore for the same period last year.

Net Interest Income and Margins

In the reporting quarter, RBL Bank's net interest income (NII) increased by 3% year-on-year to ₹1,585 crore, while its net interest margins (NIMs) were 4.90%. Other income saw a substantial 38% year-on-year increase to ₹1,073 crore in Q3 of FY25, and a 29% year-over-year increase to ₹2,806 crore in 9M FY25.

Deposit and CASA Growth

The bank's total deposits climbed 15% to ₹106,753 crore, and CASA deposits increased 12% year-on-year to ₹35,022 crore. The CASA ratio during Q3FY25 was 32.8%.

Advances and Asset Quality

RBL Bank's retail advances book increased 19% year-on-year to ₹55,199 crore, while its net advances book climbed 13% year-on-year to ₹90,412 crore. On a year-on-year basis, the bank's gross non-performing asset (NPA) ratio improved by 20 basis points to 2.92% from 3.12%, while its net non-performing asset (NPA) ratio improved by 26 basis points to 0.53% from 0.80%.

Management Commentary

Mr. R Subramaniakumar, MD & CEO of RBL Bank, noted caution about short-term challenges from the macroeconomic environment affecting certain unsecured lending segments. He stated that the bank continues to demonstrate strong growth in secured retail & commercial banking, along with granular deposits. He also mentioned that the core business remains robust and the bank is focused on growth with profitability and a customer-centric approach.

Other Financial Highlights

In Q3 FY25, the bank's operating expenses climbed 7% YoY to ₹1,662 crore, and in 9M FY25, they increased 11% to ₹4,941 crore. RBL Bank's net total income expanded 14% year-on-year to ₹2,658 crore in Q3 FY25 and increased 17% year-on-year to ₹7,706 crore in 9M FY25. The operating profit improved 30% year-on-year to ₹997 crore in Q3 FY25 and increased 29% year-on-year to ₹2,766 crore in 9M FY25.

Branch Network

As of December 31, 2024, RBL Bank had 2,011 touchpoints, which include 1,453 business correspondent branches and 558 bank branches. A wholly owned subsidiary of the Bank, RBL Finserve Limited, operates 1,145 of the business correspondent branches.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Top Industrial Stocks to Watch for Strong Q4 Performance

7 Industrial Stocks Poised for Strong Performance in Q4 FY25

Market Overview

Despite the completion of recent elections, government capital expenditure and project awards remain slow. The National Highways Authority of India (NHAI) continues to postpone bids, despite a strong project pipeline. Significant BOT projects in Assam and Madhya Pradesh have faced submission delays, while water projects under JJM have also stalled. This has impacted the revenue growth of EPC players in Q3 FY25.

Renewable Energy and Capital Goods Sectors

The renewable power sector is emerging as a key long-term investment theme, along with defense and power security. High-voltage direct current (HVDC) projects worth ₹1.2 trillion are expected over the next two years, with a split between EPC (45%) and equipment players (55%). Underinvestment in T&D equipment capacity has created strong pricing power for incumbents, with robust local and export demand.

Financial Performance

The EPC/infrastructure sector is expected to show moderate growth, with a 1.5% YoY increase in revenue to ₹198.2 billion, and declines in EBITDA and PAT. In contrast, the capital goods sector is projected to see stronger performance with 18% YoY revenue growth to ₹915.7 billion. The second half of FY25 is expected to see improved execution, supported by asset monetization and robust balance sheets.

Stocks Expected to Perform Well in Q4 FY25

Here are the stocks that HDFC Securities expects to perform well in Q4 FY25:

Capital Goods Stocks

1. Larsen & Toubro (L&T): A leading Indian multinational with expertise in construction, engineering, IT, power, defense, and financial services. The stock is up 1.79% for the day, has decreased by 6.21% over the past month, and has not changed over the last year, but has returned 173.8% over the last five years.
2. Cummins India: A subsidiary of Cummins Inc., manufacturing diesel and natural gas engines for industries like mining, construction, and agriculture. The stock is up 0.28% for the day, has decreased by 17.24% over the past month, and has risen by 45.9% over the last year, with a 406% increase over the last five years.
3. Kalpataru Power Transmission (KPTL): Specializes in power transmission and distribution projects, expanding into infrastructure and real estate. The stock is down 1.70% for the day, has decreased by 11.68% over the past month, and has risen by 60.62% over the last year, with a 121% increase over the last five years.
4. Steel Authority of India Limited (SAIL): A leading government-owned steel manufacturer in India. The stock is up 0.94% for the day, has decreased by 10.39% over the past month, and has fallen by 4.04% over the last year, with a 113% increase over the last five years.

Infrastructure Stocks

1. HG Infra Engineering: Known for its civil engineering expertise, particularly in highways and bridges. The stock is up 0.46% for the day, has decreased by 7.7% over the past month, and has risen by 53.2% over the last year, with a 391% increase over the last five years.
2. PNC Infratech: Focuses on road and highway construction. The stock is up 1.57% for the day, has decreased by 5.56% over the past month, and has fallen by 25.17% over the last year, but has increased by 56.86% over the last five years.
3. NCC Limited: A key player in India’s construction industry, engaged in civil engineering and infrastructure projects. The stock is up 1.86% for the day, has decreased by 19.37% over the past month, and has risen by 30.73% over the last year, with a 322.8% increase over the last five years.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Elon Musk Urges Enhanced India-US Trade Amid Positive Trends

Elon Musk Advocates for Enhanced India-US Trade Partnership

Musk Hosts Indian Business Leaders

Elon Musk, the prominent tech billionaire, recently hosted a group of leading Indian business figures at his SpaceX Starbase facility in Texas. During this meeting, Musk expressed optimism about the growing ties between India and the United States. He advocated for stronger trade relations between the two countries, emphasizing the potential benefits of reducing trade barriers to boost commerce.

SpaceX Visit and Collaboration

The delegation, organized by the India Global Forum (IGF), visited SpaceX's advanced space exploration facilities and witnessed the successful launch of SpaceX's Starship Flight 7. This visit marked IGF's expansion into the US. Musk highlighted the potential for deeper collaboration between India and the US, particularly in technology and space exploration sectors.

Focus on Technology and Innovation

Musk engaged with Indian business leaders from various sectors, discussing India's growing influence in global innovation. He described India as "one of the ancient civilizations and a very great and very complex one." The meeting underscored India's role in shaping a sustainable and technology-driven future.

Participating Business Leaders

The IGF delegation included notable figures such as Prashant Ruia from Essar Capital, Jay Kotak from Kotak811, Ritesh Agarwal from OYO, Kalyan Raman from Flipkart, Aryaman Birla from Aditya Birla Management Corporation Private Limited, Nilesh Ved from Apparel Group, and author Amish Tripathi. Their visit followed discussions with members of the incoming Trump administration and key US stakeholders.

Strengthening Bilateral Ties

The dialogue aimed to explore opportunities in digital infrastructure, technology, innovation, and foreign investment. It also focused on strengthening bilateral collaboration between India and the US. Jacob Helberg, designated Under Secretary of State for Economic Growth, Energy, and the Environment in the new American administration, was also involved in these discussions.

India-US Collaboration

Manoj Ladwa, Founder of IGF, emphasized the importance of collaboration between India and global pioneers. He stated that meaningful dialogue is crucial as the world's most powerful democracy transitions to a Trump presidency. Ladwa believes India’s rise presents limitless opportunities for powerful partnerships. This meeting took place just days before Donald Trump's inauguration as US President for a second term. Musk is proposed to play a role in Trump's top team as co-chair of the Department of Government Efficiency (DOGE). The event signifies the growing importance of collaboration between India and global leaders in addressing defining challenges.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Electric Vehicles Dominate Bharat Mobility Global Expo 2025

Electric Vehicles Take Center Stage at Bharat Mobility Global Expo 2025

EVs Dominate Opening Day

The Bharat Mobility Global Expo 2025 opened with a significant focus on electric vehicles (EVs). Key players in the passenger vehicle market, Maruti Suzuki and Hyundai Motor India, announced their plans to expand their presence in the new energy vehicle sector. Maruti Suzuki unveiled its first battery electric vehicle, the e VITARA, which will be exported to over 100 countries. Meanwhile, Hyundai launched the Creta Electric in India, priced at ₹17.99 lakh ex-showroom.

Eco-Friendly Technology on Display

Eco-friendly technology was a central theme of the expo, with companies like Tata Motors, Skoda, JSW MG Motor, and Kia India showcasing their latest electric vehicle offerings. Luxury carmakers, including Mercedes-Benz, BMW, and Porsche, also presented their new electric models. In the two-wheeler segment, Suzuki Motorcycle India launched its first electric scooter, the e-Access, while Hero MotoCorp displayed its ethanol-based flex-fuel motorcycle, the Hero HF Deluxe.

Maruti Suzuki's Electric SUV

Toshihiro Suzuki, representative director and president of Suzuki Motor Corporation, highlighted plans to export the electric SUV, e VITARA, to regions including Europe and Japan. The company aims to make India a global production hub for this model. He stated that production will commence in the coming months at Maruti Suzuki's Gujarat plant. Hisashi Takeuchi, Managing Director and CEO of Maruti Suzuki India, also expressed the company's ambition to become India's leading electric vehicle producer within a year.

Hyundai's EV Infrastructure Plans

Hyundai Motor India plans to establish 600 public fast charging stations across India over the next seven years to support EV adoption. Unsoo Kim, Managing Director of Hyundai Motor India, stated that the company is building a robust EV ecosystem, with over 50 charging stations already set up across key cities and national highways.

Luxury EV Segment

Tata Motors showcased 18 new cars and SUVs, including the Harrier.ev, and announced the all-new Tata Sierra. Shailesh Chandra, Managing Director of Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility, noted that the company has sold over 2 lakh EVs in India. JSW MG Motor India expanded its portfolio with the MG Cyberster and MG M9 through its luxury channel MG Select. Kia India unveiled the new Kia EV6. Skoda Auto India presented eight ICE and EV models, including the Elroq and Vision 7S concepts. In the luxury segment, Mercedes-Benz launched its EQS Maybach SUV 680 Night Series at ₹2.63 crore and Maybach GLS 600 at ₹3.71 crore. BMW India introduced its first locally produced all-electric BMW X1 long-wheelbase SUV priced at ₹49 lakh. Porsche launched its new electric SUV Macan and updated Taycan sport saloon in India. The Macan BEV is available in three variants, priced between ₹1.22 crore and ₹1.69 crore. The Taycan comes in two trims, priced at ₹1.89 crore and ₹2.53 crore.

The expo highlighted a significant shift towards sustainable mobility solutions, with major automakers unveiling their latest electric vehicles. This trend emphasizes the increasing importance of eco-friendly technology in the automotive industry, as companies work to meet the rising demand for cleaner transportation options.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Budget 2025: Parliament Session to Start Jan 31; Key Details

Budget 2025: Parliament Session for Union Budget FY26 to Commence January 31

Parliament Session Dates Announced

The dates for the Budget sessions in Parliament have been announced. The Parliamentary session will commence on January 31, 2025, and will conclude on April 4. The main Budget FY26 announcement is scheduled for February 1st. The session will be divided into two parts: the first session will run from January 31 to February 13, 2025, and the second will be from March 10 to April 4.

President's Address and Finance Minister's Presentation

President Droupadi Murmu will address a joint session of Parliament in the Lok Sabha Chamber on January 31, 2025, at approximately 11:00 AM in New Delhi. Following this, Finance Minister Nirmala Sitharaman will present her eighth Budget as FM on February 1st. She has now surpassed the record of former PM Morarji Desai for presenting the most Budgets in India, having delivered six annual budgets and two interim budgets.

Expectations for Union Budget 2025

Indranil Pan, Chief Economist at YES BANK, stated that managing fiscal numbers is not expected to be a significant challenge this year, citing the potential for another strong RBI dividend to support the government's fiscal consolidation plans. The focus of this budget is expected to be on driving both short-term and long-term structural growth. The Central government is likely to maintain its emphasis on capital expenditure, given the slow pace of private investment. Some relief for lower-income groups may also be included. Efforts will be directed toward improving employment generation schemes and scaling up the internship program from last year. The agricultural sector will also need attention, particularly in strengthening the value chain and improving productivity.

Meanwhile, ICRA anticipates a fiscal deficit target of 4.5% of GDP for FY2026, compared to the 4.8% expected for FY2025 (RBE: 4.9% of GDP), with a capital expenditure growth of 12-13%, amounting to approximately ₹11 trillion. The FY2026 Union Budget should also emphasize capital expenditure, employment, skilling, and manufacturing capacity, while also adhering to fiscal consolidation.

What is the Union Budget?

The Union Budget is a financial statement released by the Indian government that accounts for its expenses in one fiscal year. It includes various documents providing a complete understanding of the government's finances, along with details of taxes levied by the government. All budget documents can be found on the Ministry of Finance's official website, as per HDFC Bank's website.

Key Budget Concepts

According to Kotak Securities, key concepts of the Budget include:

• Fiscal Deficit: The shortfall between the government's income and expenditure.
• Direct Taxes: Taxes imposed directly on citizens, such as income tax and corporate tax.
• Indirect Taxes: Taxes imposed on suppliers or manufacturers that are passed on to consumers, such as the Goods and Services Tax (GST).
• Non-Plan Expenditure: Expenditure on interest payments, defense, subsidies, police, pensions, and other services.
• Plan Expenditure: Expenditures on the Central Plan and Central Assistance to states and union territories.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Gold Prices in India: Weekly Outlook (Jan 19-25)

Mixed Trend in Gold and Silver Prices

Gold prices in India have continued their upward momentum this week, driven by better-than-expected US inflation data that has increased the likelihood of a rate cut by the US Federal Reserve. However, on Saturday, January 18, a mixed trend was observed in gold and silver prices. While 24K gold prices dipped by ₹1,600 per 100 grams, silver prices remained unchanged. Despite this dip, gold prices per 10 grams still remain above the ₹81,000 mark.

Gold Price Overview

In the week ahead, gold and silver are expected to trade within the ranges of ₹77,000-₹80,000 and ₹90,000-₹95,000, respectively. 24K gold prices in India decreased by ₹1,600 per 100 grams, settling at ₹8,11,100, while the 10 gram gold price dipped by ₹160 to ₹81,110. 22K gold prices slipped by ₹1,500 to ₹7,43,500 per 100 grams, with a decrease of ₹150 per 10 grams to ₹74,350. Additionally, 18K gold prices tumbled by ₹1,300 to ₹6,08,300 per 100 grams, and the 10-gram price is lower by ₹130 to ₹60,830.

Silver Price Overview

Silver prices remained unchanged on January 18, with 1 kg of silver priced at ₹96,500. However, in cities like Chennai, Hyderabad, and Kerala, silver prices have reached ₹1,04,000 per 1 kg.

MCX Gold and Silver Prices

MCX gold prices with February 2025 expiry were broadly flat on Friday, at ₹79,019 per 10 grams. MCX silver prices were marginally lower, at ₹91,504 per 1 kg.

Spot Gold Prices

According to Trading Economics data, spot gold prices traded around $2,710 per ounce on Friday, hovering near a one-month high and on track for a third consecutive weekly gain. Recent US economic data has rekindled hopes of potential rate cuts by the Federal Reserve.

Factors Driving Gold Prices

SMC Global Securities noted that gold recorded its third consecutive weekly gain due to US inflation data, raising expectations of further rate cuts by the Federal Reserve. On Thursday, gold surged over 1%, reaching its highest level since December 12, as weak US economic data pushed Treasury yields lower and pressured the dollar. Additionally, uncertainty surrounding President-elect Donald Trump's upcoming policies has also increased gold's appeal as a hedge against inflation and short-term volatility. Analysts believe his measures could further fuel inflation, supporting gold as a safe-haven asset.

Economic Indicators

The US Bureau of Labor Statistics reported that the Consumer Price Index (CPI) rose by 0.4% in December, up from 0.3% in November. Core CPI, excluding food and energy, rose 3.2% annualized, below expectations. Labor market softness was highlighted by initial jobless claims rising to 217,000 last week. These data points have reinforced expectations for 37 basis points of Fed rate cuts by year-end.

On COMEX, gold prices are hovering near $2,760, with a potential rally to $2,820 if this resistance is breached and sustained, or a decline to $2,680 if it fails. Silver is expected to trade between $29.10 and $32.50.

Weekly Outlook and Geopolitical Factors

In the week ahead, SMC’s note indicates that on MCX, gold may trade in the ₹77,500-₹80,000 range, while silver could range between ₹87,000 and ₹94,000. Furthermore, geopolitical tensions persist, adding to market uncertainty.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Cabinet Approves 687 MHz Spectrum Refarming for Mobile Services

Union Cabinet Approves Refarming of 687 MHz Spectrum to Boost Mobile Services

Spectrum Refarming for Enhanced Mobile Services

The Union Cabinet has approved the refarming of 687 MHz spectrum for mobile services. Telecom minister Jyotiraditya Scindia stated that further actions will be guided by a committee of secretaries established by Prime Minister Narendra Modi. Speaking at an event hosted by COAI, Scindia emphasized the need for 2,000 MHz of spectrum by 2030, with the recent decision increasing the availability of radiowaves to 1,587 MHz.

Efficient Spectrum Allocation

The government aims to allocate spectrum efficiently based on demand. The telecom sector has been advocating for 2,000 MHz in mid-bands, ranging from 1,000 MHz to 6,000 MHz. Scindia reassured that the industry's needs will be met without impediments. While the recent decision provides more spectrum, there is still a need to acquire roughly 300 Mhz.

Vision for a Telecom Product Nation

Scindia shared his vision of India becoming a telecom product nation by 2030. He is engaging with telecom majors and OEMs to explore the establishment of Telecom Manufacturing Zones (TMZ). Transformations in the sector are anchored on five pillars: policy, technology, and ease of doing business. The Prime Minister has also emphasized that telecom will drive economic progress, urging a shift from bureaucratic hurdles to a more supportive approach. The telecom ministry has formed six advisory groups to address stakeholder issues and drive economic growth.

Industry Reactions and Concerns

The Cellular Operators Association of India (COAI), representing major telecom players, welcomed the cabinet's decision, believing it will enhance 5G services nationwide. However, the Broadband India Forum (BIF) expressed dissatisfaction and urged reconsideration. BIF President TV Ramachandran argued that the 6 GHz band should be delicensed to align with global standards, citing that over 84 countries have already delicensed the lower 6 GHz band for unlicensed use.

Concerns Over Spectrum Allocation

Ramachandran warned that if the lower 6GHz spectrum is allocated for IMT, operators might not bid due to a lack of global ecosystem support, potentially resulting in no auction revenues. The phased release plan includes an initial auction of 320 MHz.

India's telecom product exports have seen a significant increase from ₹8,400 crore a decade ago to over ₹25,000 crore today. This growth underscores the sector's potential and ongoing efforts to meet industry demands while driving economic development through strategic initiatives and collaborations.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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India's Data Capacity to Quadruple by 2025 with New Subsea Cables

New Submarine Cables to Quadruple India's Data Capacity by 2025: Trai

Massive Boost in Data Capacity

India's data transmission capacity is poised for a significant increase by 2025, with new submarine cables expected to quadruple the current capacity. This was announced by Trai Chairman Anil Kumar Lahoti at the Digicom Summit. India currently has 17 international subsea cables across 17 landing stations. By the end of 2023, these cables had a total lit capacity of 180 terabits per second (TBPS) and an activated capacity of 132 TBPS.

Replacement of Older Cables

New systems are scheduled to replace older cables in 2025, which will enhance India’s data transmission capabilities with additional routes. Lahoti stressed that telecom services are critical in supporting the growth of the digital economy, which now contributes approximately 12% to India's GDP, and is expected to reach 20% by 2026-27.

Telecom Sector Growth and Digital Economy

The Indian telecom sector has seen substantial growth due to high data consumption and a large user base. This growth is supported by a conducive policy environment. Lahoti also highlighted that India is committed to promoting industry growth and digital connectivity, with the government aiming for a USD 1 trillion digital economy by 2027-28.

Expansion of User Base

India's telecom user base has grown to about 1.2 billion, including 944 million broadband users. A significant achievement is the 100-fold increase in rural broadband subscriptions over the past decade. Rural broadband connections now surpass urban ones in regions like Assam, Bihar, Himachal Pradesh, Odisha, and Uttar Pradesh East.

Broadband Connectivity and 5G Rollout

Lahoti acknowledged the efforts of telecom operators in extending 4G coverage to 97% of villages and providing 5G connectivity in over 99% of districts nationwide. This expansion is crucial in bridging the digital divide between urban and rural areas.

India's strategic position in the global submarine cable network enhances its connectivity with international markets. The activation of next-generation systems will further solidify this position, ensuring robust data transmission capabilities for the future. As India continues to develop its digital infrastructure, these advancements will play a key role in supporting economic growth and enhancing global connectivity.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Centre Slashes FCI Rice Price to ₹2,250 for States and Ethanol

Centre Reduces FCI Rice Price to ₹2,250 per Quintal for States and Ethanol Producers

Price Reduction Under OMSS

The Indian government has reduced the reserve price of rice from the Food Corporation of India (FCI) under the Open Market Sale Scheme (OMSS). The new price is ₹2,250 per quintal, a decrease of ₹550, for state governments and ethanol producers. This measure is intended to boost sales and support food security initiatives.

Purchase Limits and Validity

State governments and state-run corporations are now eligible to purchase up to 12 lakh tonnes of rice at this reduced rate, while ethanol distilleries can acquire up to 24 lakh tonnes. Previously, both categories had a reserve price of ₹2,800 per quintal. The revised pricing will remain effective until June 30, 2025.

Dual Objectives: Food Security and Ethanol Production

The OMSS policy aims to improve food security and ensure efficient rice distribution. The government stated that this decision reflects its commitment to helping states fulfill their welfare scheme responsibilities, while also promoting ethanol production.

Pricing for Private Traders and Cooperatives

Private traders and cooperatives will continue to pay ₹2,800 per quintal for FCI rice. However, central cooperatives such as Nafed, NCCF, and Kendriya Bhandar selling under the Bharat brand will pay a reduced price of ₹2,400 per quintal.

Purchase Guidelines and Restrictions

The sale of rice to states under OMSS is restricted to non-surplus regions that require additional supplies. Bharat brand rice sales are not allowed to private millers but are permitted for hostels, religious institutions, hospitals, and charitable organizations.

Ethanol Production and Rice Stocks

The Food Ministry has directed that the third cycle tender for approximately 110 crore litres of ethanol during the 2024-25 period should utilize FCI rice. Preference should be given to older rice stocks where possible.

Market Impact and Price Stabilisation

This revision comes as rice sales have been relatively low compared to wheat under the same scheme. This initiative aims to increase availability and stabilise prices in the open market. The FCI manages rice stocks through weekly e-auctions as part of this effort.

The government’s decision underscores its commitment to supporting states in meeting their welfare obligations while also encouraging ethanol production, and is expected to positively impact food security and market stability.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Hyundai to Install 600 EV Fast Charging Stations Across India

Hyundai Motor India to Deploy 600 Public Fast Charging Stations for EVs

Commitment to EV Ecosystem

Hyundai Motor India has announced plans to establish 600 public fast charging stations across the country over the next seven years. This initiative is designed to support the growing adoption of electric vehicles (EVs). The company also launched the Creta Electric in India on Friday, priced from ₹17.99 lakh ex-showroom.

Expanding Charging Network

Unsoo Kim, Managing Director of Hyundai Motor India, emphasized the company's dedication to building a strong EV ecosystem. He noted that over 50 charging stations are already operational in key cities and on national highways. The myHyundai app provides users access to more than 10,000 EV charging points throughout India.

Creta Electric's Launch

The introduction of the Creta Electric is expected to be a catalyst for EV growth in India. Kim believes this new model will contribute significantly to the segment's expansion. He positioned the vehicle as more than just an SUV, highlighting its innovative technology, safety, comfort, and sustainable driving experience.

Strategic EV Product Lineup

Kim also discussed Hyundai’s strategic approach to its EV product lineup, offering diverse options for Indian consumers, including petrol, diesel, CNG, and electric powertrains. Hyundai is equipped to produce all powertrain options in-house.

Impact of New EV Models

Tarun Garg, Chief Operating Officer of Hyundai Motor India, anticipates that new mass-market EVs such as the Creta Electric, coupled with improved charging infrastructure, will accelerate the growth of electric mobility in India. Garg highlighted the importance of localizing the entire EV supply chain to improve efficiency and reduce costs. He expects EV penetration to increase from the current 2.5% to 15-20% by 2030, with a potential doubling of the EV market by 2025-26 due to models like the Creta Electric.

Future EV Expansion

Hyundai plans to introduce additional EV models in the Indian market over the coming years. Garg noted that new models by major OEMs would further drive segment growth. He also stressed that advancements in charging infrastructure are crucial for this expansion.

The company’s efforts are aligned with its vision of a sustainable future for the Indian automotive industry. By investing in infrastructure and expanding its product range, Hyundai aims to play a key role in the transition to electric mobility in the country.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Tech Mahindra Q3 Profit Jumps 93% YoY to ₹983.2 Cr

Tech Mahindra's Q3 Net Profit Climbs 93% YoY to ₹983.2 Crore

Strong Year-on-Year Growth

Tech Mahindra, a technology and services company under the Mahindra Group, reported a 92.63% year-on-year increase in consolidated net profit, reaching ₹983.2 crore in the third quarter of FY25. This is a significant jump from a net profit of ₹510.4 crore in Q3 of FY24. The company's consolidated revenue from operations also saw a marginal increase of 1.40%, reaching ₹13,285.6 crore in Q3FY25, compared to ₹13,101.3 crore in Q3FY24.

Sequential Decline

However, the company's performance saw a decline when compared to the previous quarter. Tech Mahindra reported a 21.35% decline in Q3FY25 PAT compared to a profit of ₹1,250.01 crore in Q2FY25. Consolidated revenue also dipped slightly from ₹13,313.2 crore in Q2FY25.

Dollar-Denominated Performance

In dollar terms, Tech Mahindra's revenue was $1,567 million, down by 1.3% QoQ and 0.4% YoY. However, when measured in constant currency terms, revenue grew by 1.2% QoQ and 1.3% YoY.

EBITDA and Cash Position

The company’s EBITDA stood at $213 million, a 2.0% increase QoQ and a 54.7% increase YoY. The EBITDA margin was 13.6%, up 40 bps QoQ and 480 bps YoY. The company also reported a strong cash and cash equivalent position at ₹6,841 crore at the end of the quarter.

Management Commentary

Mohit Joshi, Chief Executive Officer and Managing Director of Tech Mahindra, said that the company is seeing an improved rate of deal wins in key verticals and prioritized markets. He added that the consistent expansion in operating margins, despite cross-currency headwinds, reaffirms that the company is on track to achieve its long-term goals. Rohit Anand, Chief Financial Officer, noted that the company delivered growth in EBIT margin and operating PAT, both sequentially and year-on-year, due to targeted actions under Project Fortius and an increase in new deal wins. He also noted the company’s focus on optimizing working capital management.

Company Overview

Tech Mahindra provides technology consulting and digital solutions to global enterprises. With over 150,000 professionals across 90+ countries serving 1100+ clients, the company offers a full spectrum of services including consulting, information technology, enterprise applications, business process services, engineering services, network services, customer experience & design, AI & analytics, and cloud & infrastructure services.

On the BSE, Tech Mahindra's share price was at ₹1658.85, down by 1.81% with a market cap of ₹1,62,366.09 crore.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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Centre Approves ₹11,440 Cr Revival for Rashtriya Ispat Nigam Ltd

Centre Approves ₹11,440 Crore Revival Package for Rashtriya Ispat Nigam Ltd

Revival Package Approved

The Union Cabinet has approved a significant revival package of ₹11,440 crore for Rashtriya Ispat Nigam Ltd (RINL), aimed at addressing the financial challenges faced by the steelmaker. Union Steel Minister HD Kumaraswamy has clarified that the privatization of RINL is not under consideration. The Visakhapatnam Steel Plant is of great importance to the people of Andhra Pradesh.

Financial Support and Aatmanirbhar Bharat

The Cabinet's decision includes providing equity support of over ₹10,000 crore for the plant. Prime Minister Narendra Modi emphasized that this decision supports the vision of an Aatmanirbhar Bharat. It is important to note that in January 2021, the Cabinet Committee on Economic Affairs (CCEA) had approved the full disinvestment of government stakes in RINL due to its financial struggles.

Focus on Revitalization

Kumaraswamy stated that the CCEA, under the Prime Minister's leadership, approved RINL's revival plan, emphasizing that privatization is off the table following this capital infusion. He also highlighted that the decision respects the sentiments of the citizens of Andhra Pradesh. He also expressed his commitment to making the Visakhapatnam Steel Plant the leading steel producer in India.

Operational Challenges

RINL's 7.5 million tonne steel plant in Visakhapatnam has been grappling with severe financial and operational issues. Two of the three blast furnaces were non-operational until October 2024, when one resumed operations. RINL's total dues have exceeded ₹35,000 crore.

Operational Improvements

The minister expects that all three furnaces will be operating at over 92% capacity by July-August of this year. He explained that RINL operated smoothly with a capacity of 3 MTPA but faced difficulties after expanding to 6.3 million tonnes in 2014-15, leading to significant loans and high interest rates without captive mining facilities. Further expansion plans in 2016-17 worsened RINL's problems.

Kumaraswamy mentioned that efforts are underway to secure iron ore mines in Odisha for RINL's captive use. Union Minister of Railways Ashwini Vaishnaw also commented that this revival package will help resolve many of RINL's long-standing issues.

Financial Restructuring

The ₹11,440 crore package includes a fresh equity infusion of ₹10,300 crore and the conversion of working capital loans into preferred share capital worth ₹1,140 crore. This move is expected to benefit RINL employees and related economic activities. The focus will also be on securing raw materials and modernizing the plant. This revival package is designed to restore this major steel plant in Andhra Pradesh, ensuring its contribution to India's steel sector growth.

Disclaimer: The views and investment tips expressed in this article are for informational purposes only and do not represent financial advice. The views expressed are those of the sources cited and not necessarily those of this website or its management. Investing in equities or other financial instruments carries the risk of financial loss. Readers must exercise due caution and conduct their own research before making any investment decisions. We are not liable for any losses incurred as a result of decisions made based on this article. Please consult a qualified financial advisor before making any investment.

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