Page 2015 - Business Finance
Hughes bags Rs 200 cr order from oil marketing firms
Satellite based broadband services firm Hughes India has bagged an order to the tune of Rs 200 crore for a five-year period from oil marketing firms Indian Oil, Bharat Petroleum and Hindustan Petroleum to upgrade connectivity across their 19,000 retail points, a senior official of the company said. "We have been working with OMCs, and this is the first time we have awarded order to upgrade their retail outlets. Total order size is in the range of around Rs 200 crore for a period of 5 years," Shivaji Chatterjee, Senior Vice President and head, Hughes Communications India, told PTI. Under separate contracts, Indian Oil Corporation (IOCL), Bharat Petroleum Corporation Ltd. (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) will each use the JUPITER system to upgrade network connectivity across 19,000 locations collectively to increase speed of transactions, eliminate manual interference, and deliver accurate, real-time data across the retail operations. "The contract includes around ..
Texmaco bullish on wagon orders; Q2 net profit at Rs 12 crore
Adventz group company Texmaco Rail & Engineering Ltd is pinning hopes on revival of its wagon business on the back of upcoming government contracts. The city-based firm posted a net profit of Rs 12.8 crore in the quarter ended September as against Rs 8.3 crore loss in the corresponding quarter a year ago. "Against the tender of Indian Railways for 22,258 wagons, the company is fairly placed to secure its share of business on finalisation of orders by Railways," company officials said. The demand for wagons from the private sector continued to remain buoyant, they said. The first half of the year saw an unprecedented cost push due to steep rise in the prices of steel, MS scrap, graphite electrode and furnace oil, which impacted the company, the officials said. Meanwhile, Texmaco Rail & Engineering has received approval from shareholders/creditors to the scheme of amalgamation of subsidiaries Bright Power Projects (India) Pvt Ltd and Texmaco Hitech Pvt Ltd, into ...
IRMA seeks duty removal on refractory raw materials magnesia, alumina
Industry body Indian Refractory Makers Association (IRMA) has urged the government to remove duty on raw materials like magnesia and alumina required for manufacturing refractories. A refractory is an equipment which can handle the high-temperature required for making hot steel; and magnesia and alumina are the key raw materials required to produce it. At present, the duty on magnesia is 5 per cent and on alumina 10 per cent. The scarce availability of these raw materials is forcing the industry to import from other countries, which is raising input costs, Sameer Nagpal, Head Advocacy, IRMA said. Under the new steel policy, the government has set up a target of ramping up its steel making capacity to 300 million tonnes (MT) by the 2030-31. "Refractory is one of the key equipment used in steel making. Not just steel, refractories are also used by glass makers, aluminum, cement players etc and all these industries are growing in India. But raw materials availability to make one of the .
Freehold land will empower citizens, boost Noida's real estate, say experts
Changing landholding right from lease-hold to freehold would enable Noida residents have more control on their property and also help the city emerge as an attractive real estate destination, experts say. All plots or flats in Noida are currently sold on a leasehold basis and a buyer is given the flat or plot on lease for 99 years and is required to pay a certain sum as lease rent to the authority. But under the freehold system, the buyerwill get full ownership of the property. The Noida Authority, which manages all the land here, had given its in-principle nod to converting the landholding rights during its 195th board meeting on November 1. The proposal, if approved by the Uttar Pradesh government, will have wide-reaching impact on the real estate and its prices. "It would be a very good decision because everyone who has property in Noida would become its real owner only if it is a freehold land, otherwise they feel like tenants in their own houses, said N P Singh, President of ...
Adani Transmission to buy KEC's transmission firm for Rs 227 crore
Power firm Adani Transmission has signed an agreement to buy entire stake in KEC International's Rajasthan-based power transmission arm at an enterprise value of Rs 227.5 crore. "We would like to inform that the company has signed share purchase agreement with KEC International Limited on November 3, 2018 for acquisition of its entire stake in KEC Bikaner Sikar Transmission Private Ltd," Adani Transmission said in a regulatory filing. KEC Bikaner Sikar Transmission Private Limited (KBSTPL) project comprises 400 KV D/C Bikaner-Sikar Line of 344 circuit kilometers. The project was awarded to the company through competitive bidding prices and commissioned in December 2017. Adani Transmission said cost of acquisition of KBSTPL shares is at an enterprise value of Rs 227.5 crore subject to customary adjustments at closing. The company has signed agreement to acquire KEC International's "entire stake of equity shares representing 99.99 per cent of the total issued, paid up and subscribed ...
Relaxo Footwears Q2 PAT up 23 pc to Rs 39 cr
Relaxo Footwears on Sunday reported a 23 per cent rise in its profit after tax at Rs 39 crore for the second quarter ended September 30, 2018. The company had posted a profit after tax of Rs 32 crore in the same period a year ago, it said in a statement. Revenues of the footwear manufacturing firm increased by 19 per cent to Rs 545 crore during the reported quarter from Rs 460 crore in the corresponding period of 2017-18. "Growth has been mainly driven by increase in volumes," the company said. The finance cost of the company reduced from Rs 1.9 crore to Rs 1.2 crore on year-on-year basis due to lower utilisation of working capital limits and reduction in term loan. "We have completely passed on the benefit of reduced GST rates from 18 to 5 per cent on footwear priced between Rs 500 and Rs 1,000. This helped us to realise higher volumes," Relaxo Footwears Managing Director Ramesh Kumar Dua said. He added that oil price spike during the quarter increased cost of some raw materials.
Rs 20 crore to develop Baikampady industrial zone
The Karnataka government will set apart Rs 20 crore for developing and upgrading the basic infrastructure at Baikampady industrial zone on the city outskirts, state Minister for Large and Medium industries K J George has said. Paucity of land was the problem encountered in the zone, he told reporters after a meeting of stakeholders of Kanara Small Industries Association (KSIA) at Baikampady Saturday. A total of 543 acres acquired for a steel company was under litigation and the government was to apprise the court soon of the demand from small industrialists, he said. The government had provided 160 acres of land for Coast Guard training centre besides assuring 50 acres for setting up a base of Rapid Action Force in the area, he said. The Karnataka Industrial Areas Development Board (KIADB) had submitted a proposal seeking Rs 59 crore for development of infrastructure which will be taken up in a phased manner, he said. George said the KSIAs demand to allot the acquired ...
HSBC, RIL execute blockchain trade finance transaction
Banking and financial services major HSBC and Reliance Industries Ltd on Sunday said that they have executed a first-of-its-kind blockchain trade finance transaction, validating the commercial and operational viability of blockchain as an alternative to conventional exchanges for paper-based documentation.
MIDC plans to acquire 68K ha, to invest USD 2 bn to develop
To attract more investments, especially to sectors like aerospace, defence and automotive, the Maharashtra Industrial Development Corporation (MIDC) is planning to acquire additional 68,000 hectares over the next five years. Maharashtra on average nets around 30 percent of the total foreign direct investment coming to the country, making it a top destination for foreign companies. The corporation, which currently has a land bank of 84,000 hectares and nearly 288 industrial estates across the state, will have to invest nearly USD 2 billion into these land banks to create the necessary infrastructure, according to a top official of the corporation. "We have seen there is a huge demand in sectors like automotive, defence, aerospace, chemical engineering and garment industries. We are planning to acquire 68,000 hectares over the next five years to give a boost to these industries," MIDC joint chief executive Annasaheb Misal told PTI here over the weekend. He further said an
Torrent Pharma Q2 net profit dips 12 pc to Rs 179 crore
Drug firm Torrent Pharmaceuticals has reported a 12.25 per cent dip in its consolidated net profit to Rs 179 crore for the quarter ended September 2018 due to one-time impact of a product recall in the US and rupee depreciation. The company had posted a net profit of Rs 204 crore for the corresponding period of the previous fiscal, Torrent Pharmaceuticals said in a statement. Its total revenue, however, on a consolidated basis rose to Rs 1,894 crore for the quarter under consideration as against Rs 1,417 crore for the same period a year ago. The company's net profit was impacted as depreciation and amortisation was higher by Rs 68 crore on account of acquired business, one time impact of product recall in US of Rs 25 crore and lower hedging gains due to rupee depreciation, Torrent Pharmaceuticals said. The research and development spend for the second quarter this fiscal was also higher at Rs 136 crore as against Rs 107 crore in the year ago period, it added.
RSP's best production-dispatch in first 7 months of 2018-19
The Rourkela Steel Plant (RSP) has posted its best ever performance in production of Hot Metal, Crude Steel and Saleable Steel and also highest ever dispatch of steel in the first 7 months of current fiscal. During April-October 2018, the plant produced 21,56,778 tonnes of Hot Metal, which apart from being its finest performance is also a rise of 14.9 per cent over the corresponding period last year (CPLY), RSP said in a release. Similarly, production of Crude Steel and Saleable Steel touched all time high figures of 2061152 tonnes and 1865197 tonnes respectively, thereby recording a growth of 13.6 per cent and 11.5 per cent respectively over the corresponding period last fiscal, it said. Besides, the total Sinter production of 3471055 tonnes, HR coil production of 973180 tonnes and Plate production from New Plate Mill of 489247 tonnes too were all time best figures for April-October period, the release said.
Sembcorp India unit turns around with SGD 28.9 mn profit in Sept-qtr
Singapore-based energy firm Sembcorp's India unit has turned around to post a net profit of Singapore dollar 28.9 million (about Rs 153.3 crore) in the September quarter on better operational performance and commencing a new wind power project. Net profit of Singapore dollar (SGD) 28.9 million in the July-September quarter compared with a loss of SGD 2.7 million a year ago, according to a company statement. Sembcorp Energy India Ltd's "thermal power plant continue to contribute positively and improvement in third quarter of 2018 came from its renewable power plant with good wind season," it said. The company follows January to December as the financial accounting year. Sembcorp Industries Group President and CEO Neil McGregor said: "India continued to deliver a positive performance. We secured a long-term power purchase agreement for our second thermal power plant and commenced operations of the 250-megawatt wind power project, the first installed capacity delivered under India's ...
Petrol price cut by 21 paise; total reduction reaches Rs 4.05 in 18 days
Petrol price has been cut by over Rs 4 per litre and diesel by Rs 2.33 in the last 18 days on softer international rates, a pace faster than the spike in prices witnessed in the two-month period beginning mid-August. Petrol price Sunday was cut by 21 paise a litre and diesel by 17 paise, according to a price notification issued by state-owned fuel retailers. In Delhi, petrol now costs Rs 78.78 per litre while diesel is priced at Rs 73.36, it said. Petrol in Mumbai costs Rs 82.28 and diesel Rs 76.88. With this, the reduction in rates in last 18 days now totals Rs 4.05 per litre for petrol and Rs 2.33 for diesel. Rates have been on the decline since October 18. Petrol price had touched a record high of Rs 84 per litre in Delhi and Rs 91.34 in Mumbai on October 4. Diesel on that day had peaked to Rs 75.45 a litre in Delhi and Rs 80.10 in Mumbai. Prices had started to climb from August 16. Petrol in Delhi was priced at Rs 77.14 and in Mumbai at Rs 84.58 per litre on August 15. Diesel on ..
Khanna Gems to invest Rs 50cr to set up bullion factory
Khanna Gems will invest about Rs 50 crore to set up a manufacturing facility for bullion in the national capital as it seeks to enter in gold and silver coins, a top company official said. The city-based company, which posted a turnover of Rs 100 crore in 2017-18, sells gemstones and diamond both in the domestic and overseas markets. "We are entering into bullion business. We will sell gold and silver coins in view of huge demand. We are going to esablish a factory at Najafgarh here," Khanna Gems managing director Pankaj Khanna told PTI. The company has already taken the land on a long-term lease to set up the factory, he said, adding that the investment demand for bullion is rising especially during the festival season. Asked about the investment, Khanna said: "Total cost would be Rs 50 crore including basic infrastructure, bullion and branding." The investment will be funded through internal accruals and sale of its equity, he added. The new facility will be operational before ...
DG Audit to scrutinise accounting software of service firms to ensure right GST allocation to states
In order to prevent incorrect allocation of GST revenue among states, the Directorate General of Audit has been asked to scrutinise the accounting software of large service providers like banks and telecom companies, an official said. The issue concerning allocation of revenue in case of inter-state supply of services was raised by some states during high-level meetings between the Central and state tax officers to analyse reasons for Goods and Services Tax (GST) revenue shortfall, the official said. Some states have expressed the apprehension that service providers might not be depositing the taxes collected from customers to the state exchequer where they are rightfully due. Instead, they are depositing in some other states where they are not due as per the GST rules and regulations of Place of Supply (PoS). Under the PoS rules, the taxes are required to be paid at the place of consumption. However, in case of services it becomes difficult to identify the place of consumption and ...
RBI kick-starts process to set up PCR for capturing details of borrowers
The Reserve Bank has initiated steps to set up a wide-based digital Public Credit Registry (PCR) to capture details of all borrowers, including wilful defaulters and also the pending legal suits in order to check financial delinquencies. The PCR will also include data from entities like market regulator Sebi, the corporate affairs ministry, Goods and Service Tax Network (GSTN) and the Insolvency and Bankruptcy Board of India (IBBI) to enable the banks and financial institutions to get 360 degree profile of existing and prospective borrowers on a real-time basis. The Reserve Bank has invited expression of interest (EOI) for developing the registry from companies with a turnover of over Rs 100 crore in the last three years. In June this year, the RBI had announced to set up a PCR for India with a view to address information asymmetry, foster access to credit and strengthen the credit culture in the economy. Earlier, a high-level task force (HTF) was constituted by the RBI to review the .
HC directs e-commerce site to ensure products for sale on portal are not counterfeits
In a step towards ensuring counterfeits of popular branded products are not sold on online marketplaces, the Delhi High Court has directed an e-commerce platform to make sure that each item put up for sale on its site is genuine. Justice Pratibha M Singh issued the direction, saying in the world of e-commerce, trademark owners face challenging times as sellers of infringing products seek shelter behind the platform's legitimacy and added that those sites which "actively conspire, abet or aide, or induce" commission of unlawful acts, like sale of counterfeits, "cannot go scot-free". "In the world of e-commerce, intellectual property (IP) owners face challenging times. This is because sellers of counterfeit or infringing products seek shelter behind the platform's legitimacy. "Moreover, if the sellers themselves are located on foreign shores and the trade mark owner cannot exercise any remedy against the seller who is selling counterfeits on the e-commerce platform, then the trade mark .
Geopolitical issues, Q2 results to set equity market course (Market Outlook)
With the impending US sanctions on Iran, as also the ongoing quarterly earnings season and the upcoming festival of Diwali, the Indian equity market is likely to witness a short but eventful trading week ahead.
Fuel prices continue to fall on Sunday
Petrol and Diesel prices in Delhi witnessed a slight decreased on Sunday. While Petrol price dipped by 21 paise and is being retailed at Rs 78.78 per litre, Diesel price decreased by 17 paise and is being sold at Rs 73.36.Meanwhile, Petrol price in Mumbai saw a fall of 21 paise to be sold at Rs 84.28 per litre, Diesel will be sold at Rs 76.88 per litre, after a dip of 18 paise.Fuel prices had earlier witnessed a relentless hike in the country, burning a hole in the common commuter's pocket.In this regard, Union Finance Minister Arun Jaitley had on October 4 announced a reduction of Rs 2.50 per litre on both petrol and diesel prices after curbing excise duty on the commodity by Rs 1.50 per litre and urged respective state governments to slash the same amount at their end.
Business figures call for vote on Brexit terms - Sunday Times
LONDON (Reuters) - More than 70 business figures are calling for a public vote on the final terms of Britain's exit from the European Union, warning that the country faces "either a blindfold or a destructive hard Brexit", the Sunday Times reported.