Page 9 - Crisil Report

North East Small Finance Bank to sell over Rs 600 crore stressed assets

Consequently, credit costs are expected to start tapering down gradually, leading to normalisation in profitability in the normal course of business

India Inc revenues to rise 8-10% in Q2, profit margins to expand: Crisil

India Inc is all set to report an 8-10 per cent jump in revenues for the September quarter while profit margins will also witness an expansion, an arm of rating agency Crisil said on Friday. This will be the first time in four quarters that the revenue growth will see an increase, it said. Automobiles, construction (which benefitted from truant monsoons) and information technology services sectors will be driving the revenue growth in the quarter, the rating agency said, adding that the year-on-year revenue growth in the preceding June quarter had stood at 7 per cent. The agency said its expectations are based on an analysis of 300 companies excluding ones in banking and oil sectors. "Growth in revenue was largely skewed towards consumer discretionary products and services, where automobiles and the retail sector led the pack, and construction-linked sectors, where companies accrued benefits from an early deployment of capital expenditure by the roads and railways ministries, Direc

Falling tomato prices bring down cost of veg, non-veg thalis in Sept

The fall in tomato prices, which declined 62 per cent month-on-month (M-o-M) to Rs 39 a kg in September from Rs 102 a kg in August, was the major contributor

Securitisation activity unaffected by HDFC merger, surges 35% in H1: CRISIL

Securitisation volumes have grown 35 per cent to over Rs 1 lakh crore in the first half of the current fiscal, domestic ratings agency Crisil said on Thursday. The overall volume of securitisation -- wherein one lender bunches up a loan or a set of loans and passes on the future receivables to another financier against an upfront payment -- had stood at Rs 75,000 crore in the April to September period, it said. It attributed the jump in activity to banks' continued interest in retail assets, and strong credit growth among originating Non-Banking Financial Companies (NBFCs). The volume remained unfazed by the exit of a large housing finance company (HFC) from the securitisation space in the second quarter of this fiscal, following its merger with an affiliate bank. "The exit of one of the largest originators last quarter has been more than made up by other financiers. The overall first-half volume is now trending in line with pre-pandemic levels when the FY20 volume had touched Rs 1

Softening of tomato prices brings down cost of veg, non-veg thalis in Sept

The tomato prices shrunk 62% in September to Rs 39 per kilogram (kg) as compared to Rs 102 per kg in August

CRISIL upgrades Thomas Cook's credit rating in both short and long term

Omnichannel travel services firm Thomas Cook (India) Ltd on Tuesday said CRISIL has upgraded its credit rating both in the short- and long-term. "CRISIL has upgraded rating on the bank facilities of Thomas Cook (India) Ltd (TCIL) to 'CRISIL AA-/Stable/CRISIL A1+," TCIL said a statement. The rating upgrade in the long term to 'AA-/Stable' from 'CRISIL A+/Stable' and in the short term to 'CRISIL A1+' from 'CRISIL A1' reflects Thomas Cook India Group's strong scale-up in revenue across businesses and expectations of sustained momentum driven by brisk revival in demand after the pandemic-induced disruptions, according to the company's statement. The ratings are indicative of TCIL's strong business risk profile with leadership position in travel and foreign exchange segments and healthy presence in hospitality (Sterling Holiday Resorts) and digi-photo imaging segments, as per CRISIL Ratings. The company has also improved its financial risk profile following sharp revival in business ...

India Inc's financial health moderates in H1FY24, may dip marginally in H2

India Inc's financial health measured by the credit ratio, or the proportion of rating upgrades to downgrades, moderated in the first half of current fiscal year and is set to dip marginally further in the second half, Crisil Ratings said on Tuesday. Crisil, which rates 6,500 companies, however, made it clear that the credit ratio will stay above 1 going forward as well, which means the number of upgrades will outpace the downgrades. In April-September FY24, there were 443 upgrades as compared to 232 downgrades, the agency said, adding that the credit ratio moderated to 1.91 from 2.19 in the preceding six months. It said the upgrades are much higher than the decadal average, but the downgrades are inching up lately, largely due to difficulties faced by export-linked sectors due to slowing growth in the world. Crisil's Managing Director Gurpreet Chhatwal said the moderation in the first half was along expected lines, and the government's infrastructure push and spending are helping

Credit quality of export, commodity-linked sectors to face pressure: Crisil

Rating upgrades outpace downgrades in H1FY24

Sept rains improve, but do little for seven states: CRISIL's DRIP Index

During the month, rains caught up most in central India (0 per cent of LPA on September 26 vs -10 per cent on August 31), and the southern peninsula (-9 per cent vs -17 per cent)

India's bank credit growth likely to moderate to 13-13.5% in FY24: CRISIL

"The extent to which deposit growth picks up would determine credit growth for banks," said Subha Sri Narayanan, Director at CRISIL Ratings

CRISIL upgrades Suzlon Energy ratings to BBB+ with positive outlook

Renewable solutions provider Suzlon Energy on Wednesday said Crisil upgraded its ratings by two notches to BBB+/A2 with a positive outlook. "Suzlon Group today announced that Crisil has upgraded the ratings of Suzlon Energy Ltd to CRISIL BBB+/A2 from CRISIL BBB-/A3' with a Positive Outlook for long-term and short-term facilities, reflecting the company's strengthened financial position, operational excellence and favourable sectoral tailwinds," a company statement said. According to the statement, the rating upgrade is a result of Suzlon's successful reduction of debt by repaying the entire term debt through the proceeds of a qualified institutional placement (QIP) of approximately Rs 2,000 crore. The reduction in fund-based borrowings, steady cash flows from the operations and maintenance (O&M) services business, and improved business profile in the wind turbine segment have contributed to this upgrade. Suzlon Group Chief Financial Officer Himanshu Mody said, "This upgrade is a .

Led by festival season, revenue of apparel retailers to grow 7-8% in FY24

The revenue density, calculated as revenue per square feet, is, however, expected to remain below the pre-pandemic level: CRISIL

Domestic steel prices expected to stay stable in FY'24, says CRISIL report

Domestic steel prices are expected to remain stable in the coming months of the current fiscal, backed by strong demand, rising coking coal prices and production-related dynamics in China, amid a slowdown in the global economy, according to a Crisil report released on Tuesday. In its market intelligence and analytics report, Crisil expects flat steel to hover around Rs 59,000 per tonne and Rs 56,000 per tonne for long steel. It said that domestic steel demand is poised to grow in double digits for the third consecutive year, supported by pre-election spending in the current fiscal year. "Flat steel prices should remain elevated at around Rs 59,000 per tonne in fiscal year 2024, dipping only marginally by 2-4 per cent on-year amid better demand prospects and rising coking coal prices. Prices are expected to average at around Rs 60,000 per tonne in the second half of this fiscal as against Rs 58,300-58,500 per tonne in the first half," said Sachidanand Choubey, Manager (Research) at .

Balrampur Chini Mills is expecting 20% higher revenues in FY24: CFO

Sugar prices are on a high with a fall in production primarily due to unseasonal showers in key growing areas of Maharashtra and Karnataka in March

Rainfall deficit wider and outcomes worsening: CRISIL's DRIP Index

Six kharif crops at risk

Nippon India Multi Cap Fund is outshining peers and benchmarks by a margin

The investment objective of the scheme is to generate capital appreciation from a portfolio predominantly invested in equity and equity-related instruments

Jute industry revenue to drop 5-6% on weak overseas demand: Report

Domestic demand will be stable because of steady orders for bags used to store grain, says CRISIL Ratings

Improved spatial rain distribution aids crops, shows CRISIL DRIP index

Crop-wise, DRIP scores are better for most crops except pulses and rice relative to the previous year

Controlling inflation will depend on monsoon, vegetable prices

In July, monsoon rains were almost 13% more than normal across India. In the entire monsoon season between June 1 and August 7, rainfall across India has been 2% above normal

Onion prices might touch Rs 60/70 per kg by month-end, says Crisil

Such a scenario could extend the current lean season by 15-20 days, potentially tightening supplies and driving prices upwards, the report added