Page 9 - Icra

MPC likely to maintain status quo for eighth time in a row: BS poll

Respondents cite moderate inflation data, outlook for food prices, high growth

Major private hospital chains see rise in revenues per bed in FY24

They are on an expansion spree and guided for more bed additions in FY25

Vedanta says ICRA has assigned top rating to its commercial paper

Vedanta on Thursday said ICRA has assigned A1+ rating to the company's Rs 2,500-crore commercial paper, citing multiple positives. ICRA highlighted Vedanta's diversified product portfolio and a healthy market share while assigning the rating, the company said. A1+ is the highest rating in a scale of ratings provided by the credit rating agency for such instruments. "ICRA Ltd...has assigned ICRA A1+ Rating on commercial paper," Vedanta said in a filing to the BSE. Similarly, the credit rating agency has also assigned an ICRA AA- rating to Vedanta's long-term bank loans, it said. The mining major has proposed a vertical split of the businesses and is expected to list five entities on the stock exchanges by the end of this year.

ICRA Q4 results: Net profit up 21.8% to Rs 47 cr, total revenue rises 13.7%

For financial year FY24, its consolidated net profit rose to Rs 152.24 crore up from Rs 136.72 crore in FY23

Dependency on minerals import risks India's green tech progress: ICRA

According to the report, there has been a gradual shift in global energy policy priorities from fuel and energy security to mineral security

Scramble for ERP licence even as doubts remain on the market size

About a dozen players dive into the fray

International traffic expected to grow faster than domestic in FY25: ICRA

While the domestic passenger traffic is expected to grow at 8-10 per cent Y-o-Y to 330-340 mn, the international passenger traffic is likely to increase by 10-14 per cent Y-o-Y to 80 mn, it mentioned

Slowdown in mining output drags IIP growth to 4.9% in March: Govt data

The IIP had grown by 1.9 per cent in March 2023

ICRA forecasts moderate growth for tyre sector in FY25 as input costs rises

The report cites healthy demand from OEMs in the passenger vehicle (PV) and two-wheeler (2W) segments, along with replacement demand, as the primary drivers of domestic growth

Credit flow to moderate, corporate bond issuances to rise in FY25: ICRA

The incremental credit flow was also supported by the all-time high corporate bond issuances of Rs 10.2 trillion during the previous financial year

53 mn sq ft office space eligible to be monetised via SM-REIT for Rs 70K cr

Rating agency ICRA has estimated that around 530 lakh square feet of office spaces are eligible for small and medium REITs (SM-REIT) listing, creating a monetisation opportunity of Rs 67,000-71,000 crore. In November last year, the Sebi board cleared the amendments to the REITs Regulations, 2014, in order to create a regulatory framework for the facilitation of SM REITs, with an asset value of at least Rs 50 crore vis-a-vis minimum asset value of Rs 500 crore for existing REITs. As per the notification, the minimum price of each unit of the scheme of SM-REIT shall be Rs 10 lakh or such other amount as may be specified by Sebi from time to time. The size of the asset proposed to be acquired in a scheme of the SM-REIT is at least Rs 50 crore and less than Rs 500 crore. "Small and Medium REITs will provide an opportunity for small Grade A and most of the Grade B office developers to monetise their investments. Also, Fractional Ownership Platforms (FOPs) are expected to be formalised, .

India's core sector growth slows to 5.2% in March from 7.1% in February

In March 2023, the core sector had recorded a growth of 4.2 per cent

India's oil import bill could swell to $101-104 billion in FY25: ICRA

India's net oil import bill could widen to USD 101-104 billion in current fiscal from USD 96.1 billion in 2023-24 and any escalation in the Iran-Israel conflict could impart an upward pressure on the value of imports, ICRA said on Tuesday. The domestic rating agency said based on its analysis, lower value of Russian oil imports is estimated to have led to savings of USD 7.9 billion in 11 months (April-February) of 2023-24, up from USD 5.1 billion in 2022-23. "With India's oil import dependency expected to remain high, if the discounts on purchases of Russian crude persist at the prevailing low levels, ICRA expects India's net oil import bill to widen to USD 101-104 billion in FY2025 from USD 96.1 billion in FY2024, assuming an average crude oil price of USD 85/bbl in the fiscal," ICRA said. Additionally, any escalation in the IranIsrael conflict and an associated rise in crude oil prices could impart an upward pressure on the value of net oil imports in the current fiscal year, it .

Construction sector firms' revenues to see 12-15% growth this fiscal: ICRA

India's construction sector entities' revenues are likely to grow by 12-15 per cent in the current financial year, while margins will expand by 25-50 bps, rating agency ICRA said on Monday. It further said that the government's infrastructure push will result in double-digit revenue growth for the construction industry in FY2025. The rating agency said it maintains a stable outlook on the sector with steady growth in operating income, moderate leverage, and healthy coverage metrics. "The aggregate order book-to-sales ratio of ICRA's sample set of companies stood at around 3.9x as of December 2023 (compared to 3.4 times during March-2023), thereby indicating a healthy revenue growth prospect over the medium term," ICRA vice president and co-group head - corporate ratings Ashish Modani said. He said, ICRA expects the revenue growth in FY2025 to remain healthy at 12-15 per cent on a year-on-year basis, albeit slightly lower than the 18-20 per cent revenue expansion assessed for FY2024

Expect capex for EV components to cross Rs 25K cr in next 3-4 years: Icra

The auto component industry is expected to invest over Rs 25,000 crore in the next 3-4 years to expand production of electric vehicle parts, rating agency Icra said on Tuesday. EV penetration in the country has reached 4.7 per cent in FY2024, with much of it driven by the electric two-wheeler segment, although e-three-wheelers and electric buses have also contributed to the same, it said in a statement. There has been substantial localisation in traction motors, control units, and battery management systems over the years, Icra said. However, advanced chemistry batteries, which remain the most critical and the costliest component, accounting for almost 35-40 per cent of the vehicle price, are imported, it added. The low localisation levels give rise to manufacturing opportunities for domestic auto component suppliers, it said. "Icra expects at least Rs 25,000 crore of capex for EV components in the next three-four years, for capacity building, technology and product enhancements,"

Good times ahead for United Breweries as heatwave, IPL set the tone

The company is expected to increase its volumes in the March quarter by 9% Y-o-Y on the back of market share gains in N India

Volumes of domestic mining, construction equipment may drop in FY25: ICRA

Rating agency ICRA on Thursday said the volumes of domestic mining and the construction equipment (MCE) industry may drop in the current financial year on account of a slowdown in the new project orders amidst Lok Sabha elections and monsoon-related impact on construction activities. "ICRA expects FY2025 to see a 12-15 per cent year-on-year decline (which translates into volumes of 1.14-1.18 lakh units)," the rating agency said in a statement. This drop is following two consecutive years of strong growth of 26 per cent in FY'23 and 24 per cent in FY'24. "The reversal in this growth trend will be driven by a slowdown in the new project award activity in Q4 FY2024 and Q1 FY2025, as the Model Code of Conduct will remain in force during the Parliamentary Elections in April-May 2024 (till the announcement of results on June 4, 2024). "Additionally, the aggregate revenues for ICRA's sample set companies are expected to contract by 9-12 per cent and operating margins by 100-150 basis poin

Govt likely to construct 5-8% more roads in 2024-25, says ICRA report

Since Prime Minister Narendra Modi took office in 2014, India built about 90,000 kilometres of national highway, almost double that constructed in previous decade, according to government estimates

Road execution in India to grow 5-8% in FY25 to 12,500-13,000 km: ICRA

Road execution in India is likely to grow 5-8 per cent to 12,500-13,000 km in the current fiscal, after recording a robust expansion of 20 per cent in 2023-24, rating agency Icra said on Tuesday. It added that the pace of execution in this fiscal will be supported by a healthy pipeline of projects, increased capital outlay by the government and focus on completion of projects by Ministry of Road Transport and Highways (MoRTH). Icra noted that road execution was impacted in the first half of FY24 on account of a prolonged monsoon in certain geographies, which affected productive days. According to Icra, the ministry's project award pipeline is healthy, at above 45,000 km as of March 2024. This is despite the awarding being significantly impacted in FY24 amid delay in approval from the Cabinet for the revised cost estimates of Bharatmala Pariyojana Phase 1 (BMP), it added. Consequently, the overall awards declined by 31 per cent to 8,551 km in FY24 from 12,375 km in FY23. Icra poin

ICRA revises FY25 outlook for banking sector to 'stable' from 'positive'

Rating agency expects credit growth and profitability to moderate in the sector