- Infosys Ltd Q2FY20 results: India's second largest software maker reported a 2.21% decline in its consolidated net profit for the quarter ended September 30, 2019. The IT major reported a net profit of Rs4,019cr during the quarter under review, as opposed to Rs4,110cr reported during the corresponding quarter last year. Consolidated revenue from operations during the second quarter of current fiscal was Rs22,629cr, almost 10% higher than Rs20,609cr seen during the corresponding period last year. Infosys increased lower end of FY20 revenue guidance. The revised guidance is 9-10% in constant currency terms. The company maintained its FY20 operating margin guidance range of 21-23%. The Infosys board also announced an interim dividend of Rs 8 per equity share. The company has fixed October 23, 2019 as record date for interim dividend and October 30, 2019 as the payment date.
- Indian Railway Catering and Tourism Corporation (IRCTC): IRCTC, which recently concluded its Rs645cr initial public offering, will make its stock market debut today. The shares will be listed on the BSE and the National Stock Exchange (NSE). The IPO, which was open for subscription between September 30 and October 4, was subscribed 112 times at a price band of Rs315-320 per share. The issue comprised an offer-for-sale of 2.01cr shares of face value of Rs10 each. IRCTC is the only entity authorised by Indian Railways to provide catering services to railways, online railway tickets and packaged drinking water at railway stations and trains in India.
- World Bank: The global think tank on Sunday pared down its growth forecast for India to 6% for FY20 from its April projection of 7.5%, citing that the country’s cyclical slowdown is broad-based and severe. The World Bank observed that the remarkable weakness of Indian economic activity during the first half of 2019 is largely driven by external and cyclical factors. World Bank also observed that non-bank financial companies in India remain vulnerable to financial stress, despite liquidity enhancing measures. Though South Asia, including India, is not integrated into world markets as much as most other regions, the World Bank said it is not isolated from global developments and unexpected changes in GDP growth in the US, the Eurozone and China, for example, all have strong implications for growth in India.
- Future Retail Ltd: The board of Future Retail, in a meeting on Saturday, agreed and approved the acquisition of the retail infrastructure assets up to maximum limit of Rs4,000cr of Future Enterprises in one or more tranches. These retail infrastructure assets are currently used by Future Retail for its large and small format stores, but are owned by Future Enterprises. Future Retail pays lease rentals to Future Enterprises for these assets. The deal would help reduce inter-corporate linkages between entities of the Future group, simplifying its structure. It would result in cessation of all corporate guarantees from Future Retail to the lenders of Future Enterprises, the company said.
- Bank of Baroda: Baroda Asset Management and BNP Paribas Asset Management said they have decided to merge their businesses in a bid to leverage each other's strengths to offer products for retail and institutional investors. However, this is subject to regulatory and other legal approvals. Bank of Baroda and BNP Paribas Asset Management Asia have entered into binding agreements, the two entities said in a joint statement post market hours Friday. The strategic alliance would allow both companies to leverage each other's strengths to offer products specially designed for retail and institutional clients in India, it said.
- Torrent Pharma Ltd: Drug firm Torrent Pharma is recalling 73,896 bottles of hypertension treatment tablets from the US and Puerto Rico on account of deviations from current good manufacturing norms, according to a report of the US health regulator. The US-based arm of Torrent Pharmaceuticals is recalling 8,688 bottles of Losartan Potassium tablets USP 50 mg, from the US and Puerto Rico, the Enforcement Report of the United States Food and Drug Administration (USFDA) said in a report. It is also recalling 39,432 bottles of Losartan Potassium tablets, USP in the strength of 100 mg from the US and Puerto Rico, it added. The reason for the recalls is the presence of an impurity, N-Methylnitrosobutyric acid (NMBA) in the finished product above the interim acceptable daily intake level of 9.82 parts per million, the report stated.
- DLF Ltd: Delhi based realtor DLF on Sunday said it has sold 376 ready-to-move-in luxury flats worth Rs700cr on the first day of the launch of its new housing project in Gurugram, even as the overall property market is facing a demand slowdown. The company has launched the second phase of its luxury residential project Ultima. DLF had launched 400 units in the first phase of the Ultima project which is spread over 22 acres. According to an investor’s presentation, DLF's net sales bookings stood at Rs705cr in the June quarter.
- Cadila Healthcare Ltd: Cadila Healthcare announced on Friday that the United States Food and Drug Administration (USFDA) has completed inspection at its Active Pharmaceutical Ingredients (API) manufacturing facility at Dabhasa. The API manufacturing facility at Dabhasa is the group's largest API manufacturing site. Inspection was conducted from 7th to 11th October 2019. This was a CGMP audit and a pre-approval inspection (PAI). At the end of the inspection, no observation (483) is issued. According to the FDA, Form 483 is issued to firm management at the conclusion of an inspection when an investigator(s) has observed any conditions that in their judgment may constitute violations of the Food Drug and Cosmetic (FD&C) Act and related Acts.
- IIP: Industrial output declined by 1.1% in August due to poor performance by manufacturing, power generation and mining sectors, official data released on Friday showed. The Index of Industrial Production (IIP) had expanded by 4.8% in August 2018. The overall IIP growth during April-August period was 2.4%, down from 5.3% in the corresponding period of the last fiscal.
- Earnings this week: HUL, ACC, Ambuja Cement, L&T Finance Holdings, TVS Motor, Wipro, Aditya Birla Money, Chennai Petroleum Corporation L&T Finance and ICICI Lombard,Delta Corp, GTPL Hathway, Karnataka Bank, MCX, SBI Life Insurance Company, , Cyient, Larsen & Toubro Infotech, PVR, South Indian Bank, and Sasken Technologies.
The US benchmark index surged after President Donald Trump said China and the US reached the first phase of a substantial trade deal that delays tariff hikes that were set to begin the following week. The Dow Jones Industrial Average rallied 319.92 points, or 1.2% to close at 26,816.59. The S&P 500 advanced 32.14 points or 1.1% to 2,970.27. The Nasdaq Composite rose 106.27 points or 1.34% to close at 8,057.04.
President Trump said that the US and China had reached a “substantial, phase-one” deal to ease trade tensions that will include Chinese promises to buy $40-50bn more US agricultural products in exchange for eliminating a planned increase in tariffs that had been set to into effect Tuesday Oct. 15. No decision has been made yet on a new 15% tariff set to go into effect on Dec. 15 on about $160bn in annual Chinese imports.