Author: CP

Domestic equity markets turned negative in the late afternoon session tracking rise in food price inflation to 17.40% for the week ended January 16 from 16.81% the week before.

Surge in the food inflation has once again raised apprehensions of stricter measures from the central bank in its policy review [Our opinion, the RBI is lacking the will for strict measures and is un-necessarily taking directions from the South Block].

The government released the wholesale price index (WPI) in respect of primary articles and the fuel group on Thursday. The primary articles Index, which has a weight of 22.02% in the overall WPI, increased by 0.32% to 285.5 from 284.6 in the previous week. As a result, the annual rate of inflation for primarily articles, calculated on point to point basis, increased to 14.66% as compared to 13.93% for the previous week and 10.96% during the corresponding week of the previous year.

IBFSL’s 3QFY10 earnings of Rs640mn were 40-45% below est. owing to a write-off of ~Rs610mn in one large a/c. However, excluding w/o, earnings were 8-9% below estimates, owing to higher–than-estimated repayments, despite in-line disbursement growth.

However, excluding w/o, earnings were 8-9% below estimates, owing to higher–than-estimated repayments, despite in-line disbursement growth. But, for this, all other parameters have rebounded, with disbursements of Rs21bn vs. ~Rs16bn in 2Q; loan growth up 6% qoq; margins holding up; headline gross & net NPLs down 2% qoq

IBFSL has settled with one large a/c, which had been in the news the during Oct- Dec 09 period. Of the Rs2.9bn o/s, Rs2.3bn is the settlement amount between parties.

ICICI Bank Ltd has announced the following Audited results for the quarter ended December 31, 2009:

The Bank has posted a net profit of Rs 11010.60 million for the quarter ended December 31, 2009 as compared to Rs 12721.50 million for the quarter ended December 31, 2008. Total Income has decreased from Rs 103506.20 million for the quarter ended December 31, 2008 to Rs 77627.10 million for the quarter ended December 31, 2009.

The Group has posted a net profit of Rs 11486.60 million for the quarter ended December 31, 2009 as compared to Rs 15597.60 million for the quarter ended December 31, 2008. Total Income has decreased from Rs 169227.30 million for the quarter ended December 31, 2008 to Rs 141768.40 million for the quarter ended December 31, 2009.

Larsen & Toubro Ltd (L&T) has announced the following Unaudited results for the quarter ended December 31, 2009:

The Company has posted a profit after tax of Rs 7588.20 million for the quarter ended December 31, 2009 as compared to Rs 15204.40 million for the quarter ended December 31, 2008. Total Income has decreased from Rs 89243.20 million for the quarter ended December 31, 2008 to Rs 83557.50 million for the quarter ended December 31, 2009.