Category: Breaking Corporate India Earnings News

Inflation changed its trajectory during the week ended January 10 as the week on week wholesale price index for all commodities rose by 0.4% to 230. Year on year rise in prices stood at 5.6% compared to 5.24% during the previous week.

The increase primarily came from food and primary articles. Food articles were up 2.2% over the week while primary articles inched up by 1.2%. Economists however feel that it may not be such a bad thing to have happened as the trajectory that inflation was following in previous weeks, would have pushed India into deflationary phase by beginning of the next fiscal.

While inflation’s ill impacts are well known, deflation could be much more damaging as it would act as a pro-cyclic force in a slowing down economy. What the current figure shows is that probably the inflation will go down at a flatter trajectory now that can help India avoid the deflationary phase in next fiscal.

Indian Bank has reported a 14.04% rise in the net profit to Rs 350.70 crore for the December 2008 quarter as against Rs 307.50 crore for the December 2007 quarter.

The bank’s total income moved up from Rs 1676 crore for the December 2007 quarter to Rs 2071.37 crore for the December 2008 quarter.

Indian Bank is currently trading at Rs 125.75 up by 1.30 points or 1.04% from its previous closing of Rs 124.45 on the BSE.

Chennai-based Polaris Software Lab, a global leader in specialty application development for the banking, financial and insurance sector, has declared its unaudited results for the quarter ended December 2008.

The net profit of the company soared by 94%, to Rs 37.17 crore for the third quarter ended December 31, 2008, against Rs 19.12 crore in a corresponding quarter a year ago.

Total revenue increased by 31%, to 372.58 crore during the period under review as compared to Rs 282.14 crore in the previous year period.

Reliance Capital Ltd has announced the following Unaudited Consolidated results for the quarter ended December 31, 2008:

The results for the Quarter ended December 31, 2008

The Group has posted a net profit of Rs 1315.40 million for the quarter ended December 31, 2008 as compared to Rs 1181.40 million for the quarter ended December 31, 2007. Total Income has increased from Rs 11555.70 million for the quarter ended December 31, 2007 to Rs 15733.30 million for the quarter ended December 31, 2008.

Reliance Capital Ltd is currently trading at Rs 417.50 down by 15.50 points or 3.58% from its previous closing of Rs 433 on the BSE.

The scrip opened at Rs 415 and has touched a high of Rs 418.40 with a low of Rs 392.15.So far 13, 63,822 shares were traded on the BSE. The stock touched a 52 week low of Rs 392.15 today despite being added to NIFTY. 52 week high is Rs 2,759 on January 16, 2008.

The Anil Dhirubhai Ambani Group-led Reliance Capital is set to foray into the home loan segment as it has received the approval from the National Housing Bank (NHB). The company has set its eyes on becoming a leading player in the home loan market in the next 2-3 years, according to a media report.

The two new entities are expected to launch their operations in the next couple of months. Reliance Capital officials added that employees of Reliance Consumer Finance would be transferred to the new businesses, the report stated.

Reliance ADAG Group topped the Corporate News Worldwide after we revealed Anil Ambani Group was the largest wealth destroyer for shareholders in the 2008 Global Meltdown.

Additionally, on Monday, LiveMint, subsidiary of the Wall Street Journal India said that Reliance ADAG ranked the Worst when it came to Corporate Governance, Ethics and Board Constitution.

India’s headline inflation as measured by the change in wholesale price index (WPI) has declined 5.24% for week ended January 3, 2009 compared to 5.91% in the previous week as the WPI registered a week-on-wwk decline of 0.2% to 229.

The decline was visible across most of the segments. Major relief came from the primary articles index where prices declined by 0.5% while manufacturing index was down 0.1% week-on-week. Meanwhile the inflation figures for week ended Nov 8 was revised to 8.71% versus 8.9% (provisional).

Inflation is finally down to the comfort level of Reserve Bank of India which predicted 5-5.5% inflation for FY09 in the monetary policy review at beginning of the fiscal. Economists expect inflation to continue falling in coming weeks due to lower base effect of last year and general slowdown in economic activity. In fact, most economists agree that while inflation will be under 2% by and of the fiscal, India may witness deflationary phase around second quarter of next fiscal.