Indian benchmark indices, the Nifty50 and Sensex, are expected to open in negative territory on Thursday, January 23, 2025, following mixed global cues and domestic earnings results. The GIFT Nifty is trading lower at 23,133, down by 0.18% as of 8:21 AM, suggesting a subdued opening for the Indian markets. The market will closely watch the quarterly earnings reports of several major companies, which could influence investor sentiment.
Several key companies are set to announce their Q3 results for the October-December 2024 quarter on Thursday. Notable among them are Adani Energy Solutions, Adani Green Energy, UltraTech Cement, Dr. Reddy’s Laboratories, Hindustan Petroleum Corporation Ltd (HPCL), United Spirits, Greaves Cotton, and Zee Entertainment Enterprises. These earnings reports will provide crucial insights into the health of various sectors, potentially influencing broader market trends.
Go Digit
One of the standout earnings reports comes from Go Digit, the general insurance firm. The company has reported a nearly three-fold surge in its profit after tax (PAT) to ₹119 crore for Q3 FY25, compared to ₹43 crore in the same period last year. This significant improvement in profitability reflects strong growth in its core business, making it one of the key stocks to watch today.
HUDCO
Housing and Urban Development Corporation Ltd (HUDCO) also posted impressive results. The company reported a 42% rise in its consolidated post-tax profit for Q3 FY25, amounting to ₹735.03 crore, up from ₹519.23 crore in the same quarter last year. This solid performance was driven by improved operational efficiency and increased demand in the housing and urban development sectors.
BPCL
State-owned Bharat Petroleum Corporation Ltd (BPCL) has reported a strong performance for the December quarter. The company posted a net profit of ₹3,805.94 crore, up 20% from ₹3,181.42 crore in Q3 FY24. The rise in profitability is attributed to higher refining margins and a stable performance in the downstream business, making BPCL one of the more resilient stocks in the energy sector.
HUL
Hindustan Unilever Ltd (HUL), the FMCG giant, reported a 19.18% increase in its consolidated post-tax profit, which reached ₹2,989 crore for the three months ended December 2024. This performance was boosted by the sale of its ‘Pureit’ water purifier business, which contributed significantly to the bottom line. HUL had reported a net profit of ₹2,508 crore in the same quarter a year ago, marking a strong year-on-year growth.
HDFC Bank
The country’s largest private lender, HDFC Bank, reported a marginal 2.2% increase in its standalone net profit for Q3 FY25. The bank’s net profit stood at ₹16,735.50 crore, up from ₹16,372.54 crore in the same period last year, but slightly down from ₹16,820.97 crore in the previous quarter. Despite the small decline from the previous quarter, HDFC Bank continues to show resilience in a challenging economic environment.
Paras Defence and Space Technologies
In corporate developments, Paras Defence and Space Technologies signed a memorandum of understanding (MoU) with the Maharashtra Government for its proposed Optics Park Project in Navi Mumbai. The project, which is expected to commence in 2028, will see an investment of ₹12,000 crore over a 10-year period. This development highlights the company’s long-term growth plans and its strategic focus on space and defense sectors.
Laurus Labs
Laurus Labs, a leading pharma company, is also in the news as its wholly-owned subsidiary, Laurus Generics Inc., underwent a post-marketing adverse drug experience (PADE) inspection by the US Food and Drug Administration (FDA). The company was issued a Form 483 with one observation, which it plans to address within the stipulated timelines. While this is not an immediate concern, investors will be keeping an eye on the company’s response to this observation.
Effwa Infra & Research
Lastly, Effwa Infra & Research secured an international order worth $42.98 million from Afcons Infrastructure Limited. The order is for the supply, installation, testing, and commissioning of EMI components for a water treatment plant (WTP) project in southern Abidjan, Ivory Coast. This international order boosts the company’s prospects in the infrastructure sector and could provide a significant revenue stream in the coming years.
