Retailing stocks have opened the day on a mixed note with Koutons Retail and Titan Industries leading the gains. However, Shoppers Stop and Zodiac Clothing are facing selling pressure. Titan Industries has announced its financial results for the quarter ended December 2012 (3QFY13). Net sales during the quarter stood at Rs 30,178 m, higher by 23.7% year-on-year (YoY). Improved consumer sentiments due to the festive and marriage seasons boosted jewellery business by 27% YoY. On the other hand, the watch division grew at a moderate pace of 10.6% YoY. The company reported operating profits of Rs 2,828 m, higher by 25.7% YoY. Operating margins improved marginally from 9.2% in 3QFY12 to 9.4% in 3QFY13. Other income decreased by 11% YoY to Rs 220 m. While depreciation charges increased by 19% YoY to Rs 142 m, interest expenses declined by 9.7% YoY to Rs 117 m in 3QFY13. Net profits during the quarter stood at Rs 2,037 m, higher by 24.3% YoY. Net margins improved marginally from 6.7% in 3QFY12 to 6.8% in 3QFY13. During the nine-month period ended December 2012 (9MFY13), net sales and net profits grew by 14.4% YoY and 18.4% YoY respectively.
Investment & Finance stocks have opened the day on a mixed note with Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) leading the gains. However, India Infoline and Sundaram Finance are facing selling pressure. As per a leading daily, the National Highway Authority of India (NHAI) board has given approval to infrastructure finance company IDFC Ltd to buy 74% stake in the Delhi-Gurgaon expressway from its original promoters. Following the stake acquisition, IDFC would control and manage the project. IDFC and other major public sector banks had lent close to Rs 16 bn to Delhi-Gurgaon Super Connectivity Ltd (DGSCL). It must be noted that DGSCL is a special purpose vehicle created to run the expressway project. The NHAI board's approval has come as a relief for lead banker IDFC and the other banks. Had the project been terminated, the lenders would have lost a lot of money.