Despite selective buying interest in index heavyweights, weak economic cues from global markets coupled with mixed set of results kept the indices in Indian equity markets below the dotted line throughout the trading session today. The Indian indices in fact led the pack of losers in Asia. The gains over previous week's closing were, however, 1.4%. While the BSE-Sensex today closed lower by 120 points, the NSE-Nifty lost 45 points. Both the BSE Mid Cap index and the BSE Small Cap lost 0.5% each.
As regards global markets, Asian indices in the negative today while European indices have opened lower. The rupee was trading at Rs 54.34 to the dollar at the time of writing.
Axis Bank declared the results for the fourth quarter and financial year 2012-13 (FY13). The bank has reported 21% YoY growth in net interest income and 22% YoY growth in net profits for FY13. The growth in net interest income came on the back of 16% YoY growth in advances. Net interest margins (NIM) were at 3.5% in FY13, while NIMs for 4QFY13 (3.7%) were higher than that in 4QFY12 (3.6%). The average NIM over the past 5 fiscals has been above 3.3%. The bank's net profit growth was supported by 32% YoY growth fee income. Axis Bank's net NPAs remained stable at 0.3% of advances at the end of FY13. Plus the capital adequacy ratio (CAR) was also on firmer footing at 17% at the end of March 2013, Tier 1 capital at 12.2%. The board has declared dividend of Rs 18 per share.
Auto stocks closed mixed today. While Maruti Suzuki and Bajaj Auto found favour, Ashok Leyland and TVS Motors closed into the red. Maruti Suzuki has announced its results for the fourth quarter and year ended March 2013. During the quarter, the company reported a 13% YoY growth in the topline. This was largely led by good growth in its volumes of 'Dzire', 'Ertiga' and enhanced export realisations. Operating margins during the quarter improved by 7.7% to 15% and was on account of cost reduction and localization efforts and also due to a favourable exchange rate. This led to an impressive 133% YoY growth in operating profits. Net profits also grew at a robust rate of 94% YoY. However, this growth was lower than that in operating profits on account of higher finance costs and depreciation charges. For the full year, growth in revenues and net profits stood at 22.5% YoY and 46% YoY respectively. The Board of Directors have recommended a dividend of Rs 8 per share (dividend yield is 0.5%).