Backed by consistent buying activity Indian stock markets continued to trade in the green in the post noon trading session. Majority of the sectoral indices were trading firm. Stocks from the IT and capital goods sectors witnessed maximum buying interest.
Majority of the food stocks are trading in the green led by GlaxoSmithKline Consumer Healthcare (GSKCH) and United Spirits. However Godfrey Philips and Nestle are among the few losers. GSKCH has announced its results for the quarter ended March 2013. The company posted a 17% YoY rise in topline. However, a sharp rise in ad-spends and staff costs offset the input cost savings from waning commodity inflation. As a result the operating margin contracted by 0.9% to 21.2%. Its profits grew by a faster 18.5% aided by lower interest and depreciation charges. Even its tax outgo increased by a modest 11% due to fall in tax incidence during the quarter.
Most of automobile stocks are trading in the green with Ashok Leyland and Bajaj Auto being the major gainers. As per a leading financial daily, Hero Motorcorp is looking to set up manufacturing facilities in Columbia and Bangladesh. Reportedly, this would be the company's first initiative on manufacturing operations abroad after its termination of the joint venture with former partner Honda Motor Company. Further, it already has distribution partners in both the countries viz., Columbia and Bangladesh. Hero Motorcorp is looking to set up fully fledged manufacturing units in both the countries by the end of the current fiscal. This expansion will help the company increase its market share in these geographies. The company has already started to export its vehicles in central and Latin America and Africa and has appointed new distributors and added channels. The products to be sold in various international markets are in the 100-125 cc range.