Most of the other Asian indices closed flat to negative with Hong Kong leading the gainers. Europe is currently trading mixed. The rupee was seen trading at Rs 44.71 to the dollar at the time of writing.
Hindustan Unilever has reported its results for 4QFY11. The company registered a top line of Rs 50 bn, up 13.5% YoY. The increase was on account of hike in average prices and higher volumes. The company reported a bottom-line of Rs 5.7 bn , down 2% YoY. The net profit declined on account of increase in cost of raw materials and an adverse base effect as last year it witnessed higher exceptional gains. Excluding interest and exceptional items, the profit came at Rs 6.5 bn, up 12.8% YoY. The company said that it was able to pass on some price hikes to consumers. The management expects high input cost and intensifying competition to continue in the future.
The company's domestic consumer goods business grew 14%, home and personal care business grew 13.6%, while soaps and detergents grew 11.4%.The input costs were up by 18.7% YoY, while total expenses were up 14.1%. The company's EBITDA margin in the quarter was 11.8% (versus14.1% in the 3QFY11). The company registered an exceptional profit of Rs 47.8 crore from sale of properties (versus Rs 5.5 crore in the year ago quarter).
Auto ancillary major Bharat Forge has entered a joint-venture agreement with David Brown Group, suppliers of engineered gearboxes for heavy industrial segments. The companies will have equal equity partnership in the venture. Bharat Forge, which makes machine components for automotive and non-automotive sectors, through this move hopes to diversify into non-auto business sectors. The company also wants to supply equipment to India's fast-growing infrastructure market. The joint venture will be called David Brown Bharat Forge Gear Systems India Ltd, and will supply gearboxes and other products to power, mining, defense and related companies