The major Asian stock markets have opened the day on a mixed note with stock markets in Japan (down 0.8%) and Taiwan (down 0.2%) leading the losses. However, the stock markets in Indonesia (up 1.4%) and Singapore (up 0.3%) were leading the gains. The Indian share markets have also opened the day on a strong note. Barring metal and software, all sectoral indices have opened in the green with stocks in realty and power space leading the gains.
The Sensex today is up by around 82 points (0.3%), while the NSE-Nifty is up by about 19 points (0.3%). The midcap and smallcap stocks have also opened in the green with BSE Mid Cap and BSE Small Cap indices up by around 0.4% and 0.3% respectively. The rupee is currently trading at Rs 59.53 to the US dollar.
Asian Paints Ltd has announced results for the quarter ended March 2014. The company has reported a 22% year on year (YoY) growth in the consolidated revenues and 14.5% YoY growth in the bottomline during the quarter on the back of strong revenues from tier 2 and tier 3 cities. The gains were mainly led by markets such as Bangladesh and Nepal. The consolidated numbers include financials of Sleek International, a kitchen solutions company in which Asian Paints acquired a 51% stake in March last year. The net profit at India's business registered a growth of 12% YoY. For standalone India's business, revenues were up 22% YoY. As per the management, despite the sluggish macro environment, the decorative paint business in India remained resilient. The management has announced that it had entered into a binding agreement with Ess Ess Bathroom Products Pvt. Ltd (Ess Ess) to acquire its entire front-end sales business including brands, network and sales infrastructure. Ess Ess is an established player in the bath and wash business segments in India. Besides, the company has entered into an agreement with Kadisco Chemical Industry Plc, Ethiopia to acquire 51% of its share capital.
Power stocks have opened the day mainly in the green with Reliance Infrastructure Ltd and Indiabulls Power Ltd leading the gains. As per a leading financial daily, Power Grid Corporation of India (PGCIL) has received an approval for four investment proposals worth around Rs 18 bn. The first investment approval is for Eastern Region Strengthening Scheme-XII (ERSS-XII) at an estimated cost of Rs 5.2 bn. The commissioning schedule for ERSS -XII is 30 months from the date of investment approval. The second approval is for Eastern Region Strengthening Scheme-XIII (ERSS-XIII) at an estimated cost of Rs 1.2 bn, with commissioning schedule of 30 months from the date of investment approval. Besides, the third proposal is for Static VAR Compensators (SVCs) in Northern Region at an estimated cost of Rs 8.3 bn, with commissioning schedule of 27 months from the date of investment approval. The final approval is for installation of Bus Reactor and ICT in Western Region at an estimated cost of Rs 3 bn, with commissioning schedule of 26 months progressively from the date of investment approval.