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Indian Stock Market News, Equity Market and Sensex Today in India | Equitymaster
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Not a great start to the week! 
(Mon, 16 May Closing) 
 
There was no let up in selling activity during the closing stages of the day and as a consequence, the Indian stock market ended the first day of the week significantly in the red. While BSE-Sensex lost in the region of around 190 points (down 1%), NSE-Nifty ended lower by around 50 points (up 0.8%). The BSE Midcap and BSE Small cap indices weren't spared either as both of them closed lower by around 0.8% each. More than six stocks declined for every one stock that closed the day in the positive on the Sensex.

Most Asian indices closed the day in the red whereas Europe too is trading below the breakeven currently. The rupee was trading at Rs 45.1 to the dollar at the time of writing.

Lakshmi Energy came out with its quarterly results recently. The company's consolidated topline fell by 1% during 2QFY11 (September ending company). Consolidated operating (EBITDA) margins fell by 2.9% due to sharp increase in other expenditure. Consolidated net profit fell by 51.4% YoY as a result of fall in operating income and a sharp jump in interest costs. For 1HFY11, the company's consolidated profits fell by 40% YoY on the back of a 1% growth in topline. Sales fell during the quarter in spite of a 10% YoY increase in agri business. This is because the company's energy business was not operational for the quarter. The company has recently taken the initiative to increase its presence in the retail market through basmati rice. We believe the next 2 to 3 quarters will be crucial for the company to make a success of its new initiative.

Deccan Chronicle was another mid cap company that announced its results recently. And even here, the performance has been nothing to write home about. The company posted a loss to the tune of Rs 0.5 bn on the back of a 61% rise in topline. The key reason for the loss has been the other expenditure component that jumped nearly 6-fold and ultimately led to a loss at the operating level. It should be noted that the numbers for the two periods are not strictly comparable as numbers for the most recent quarter includes those of subsidiaries that the company has decided to merge with itself. However, the bottomline turning into a loss during the quarter is still a matter of concern. For the full year though, bottomline is in positive but has come in lower by 38% over FY10 on the back of a 9% growth in topline. The stock closed lower by 4% today.

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Jul 26, 2017 (Close)

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