Asian stock markets have opened the day on a mixed note with stock markets in Taiwan (down 0.8%), Japan (down 0.4%) and South Korea (down 0.3%) leading the losses in the region. However, markets in Singapore (up 0.5%) and Indonesia (up 0.3%) are trading firm. The Indian share market indices have opened the day on a firm note. Stocks in the FMCG, capital goods and realty space are leading the pack of gainers.
The Sensex today is up by around 56 points (0.3%), while the NSE-Nifty is up by around 15 points (0.3%). Mid and small cap stocks are also trading in the green with the BSE Mid Cap and BSE Small Cap indices up by around 0.5% and 0.4% respectively. The rupee is trading at Rs 56.01 to the US dollar.
Indian pharma stocks have opened the day on a firm note with Torrent Pharma and Orchid Chemicals leading the gains. As per a leading financial daily, Indian pharma firm Lupin is planning to challenge the order of a court in the US state of Delaware that prevents it from selling a low-cost generic version of Pfizer's nerve pain drug pregablin for six years. Last week, the court had allowed Pfizer to retain the marketing monopoly of its two patents for pregablin until December 2018. The order threatens to disrupt Lupin's plan to enter the rapidly growing market of pregabalin in the US. Lyrica, the brand under which Pfizer sells pregablin, accounted for sales worth US$ 1.8 bn in the financial year 2011-12 in the US. Had Pfizer lost this case, Lupin would have got permission to start marketing its drug by October 2013.
Engineering stocks have opened the day on a firm note with Crompton Greaves, Welspun Corporation and Voltas trading firm. Crompton Greaves has announced its financial results for quarter ended June 2012 (1QFY13). During the quarter, consolidated sales grew by 15.3% year-on-year (YoY) to Rs 28,111 m. The growth in the topline was led by power systems segment and consumer products segment, both of which grew by 16.2% YoY and 19.9% YoY, respectively. Operating margins contracted from 7.5% in 1QFY12 to 5.9% in 1QFY13 on account of increase in staff costs and purchase of stock-in-trade. While other income grew by 26.8% YoY during the period, interest expenses and depreciation charges declined by 9.7% and 23.3% YoY, respectively. At the bottomline level, profits increased by 8.1% YoY to Rs 859 m. Net profit margin declined marginally from 3.3% in 1QFY12 to 3.1% in 1QFY13.