The Indian stock markets continued on its losing streak, closing 2% lower for the week. The indices opened below the dotted line, and moved into the positive in the first half of today's session. However, they could not hold onto their gains and slumped into the red towards the final hours of trade. While BSE-Sensex ended lower by around 151 points (down 0.9%), losses on the NSE-Nifty came in at around 42 points. BSE Mid Cap and BSE Small Cap indices also faced losses closing lower by 0.7% and 0.6% respectively.
While most Asian indices closed the day in the negative, most of Europe is trading in the green currently. The rupee was trading at Rs 50.05 to the dollar at the time of writing.
Stock markets in other parts of the world, were however, in the positive today. They brushed aside concerns that leaders in the Eurozone might not reach a decision on how to deal with the current debt crisis plaguing the region. However, markets may still not be out of the woods just yet.
Idea Cellular declared its results for second quarter of the financial year 2011-2012 (2QFY12). Its consolidated sales grew by 26.1% YoY during 2QFY12. The growth was led by a growth in the subscriber base, which offset the impact of lower average revenue per user (ARPU) during the quarter. The company's mobile subscriber base grew by 26.1% YoY during the quarter. Total count of subscribers stood at around 106.2 m at the end of September 2011. Its operating margins improved by 2.1% YoY during the year owing to lower network operating expenses which offset the marginal increase in access charges and selling & marketing costs (as percentage of sales). Profit however tanked by a whopping 55.5% YoY during the quarter. This was on account of huge jump in tax outgo as well as higher interest costs during the quarter. The stock closed 2% lower for the day.
Godrej Consumer Products (GCPL) declared its results for second quarter of the financial year 2011-2012 (2QFY12). The consumer goods company's top line grew by 23% YoY during 2QFY12. The sales for the first half came in over 30.3% higher on a YoY basis. Operating profitability was maintained during the quarter backed by controlled costs. As a percentage of sales, cost of goods sold increased whereas staff costs and advertisement expenses were reined in. But the operating margin for 1HFY12 contracted by 1.6% due to a rise in cost of goods sold and higher advertising spends. Net profits remained flattish during 2QFY12 on account of a sharp 171% YoY jump in interest outgoings. However, net profit for 1HFY12 surged by 45.6% YoY due to a 326% YoY rise in exceptional income. The company received a one-time compensation of Rs 1.6 bn for surrendering its manufacturing and distribution license for the Kiwi shoe polish brand. The stock closed 1.5% lower in today's trade.