After trading flat, Indian share markets recovered and are trading in the positive territory in the post-noon trading session. Majority of the sectoral indices are trading in the green with consumer durables, metal and banking stocks being the biggest gainers. Pharma, FMCG and power are the only stocks trading in the red.
Majority of the power stocks are trading in the red with JaiPrakash Power and Power Grid Corporation being the biggest losers. However, CESC Ltd and Torrent Power are among the few stocks trading in the green. As per a leading financial daily, Power Grid Corporation Ltd (PGCL) has said that it would invest Rs 28.2 bn in four projects. The company will invest Rs 13.6 bn in 'Eastern Region Strengthening Scheme-V' project that is expected to be commissioned in 30 months. An amount of Rs 13.2 bn would be expended on 'Inter-Regional System Strengthening Scheme in WR and NR (Part A)' project likely to go on-stream in 36 months. PGCL will be developing a 'Transmission System' for Solapur at an estimated cost of Rs 633.2 m and will be commissioned in 24 months. Additionally, the company will procure telecom equipment, operation support system and other telecom network requirements at a cost of Rs 763 m. The Company Board gave its approval to the investment proposals at the Board meeting held on 23 October.
Most of the Indian pharma stocks are trading in green with Elder Pharma and JB Chemicals being the leading gainers. Cadila healthcare has declared September quarter results. The company has reported topline growth of 12.5% YoY with large part of sales growth coming from export formulations and export API segments. Barring Japan, all the geographies witnessed growth above 20% for the quarter. The domestic sales witnessed muted growth of 4.8% YoY for the quarter. On the margins front, EBITDA margins remained flat at 14.9%. Profit after tax jumped by 93.4% YoY. This was due to decline in finance costs and tax expenses. The tax rate for the quarter stood at 5.0% vs 32.3% in 2QFY13. Cadila's stock is currently trading up by 2.3%.