Indian equity markets struggled to stay afloat for the larger part of the trading session today. However, buying activity across index heavyweights intensified in the later hours pushing the indices well above the dotted line. While the BSE-Sensex today closed higher by 131 points, the NSE-Nifty closed higher by 47 points. The BSE Mid Cap and the BSE Small Cap also did well and gained around 1% each. Gains were largely seen in banking, metals and oil & gas stocks.
As regards global markets, most Asian indices closed in the red today while European indices have opened mixed. The rupee was trading at Rs 61.45 to the dollar at the time of writing.
Pharma stocks closed mixed today. While Biocon and Glenmark found favour, Dr.Reddy's and Ranbaxy closed into the red. Dr.Reddy's announced results for the second quarter and half year ended September 2013. Consolidated revenues were up 17% YoY led by the 32% YoY growth in the global generics business. The Pharmaceutical Services and Active Ingredients (PSAI) business did not do well as revenues were down 19% YoY. Revenues from the global generics segment were driven by North America, Russia and other emerging markets. North America saw a growth of 43% YoY led by revenues from various limited competition products as well as significant traction in market share of key existing products. Growth in emerging markets was led by Russia which was up 44% YoY. Revenues from the domestic market grew at a lower rate of 8.5% YoY on account of trade disruptions and the impact of the new pharma pricing policy. The PSAI business witnessed de-growth on account of lower number of 'launch molecules' to customers during the quarter.
Pidilite Industries also announced results for the second quarter and half year ended September 2013. The company reported a revenue growth of 22% YoY during the quarter. Growth was led by the company's industrial products division which increased by 27% YoY and formed over 19% of gross revenues. Its largest business segment, the consumer products division, reported a growth of about 20% YoY. The international business also did well in most regions barring the Middle East and Africa. PIL's operating profits increased by 32% YoY during the quarter largely due to lower advertising and promotional expenses (as a percentage of sales). Pidilite's profit before tax increased by 29% YoY, while net profits grew at a relatively slower pace of 24% YoY on the back of a higher tax outgo. The latter was on account of higher tax surcharge coupled with the end of certain tax benefits for its manufacturing plants. The stock closed higher today.