Indian equity markets languished in the red throughout today's trading session on the back of persistent selling activity across index heavyweights. Although some attempts were made to inch towards the dotted line, these proved futile as profits booking once again took toll in the later hours. While the BSE-Sensex today closed lower by 175 points, the NSE-Nifty closed lower by 62 points. The BSE Mid Cap and the BSE Small Cap were not spared either and lost around 1% each. Losses were largely seen in banking, metals and oil & gas stocks.
As regards global markets, Asian indices closed mixed today while most European indices have opened in the green. The rupee was trading at Rs 63.33 to the dollar at the time of writing.
MNC Pharma stocks closed mixed today. While Pfizer and Sanofi India found favour, GSK Pharma and Abbott India closed into the red. GSK Pharma announced results for the third quarter ended September 2013 (December ending company). The company's net sales during the quarter declined by 7% YoY. It must be noted that most pharma companies witnessed muted sales in the domestic market during the quarter on account of trade disruptions and impact of the new pricing policy. Operating profits plunged 45% YoY as margins shrank by 12.3% to 18.2% during the quarter. The same was on account of a considerable rise in staff costs and other expenditure (as percentage of sales). As a result, net profits fell by 34% YoY. However, on excluding the extraordinary items during both the periods, the fall in net profits was steeper at 40% YoY.
As per a leading business daily, Godrej Consumer Products Ltd (GCPL) announced results for the second quarter ended September 2013. The company's net sales on a consolidated basis were up 22.5% YoY probably led by growth across product segments. Net profits also grew by a healthy 22% YoY. The company focused on strengthening its position in its core businesses as well as making new product launches during the quarter. Going forward, although GCPL has been witnessing robust topline growth, ad-spends in the domestic markets are expected to remain high due to ads being regulated per hour of broadcast by the government. Even margins in the Indonesian and African markets are likely to remain depressed in the near term. The stock closed higher today.