This is a roundup of the day’s top stories in brief.
1. TCS Q1 - Strong Earnings Performance
- Revenue rose 6.8 percent quarter-on-quarter to Rs 34,261 crore.
- Net profit rose 6.3 percent sequentially to Rs 7,340 crore. Analysts’ consensus estimate was Rs 6,957 crore.
- Operating margin contracted 40 basis points to 25 percent
India's largest software services provider saw the North America business, that contributes more than half to its total revenue, grow at its fastest in the last three years.
“Our banking vertical recovered very nicely this quarter, while other industry verticals maintained their momentum,” said Chief Executive Officer Rajesh Gopinathan in a media statement. “With a good set of [deal] wins during the quarter, a robust deal pipeline and accelerating digital demand, we are positioned well for the future.”
2. Axis Bank Board Shortlists Three Candidates For MD And CEO Post
The board of Axis Bank today shortlisted three candidates who could succeed Shikha Sharma as managing director and chief executive officer after she steps down in December.
The board will now send the list of candidates, in the order of preference, to the Reserve Bank of India for approval, Axis Bank said in its filing with the stock exchanges. Once the banking regulator selects a candidate, the process of succession will begin, the lender added.
3. Sensex Ends Near Record High On Earnings Optimism
Indian equity benchmarks rose for a third day in a row with the S&P BSE Sensex closing near record highs as investors expect earnings growth to continue in June quarter.
The S&P BSE Sensex rose 0.85 percent or 305 points to 36,240 and the NSE Nifty 50 index climbed 0.87 percent or 94 points to 10,947.
June quarter earnings are likely to improve on a low base in the comparable period when traders reduced stocks in the run up to implementation of the goods and services tax in July last year, AK Prabhakar, head of research at IDBI Capital, told BloombergQuint over phone. "We are expecting double-digit earnings growth, and this will improve investor sentiment," he said.
4. India’s Top Court Starts Hearing Case On Legalization of Gay Sex
The Supreme Court of India today began hearing a case that could strike down a 158-year-old colonial-era law that criminalizes gay sex in the world’s second-most populous country.
A panel of five judges headed by Chief Justice of India Dipak Misra heard legal arguments against Section 377 of the Indian penal code, which bans gay sex. The case could have a wide-ranging impact on how lesbian, gay, bisexual, and transgender citizens are treated across the subcontinent.
The Delhi High Court previously decriminalized homosexuality by declaring that Section 377 was unconstitutional in 2009. That ruling was overturned by a two-judge panel at the Supreme Court in 2014, which said a change in the law could only come from India’s parliament.
5. Andhra Pradesh Tops Ease Of Doing Business Rankings
Andhra Pradesh has topped the ease of doing annual business ranking of states and Union Territories by the World Bank and Department of Industrial Policy and Promotion.
Telangana and Haryana are at the second and third positions, respectively, according to a statement issued by the DIPP.
Others in the top ten are:
- Jharkhand (4)
- Gujarat (5)
- Chhattisgarh (6)
- Madhya Pradesh (7)
- Karnataka (8)
- Rajasthan (9)
- West Bengal (10)
Meghalaya was ranked last at the 36th position.
6. City Gas Auctions Draw A Crowd
Adani Group today emerged as the top bidder for city gas retailing licences, eyeing as many as 52 cities, while the Reliance-BP combine took a close look at bidding but dropped out at the last moment, a PTI report said citing unnamed sources.
GAIL Gas Ltd., the city gas distribution arm of state-owned GAIL India Ltd., put in bids for close to 30 cities, sources privy to the development said.
Adani Gas Ltd. bid for 32 cities on its own and another 20 cities in equal joint venture with state-owned Indian Oil Corporation Ltd.
Essel Infraprojects Ltd. has put in a total of seven bids. Other subsidiaries of GAIL, Mahanagar Gas Ltd. and Gujarat State Petroleum Corporation Ltd. too made bids for the licence.
As many as 86 geographical areas in 174 districts are on offer—higher than the previous edition—bidding for which ends this evening. Bidders have been asked to quote the number of compressed natural gas stations to be set up and number of domestic cooking gas connections to be given in the first eight years of operation.
The ongoing round will see a four-fold rise in investment, ratings agency Crisil said in a statement. The government expects to net Rs 70,000 crore from winning bidders, or nearly four times the Rs 15,000-18,000 crore that was invested in the year ended March 2018.
7. Maruti Gains Market Share In June Quarter; Tata Motors Overtakes Honda
The country's largest carmaker Maruti Suzuki India Ltd. tightened its grip on the domestic passenger vehicles segment by increasing its market share to 52.54 percent in the quarter ended June.
During the April-June period, Tata Motors Ltd. overtook Honda Cars India to become the fourth-largest player in terms of market share.
According to the latest data by Society of Indian Automobile Manufacturers, domestic passenger vehicle sales grew 19.91 percent to 8,73,501 units as against 7,28,483 units in the previous quarter.
8. Tesla Plans China Plant With 500,000 Vehicle Capacity
Tesla Inc. has reached a preliminary agreement with the Shanghai government to build a factory that’ll rival production from its lone U.S. assembly plant, as Elon Musk takes his biggest step yet to expand overseas.
The electric-car maker’s planned capacity for the factory is 500,000 vehicles a year, the Shanghai government said in statement. Bloomberg reported earlier that Musk, Tesla’s chief executive officer, would be in the city for an event with the government on Tuesday. A Tesla representative in China didn’t immediately respond to a request for comment.
9. Which Team Will Stand On The Podium On Sunday Night?
From 32, we are now down to four teams in Russia and if the past 26 days are any indication, this World Cup has been all about the neutrals.
Of the pre-tournament favourites, only France and Belgium survived the curse of ‘Russia 2018’ and England, who have been the perennial underachievers, are also among last four after 28 years. The fourth team to survive are Croatia who made their only semi-final appearance so far in at their debut outing in 1998.
But which team will stand on the podium on Sunday night? Are there more upsets in store? And will England’s ‘it’s coming home’ chants finally lead to victory dance with the trophy?
10. Good Reads
BloombergQuint special stories/columns that may interest you...
Oh and in case you haven’t heard yet - after an 18-day ordeal the young footballers in Thailand are all safe with their coach and the rescue teams that toiled hours to rescue them from with a labyrinthine cave network. The rescue effort that grabbed the attention of the world unfortunately took the life of an experienced volunteer diver.