BQuick On Oct. 14: Top 10 Stories In Under 10 Minutes
This is a roundup of the day’s top stories in brief.
1. Uday Kotak Says Move Beyond ‘Quarter-To-Quarter’ Mindset
Billionaire banker Uday Kotak has said corporate India needs to start focussing on a medium-term outlook instead of looking at their business situation on a quarterly basis.
- “It’s important that the private sector changes its quarter-to-quarter psychology and adopts a medium-term strategy instead,” Kotak, president of Confederation of Indian Industry, told Quintillion Media’s Sanjay Pugalia in an interview.
- “Along with growth, sustainability is important. Over a longer period, growth needs to be resilient and not volatile,” he said.
- This, he said, will also help address a lack of trust in private corporates.
Trust will be built if the private sector looks at the medium term and not the short term.Uday Kotak, President, CII
Read more to see Kotak’s view on banking, digital services, IL&FS and areas where India needs investments.
2. Infosys Raises Growth Guidance, Resumes Salary Hikes
Infosys Ltd.’s quarterly profit rose in the September quarter after it ramped up deal execution as headwinds due to the Covid-19 pandemic eased. That gave the software services exporter enough confidence to increase its revenue growth forecast for the rest of the fiscal.
- Net profit rose 13.72% sequentially to Rs 4,858 crore.
- Margin expanded to 25.3% from 22.7%.
- Infosys now expects revenue to grow 2-3% in FY21, higher than the 0-2% growth it had guided for earlier.
Find out the drivers behind the company’s growth.
New Year's Gift
The Bengaluru-based IT firm will resume salary increments and promotions from 2021—a practice it had put on hold due to pandemic-related uncertainties.
As a recognition of their stellar performance, we are giving 100% variable pay along with a special incentive for Q2. Additionally, we are rolling out salary increases and promotions across all levels effective Jan. 1.Pravin Rao, COO, Infosys
The wage hikes, promotions and fresh hiring will impact margin in the next quarter.
3. Big Bull Sees A New Bull Run
It’s the darkest before dawn—that’s how billionaire investor Rakesh Jhunjhunwala describes his optimism about India and its equity markets.
- “There are too many indicators to show that typically before the start of a bull cycle, there is a deep fall,” Jhunjhunwala, partner at Rare Enterprises, told BloombergQuint.
- “It happened in September 2001, and then the index that we got never came back,” Jhunjhunwala said.
- Signs are similar to the creation of the bull market, he said.
Watch the full interview to see why Jhunjhunwala thinks the bull run will stay alive.
4. Sensex’s Best Winning Streak Since 2007
India’s equity benchmark rose, clocking its tenth straight session of gains, as investors piled into beaten-down shares in the last hour of trading.
- The S&P BSE Sensex closed 0.4% higher to complete its longest winning streak in 13 years, reversing losses of as much as 0.9% earlier in the day.
- The NSE Nifty 50 Index rose 0.3%, also climbing for 10 days to mark its best run of gains in more than five years.
Follow the day’s trading action here.