Business News Live: Maruti Suzuki beats profit estimates in Q1 on strong SUV demand

India’s leading auto manufacturers in the automotive industry have recorded a marginal dip in sales in July 2024. The majority of auto manufacturers like Maruti Suzuki, Hyundai, and Tata Motors have recorded a decline in July, but on the other hand, Mahindra & Mahindra and Toyota Kirloskar Motors have recorded a growth in this period. The retail sales of SUVs have also been a key player in driving a wave of surge in sales for most of the auto manufacturers in India. 

JK Tyre & Industries on Saturday reported a 37 per cent year-on-year increase in consolidated net profit at Rs 211 crore in the first quarter that ended June 30, 2024. The tire manufacturer has reported a net profit of Rs 154 crore for the April-June quarter of last fiscal. JK Tyre in a regulatory filing said Total income declined to Rs 3,655 crore for the period under review from Rs 3,726 crore in the June quarter of FY24. 
 

Infosys has received a tax evasion demand exceeding Rs 32,000 crore from the Directorate General of GST Intelligence (DGGI), according to media reports. In an exchange filing, the IT major has also accepted receiving the pre-show cause notice for payment of GST of Rs 32,403 from Karnataka State GST authorities.

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Tata Steel reported a significant 75 per cent rise in its consolidated net profit to Rs 918.57 crore for the quarter ending June 2024, driven by reduced expenses. The company had posted a net profit of Rs 524.85 crore in the same period of the previous fiscal year, according to an exchange filing.

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Cigarette maker Godfrey Phillips India Ltd on Wednesday said it is going ahead with plans to exit from the retail business operated under the 24Seven' brand following the setting aside of an interim injunction on the move by a district court in the Capital.

Earlier an injunction order was passed against the hiving of the retail business on June 27, 2024, by a city court here over an application filed by its executive director Samir Kumaar Modi.

 Bank of Baroda (BoB) reported a 10 per cent rise in its standalone net profit for the June 2024 quarter, reaching Rs 4,458 crore, driven by a decline in bad loans.

The state-owned bank's net profit in the corresponding period last year was Rs 4,070 crore.

The Securities and Exchange Board of India (SEBI) has revised regulations to enforce greater transparency in the financial markets. Under the new rules, stock exchanges and clearing corporations are now required to disclose their shareholding patterns on their websites every quarter.

The updated regulations amend the Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018. According to the new requirements, these entities must publish their shareholding patterns in accordance with the format and requirements specified for listed companies under SEBI’s Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.

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The adoption of EVs in India has seen a surge due to incentives and other benefits. Due to some challenges, consumers are going back to ICE-powered vehicles.


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India's leading car manufacturer Maruti Suzuki launched the Swift with a new Z-Series engine, which has a downsizing of cylinders and improved fuel efficiency.

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Boeing Co. has named aerospace industry veteran Kelly Ortberg as its new President and CEO, effective August 8, 2024. Ortberg, a former executive at Rockwell Collins, is tasked with leading the company through a challenging period following its reported $1.4 billion loss.

The announcement comes as Boeing posted a larger-than-expected quarterly loss, driven in part by ongoing issues within its Defense, Space, and Security unit. This segment, one of Boeing’s three primary business units, has struggled with significant financial losses over the past two years due to cost overruns on fixed-price contracts, which have been exacerbated by inflationary pressures. The unit recorded losses of $1.76 billion last year.

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Wayanad landslides: Adani Group chairman Gautam Adani has come out in solidarity with the victims of the landslide in Kerala's Wayanad that has claimed close to 150 lives already. Adani has extended a contribution of Rs 5 crore to the Kerala Chief Minister's Distress Relief Fund.

With a rise in demand for SUVs in India and due to poor sales of sedans, automobile manufacturers have discontinued their legendary D-segment sedans in India.

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 Adani Power announced a significant 55 per cent decline in its consolidated net profit for the June quarter, falling to Rs 3,913 crore from Rs 8,759 crore in the same period last year, primarily due to increased expenses.

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The Rupee consolidated within a narrow range and concluded the day marginally higher by 1 paisa, settling at 83.72 (provisional) against the US Dollar on Wednesday. This slight appreciation was supported by positive domestic equities but was offset by month-end Dollar demand from importers.

Forex traders noted that significant foreign fund outflows and an overnight surge in crude oil prices exerted pressure on the local currency.

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Maruti Suzuki, India’s leading carmaker by sales, reported impressive first-quarter results on Wednesday, with profit surpassing market expectations due to robust demand for its sport utility vehicles (SUVs). The company’s shares rose by 3.9 per cent following the announcement.

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Finance Minister Nirmala Sitharaman addressed the Rajya Sabha on Wednesday, responding to various questions raised by opposition parties regarding the Budget 2024. Highlighting the budget's balanced approach to growth, employment, welfare, capital investment, and fiscal consolidation, Sitharaman provided detailed responses to the concerns raised by opposition members.

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The domestic stock markets continued their positive momentum from yesterday buoyed by substantial gains in metal and pharma stocks. Bombay Stock Exchange’s 30-share Sensex jumped 286 points or 0.35 per cent to inch closer to its 52-week high. Sensex ended at 81,740, whereas the National Stock Exchange’s Nifty 50 ended 94 points or 0.38 per cent high at 24,951.

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Intel Corp. plans to eliminate thousands of jobs in a strategic move aimed at reducing costs and funding an ambitious effort to rebound from an earnings slump and market share losses, Bloomberg reported, quoting sources familiar with the company's plans. 

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OpenAI's highly anticipated Advanced Voice Mode for ChatGPT, first showcased at the GPT-4o launch event in May, is finally starting to roll out to some Plus subscribers. The feature, which generated significant buzz for its advanced capabilities, is now being gradually introduced, though a full release may not occur until the end of the year. 

The rollout, currently in its alpha phase, is intended to ensure the quality of the user experience. According to a message in the ChatGPT app, OpenAI is "slowly enrolling users in the alpha to ensure the quality of the experience." This careful approach is intended to balance the excitement of early access with the need to refine the feature before a broader release.

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At least 158 people have been killed and over 200 injured following massive landslides in the hilly areas near Meppadi in Wayanad. 

Government data indicates that more than 180 individuals are feared trapped under the debris, as multiple agencies and the Army work tirelessly to rescue as many as possible.

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 Hamas leader Ismail Haniyeh was assassinated early Wednesday morning in Iran, the Palestinian militant group announced, raising fears of further escalation in a region already destabilised by Israel's war in Gaza and a worsening conflict in Lebanon.

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Singapore has relaxed its immigration policies to allow students to become permanent residents more easily. According to media reports, Student Pass holders can now apply for Singapore Permanent Residency if they have passed at least one national exam or are part of the Integrated Programme, regardless of how long they have been studying in Singapore. 

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Mahindra & Mahindra, the country's largest sports utility vehicle and tractor maker, on Wednesday said that its consolidated net profit in first quarter of current financial year declined 6.43 per cent to Rs 3,282.63 crore from Rs 3,508 crore in the same period last year.

The declined in profit came on the back of rise in expenses. its total expenses on June quarter rose 9 per cent annually to Rs 33,330.06 crore as against Rs 30,492 crore in the year ago period.

Hurry up! Today marks the final opportunity to file your Income Tax Return (ITR) for this assessment year. As of now, a total of 6,09,15,089 returns have been filed for AY 2024-25. Out of these, 5,42,35,986 returns have been verified, with 2,56,42,466 of them processed. The figures highlight the active participation of taxpayers in fulfilling their tax obligations, with 12,50,75,497 individual users registered for this year's filing season.

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India Ratings & Research (Ind-Ra) has revised its GDP growth forecast for the current fiscal year, increasing it to 7.5 per cent from the earlier projection of 7.1 per cent. The upward revision is attributed to expectations of improved consumption demand.

The agency highlighted that the ongoing growth momentum, driven by government capital expenditure, deleveraged balance sheets of corporations and banks, and the early stages of a private corporate capex cycle, has received additional support from the union government's budget. The budget aims to enhance agricultural and rural spending, improve credit delivery to MSMEs, and incentivize job creation.

Shares of real estate firm Omaxe Ltd. plummeted by 5 per cent to hit lower circuit of Rs 152.20 on Wednesday following the Securities and Exchange Board of India’s (SEBI) decision to bar the real estate company, its Chairman Rohtas Goel, Managing Director Mohit Goel, and three other individuals from the securities market for two years. The action was taken due to irregularities in the company's financial statements.

On the BSE, Omaxe's stock hit the lower circuit limit, falling 4.99 per cent to Rs 152.20 per share. Similarly, on the NSE, the stock declined by 5 per cent to the lower circuit limit of Rs 154.19 per share. In contrast, the BSE Sensex index rose by 259.06 points, or 0.32 per cent, to 81,715.36 points, while the NSE Nifty increased by 44.40 points to 24,901.70.

Short-term Japanese government bond yields scaled 15-year peaks and Japanese bank shares soared on Wednesday as the Bank of Japan raised interest rates for only the second time since 2007 while announcing a halving of its monthly bond buying.

The two-year JGB yield  as much as 8 basis points (bps) to reach 0.45 per cent for the first time since April 2009. The five-year yield added 8 bps to 0.665 per cent, the highest since November 2009.

The Tokyo Stock Exchange's banking index advanced 4.7 per cent, with big gains for lenders helping the Nikkei share average.

Shares of GAIL India, the country's largest gas transportation and distribution firm, surged by 5.43 per cent to reach a new 52-week high of Rs 246.35, following the announcement of its strong first-quarter earnings. The company's consolidated net profit jumped by 77.5 per cent to Rs 3,183.35 crore in the April-June quarter, compared to Rs 1,792.99 crore in the same period last year. This exceeded analysts' expectations, who had forecasted a net profit of Rs 2,210 crore.

The rise in net profit was driven by a doubling of earnings from the gas marketing business and 40 per cent increase in earnings from the gas transportation business. Pre-tax earnings from natural gas transmission grew to Rs 1,446.87 crore, up from Rs 1,028.33 crore in the previous year. Natural gas marketing earnings saw a significant rise, reaching Rs 2,036.13 crore, compared to Rs 1,045.87 crore in the same period last year. Revenue from operations increased to Rs 33,692 crore in Q1 FY25, up from Rs 32,227 crore in Q1 FY24.
 

Shares of BSE Ltd. surged by 8 per cent to hit an intraday high of Rs 2,607, following the Securities and Exchange Board of India’s (SEBI) proposal to tighten rules for trading index futures and options contracts. Analysts believe that these tighter regulations could potentially shift trading volumes towards BSE, as most index derivative contracts are currently traded on the National Stock Exchange.

On Tuesday, SEBI suggested revising the minimum contract size for index derivatives and mandating upfront collection of option premiums. These measures aim to curb speculative trading, in line with recent concerns raised by the government and economic analysts. Earlier this month, government increased the securities transaction tax (STT) on futures and options trades starting October 1, citing the need to manage the hyperactivity in the derivatives segment.

Capital markets opened slightly higher on Wednesday, buoyed by gains in Maruti Suzuki India ahead of its quarterly results. Analysts anticipate ongoing profit booking as benchmark indexes remain close to record highs.

Japan's Nikkei share average dropped nearly 1 per cent on Wednesday, influenced by reports that the Bank of Japan(BOJ) is contemplating an imminent interest rate hike. As of 0055 GMT, the Nikkei fell 0.9 per cent  to 38,186.48, while the broader Topix decreased by 0.5 per cent.

Markets regulator Sebi on Tuesday proposed tightening the rules for index derivatives by revising the minimum contract size and requiring upfront collection of option premiums to curb speculative trading.

Billionaire Gautam Adani-led group's power transmission unit has raised $1 billion through a share sale, the first public equity raise by the conglomerate since a damning Hindenburg report, which wiped away billions in shareholder value.

Gift Nifty is down 0.04% at 24,920