Stocks to Watch: CIL, Infosys, Adani Ports, PGCL, Jindal Steel, IHCL

Coal India: State-owned Coal India has reported a consolidated net profit of ₹7,755.55 crore for the third quarter (Q3FY23), up 70% from ₹4,558.39 crore in the corresponding quarter of last year, as production at the company increased due to higher power demand amid extreme weather conditions. That beat an average estimate of ₹7,678.03 crore by Bloomberg analysts. On a sequential basis, net profit after tax (PAT) rose 28% from ₹6,043.55 crore in the previous quarter (Q2FY23).

Infosys: Software services major Infosys on Tuesday admitted that it has appealed against a corporation tax assessment by the UK authorities as British media reports referenced the company’s annual report to reveal the dispute. Reports here are flagging that the firm co-founded by British Prime Minister Rishi Sunak’s father-in-law, Narayana Murthy, was contesting a GBP 20 million tax bill with His Majesty’s Revenue and Customs (HMRC) department.

Power Grid Corporation: State-run Power Grid Corporation on Tuesday posted a nearly 11% rise in its consolidated net profit to ₹3,645.34 crore in the December quarter compared to a year ago mainly on the back of higher revenues. The consolidated net profit of the company was ₹3,292.97 crore in the quarter ending December 31, 2021, a BSE filing showed. The total income of the company rose to ₹11,530.22 crore in the quarter from ₹10,723.61 crore in the same period a year ago.

Jindal Steel: Jindal Steel on Tuesday reported a 67.9% decline in consolidated net profit to ₹518.67 crore for the December 2022 quarter. This is against a net profit of ₹1616.67 crore in the year ago period. The consolidated revenue from operations declined by 0.57% to ₹12,452.44 crore as against ₹12524.86 crore in the corresponding quarter last fiscal. Jindal steel and Power reported production of 2.06 Mt during the quarter, which was 13% higher sequentially. The sales came in at 1.90 Mt, down 6% QoQ.

Adani Ports: The Adani Group on Tuesday acquired the strategic Israeli port of Haifa for USD 1.2 billion and vowed to transform the skyline of this Mediterranean city as part of its decision to invest more in the Jewish nation, including opening an artificial intelligence lab in Tel Aviv. Adani Group chairman Gautam Adani, whose business empire was rocked by allegations of fraud by US short seller Hindenburg Research, appeared alongside Israeli Prime Minister Benjamin Netanyahu for signing of the deal to takeover Haifa Port, and spoke of investment opportunities.

Tata Motors: Tata Motors on Tuesday said it has raised the second and final tranche of ₹3,750 crore from TPG Rise Climate as per an agreement inked in 2021. In October 2021, Tata Motors announced that it will raise USD 1 billion in its passenger Electric Vehicle (EV) business from TPG Rise Climate in exchange for compulsorily convertible preference shares to create a portfolio of EVs and dedicated Battery Electric Vehicle (BEV) platforms. Tata Motors and TPG Rise Climate entered into a binding agreement under which TPG along with its co-investor ADQ to invest in a subsidiary of Tata Motors.

Godrej Consumers: Godrej Consumers on Tuesday reported a 3.5% rise in consolidated profit to ₹546.3 crore in the December 2022 quarter. This is against a net profit of ₹527.6 crore in the year ago period. The consolidated revenue from operations was up by 9% to ₹3,598.9 crore as against ₹3,302.6 crore in the corresponding quarter last fiscal. Total expenses were higher at ₹2,969.52 crore as against ₹2,714.32 crore in the year ago period.

Indian Hotels Company: Tata group hospitality firm Indian Hotels Company Ltd on Tuesday reported an over four-fold rise in consolidated net profit at ₹403.56 crore December 2022 quarter. This is against a consolidated net profit of ₹95.96 crore in the year-ago period. The consolidated revenue from operations rose by 51.6% to ₹1,685.8 crore as against ₹1,111.22 crore in the corresponding period previous fiscal, it added. Total expenses were higher at ₹1,248.62 crore in the third quarter, up from ₹1,014.23 crore a year ago.

Vodafone Idea: Crisis-ridden telco Vodafone Idea on Tuesday said its board has approved an issue of optionally convertible debentures of up to ₹1,600 crore to vendor American Tower Corporation. After a meeting of the board of directors, the company in a regulatory filing said that it will convene an extraordinary general meeting on February 25 to seek shareholders’ nod for the same. “The funds so raised shall be used to pay amounts owed by the Company to ATC under the master lease agreements and, to the extent of the remainder, for general corporate purposes of the Company,” the filing said.

Westlife Foodworld: Westlife Foodworld Ltd kept the ball rolling in the December quarter (Q3FY23), but that was pretty much expected. It clocked the highest-ever quarterly revenue of ₹611.5 crore. This represents 28% year-on-year (y-o-y) growth. The operator of McDonald’s restaurants in west and south India saw an increase in footfalls in the last quarter. This led to same-store sales growth (SSSG) of 20% y-o-y. In Q2, helped by a lower base, SSSG stood at a higher rate of 40%. However, in Q3, average sales per store on a trailing 12 months basis was higher sequentially.