Oil India’s Mixed Results, Bharat Electronics’ Profit Surge, RVNL’s Project Win, Whirlpool’s Strong Growth

Opening Bell: 

Gift Nifty is down by 44.5 points in the early morning trade, indicating a negative opening for Indian stock market                                  

Asian markets traded mixed, following an overnight rally in technology stocks on Wall Street. Japan’s Nikkei 225 rose by 0.35%, while South Korea’s Kospi declined by 0.49%. Futures for Hong Kong’s Hang Seng index indicated a weak opening.

The US stock market closed lower on Thursday after the Dow Jones reached an intraday high of 40,000 for the first time. The Dow Jones Industrial Average fell by 38.62 points, or 0.10%, to 39,869.38. The S&P 500 dropped 11.05 points, or 0.21%, to 5,297.10, and the Nasdaq Composite ended 44.07 points, or 0.26%, lower at 16,698.32.

Stocks News:

👉 Oil India reported a 10% sequential decline in Q4FY24 consolidated net profit to ₹2,332.94 crore, but a 17% YoY increase. Revenue rose 16% YoY to ₹10,166 crore. The board recommended a 1:2 bonus share issue and a final dividend of ₹2.50 per share (post-bonus). Q4 EBITDA increased to ₹3,838 crore, with crude oil EBIT up 18% YoY to ₹1,744.75 crore. The company achieved record EBITDA of ₹11,643.30 crore for FY24, driven by record oil and gas production of 6.54 MMTOE. Crude oil production rose 5.76% to 3.359 MMT, and 61 wells were drilled during the year.

👉 Bharat Electronics (BEL) reported a 30% increase in Q4 consolidated net profit to ₹1,797 crore. Revenue from operations rose 32% to ₹8,564 crore, up from ₹6,479 crore in the same quarter last fiscal.      

👉 Rail Vikas Nigam (RVNL) reported a 33.2% year-over-year increase in Q4 net profit to ₹478.6 crore. Revenue from operations rose 17.4% to ₹6,714 crore, up from ₹5,719.8 crore in the same period of the previous fiscal year. Additionally, the state-run railway company received a Letter of Acceptance for a ₹148.3 crore project from SER HQELECTRICAL/South Eastern Railway. This project involves upgrading the electric traction system in the Kharagpur division of South Eastern Railway.

👉 Whirlpool reported a 24.7% increase in Q4 net profit, reaching ₹79.4 crore. Additionally, the company saw a 3.7% growth in revenue, bringing it to ₹1,734 crore for the quarter. This performance highlights a significant improvement in profitability alongside steady revenue growth.

👉 FIIs sold shares worth Rs 92.95 crore. DIIs sold in Rs 152.87 crore worth of stocks on May 16

Domestic and International Events

• According to industry data, India’s total oilmeal exports in April 2024 decreased by 6% compared to the previous year, amounting to 4.65 lakh tonnes. In the same month of the previous year, total exports reached 4.93 lakh tonnes.

• China’s fiscal revenue slipped 2.7% in the first four months of 2024 from a year earlier, after a 2.3% slide in the January-March period, in a further sign of an uneven economic recovery. Fiscal expenditure rose 3.5% in the first four months, versus a 2.9% gain in the first quarter, according to finance ministry data released on Monday. For April alone, fiscal revenue fell 3.7% against a 2.4% decline in March, while fiscal spending was up 6.1%, compared with March’s 2.9% fall, according to Reuters’ calculations based on the ministry data.

• Crude oil prices declined as investors anticipated prolonged high US inflation and interest rates. Brent crude oil dropped 0.16% to $83.58 a barrel, while US West Texas Intermediate (WTI) crude futures slipped 0.10% to $79.72.