TOP HEADLINES OF THE DAY : 13 Apr, 2017
• Infosys Q4 revenues below est, margins remain in-line; stock down
• Mindtree Chairman inadvertently violates trading norms
• Wipro bags Rs615 crore project in Karnataka
• Heritage Food up on acquiring dairy business
• Central Bank up on allotment of shares on preferential basis
TOP CORPORATE NEWS : 13 Apr, 2017
Infosys Q4 revenues below est, margins remain in-line; stock down
Infosys reported flattish revenue growth on Constant Currency (CC) basis (below our estimates) and a growth of 0.7% QoQ in reported dollar revenues at $2,569 million, owing to a seasonally soft quarter.
EBITDA margins declined 40bps on sequential basis to 27.2% in a seasonally weak Q4 quarter and rupee appreciation, in-line with our estimates.
Consequently, PAT at Rs3, 603 declined by 2.8% QoQ.
The company has disappointed by providing below-than-expected FY2018 revenue growth guidance of 6.5-8.5% YoY in constant currency terms.
This is below Cognizant’s revenue growth guidance of 8-10%. The management expects the operating margin at 23-25% (in-line with our expectations).
Mindtree Chairman inadvertently violates trading norms
Mindtree’s chairman inadvertently violates company’s trading norms – his portfolio manager has bought 240 equity shares (insignificant volume) of Mindtree without informing him
Mindtree notified that its executive chairman (Krishnakumar Natarajan) has informed the company that he inadvertently violated its insider trading program.
Natarajan has stated that his portfolio management services company bought 240 equity shares of the company without informing him.
Wipro bags Rs615 crore project in Karnataka
Karnataka government said it would sign a contract worth Rs615.82 crore with Wipro to connect government offices from the Gram Panchayat level in the State.
It would be implemented under the Karnataka State Wide Area Network (KSWAN) project- I and II.
Heritage Food up on acquiring dairy business
Heritage Foods said that the company has received approval from Competition Commission of India and completed the process of acquisition of dairy
business of Reliance Retail. The company is taking control of entire dairy business of Reliance Retail with effect from 12 April 2017, Heritage Foods said. Post the transaction closure, Reliance Retail will continue to trade in dairy products including Heritage dairy products through its retail and wholesale channels.
Central Bank up on allotment of shares on preferential basis
Central Bank of India’s board of directors approved raising of equity capital by issuance and allotment of 5.59 crore equity shares at Rs104.15 per
share aggregating to Rs583 crore to the government on a preferential basis.
Capitalstars Financial Research Private Limited is a research house and an investment advisory carrying out operations in the Indian Equities and Commodity market.We also provide 2 days free trial to our client.Join our services and trade with us.