MARKET AND SENTIMENTS OUTLOOK, 10TH AUG, 2015

Dear Customer,

Markets always tend to be interesting with something or the other happening all the time. Our Morning Mantra is released before the opening bell and it includes the market commentary along with Corporate & Global news for the day.

• U.S. stocks fell, with the Dow Jones Industrial Average posting its longest slide since 2011, amid declines in commodity producers while data showed continued progress in the labor market.

Dow Jones	17373.4	-46.4	-0.27%
Dow Futures	17336.0	+50.0	+0.09%
Hangseng	24333.3	-219.3	-0.89%
Nikkie	20712.0	-12.3	-0.06%
SGX Nifty	8579.5	-19.5	-0.23%

• Asian stocks fell after China reported bigger-than-expected slides in exports and producer prices and U.S. jobs data boosted trader expectations for a Federal Reserve interest-rate increase next month.
• Market is expected to open on flattish note and likely to remain range bound during the day.
• On Friday, data showed U.S. nonfarm payrolls increased 215,000 last month, lower than market expectations for a rise of 223,000 jobs. But upward revisions to the previous months and a gain in average hourly earnings were viewed positively by market participants.Following the jobs report, the swaps market was pricing in a 52 percent chance of a September rate hike, up from 47 percent before the data's release.
• Punjab National Bank paid Rs 366.32 crore dividend to government for the fiscal ended March 31. 
• Lenders to Lanco Teesta Hydro Power will convert part of their Rs 2,400-crore outstanding loans to the company into 51% equity in the most significant such takeover since the RBI  allowed lenders to do so when borrowers fall behind on repayments. 
• The Rs 108-crore buyback offer from Sasken Communication Technologies will begin on Monday. The buyback proposal will be through tender offer route. The offer will close on August 24 Sasken has decided to buy-back 41.57 lakh equity shares, representing 19.48 % of total paid-up equity share capital of the company, at a price of 260 apiece. 
• JK Tyre & Industries is set to buy the Uttarakhand tyre unit of BK Birla flagship Kesoram for an enterprise valuation of Rs 2,000-2,200 crore. 
• Facing a demand slump on account of slowdown in motorcycle sales in rural India, Hero MotoCorp expects sales to bounce back in the second half of the ongoing fiscal. 
• NMDC may soon secure 3,000-acre land in Jharkhand's West Singhbhum district for its proposed 6 million tonne steel plant. 

• Results Announced

Bharat Heavy Electricals (Inst)	Bharat Heavy Electricals (BHEL) posted 1QFY16 revenue of Rs43.6bn, down 15% YoY and 16%/17% below our/consensus estimates, respectively, as execution in power segment (75% of total revenue) declined 19% YoY. Affected by weak operating leverage, BHEL suffered EBITDA loss of Rs2bn (negative 4.8% margin). Higher other income (41% YoY rise to Rs4.9bn, partially aided by Rs1.7bn forex gain) and lower interest costs (down 93% YoY to Rs33mn) saved BHEL from reporting a net loss. PAT fell 82% YoY to Rs339mn, much below our/consensus estimates of Rs1.5bn/Rs2.2bn, respectively.
Divis Laboratories (Inst)	Divis Laboratories (DLL) reported a strong set of numbers for 1QFY16, beating expectations, with reported revenue of Rs8.1bn being 14%/5% above our/Bloomberg consensus estimates, respectively. EBITDA of Rs3.0bn was 12%/1% above our/Bloomberg consensus estimates, respectively. However, reported EBITDA margin of 38.5% was down 50bps/140bps versus our/Bloomberg consensus estimates, respectively, on account of a higher share of low-margin generics business, which stood at 55% for the quarter compared to 53% in the previous quarter
Kalpataru Power	result ahead of expectation. Sales came at 1155cr vs Exp 1078cr EBITDA came at 123cr vs exp- 105cr PAt came at 48cr vs exp- 43cr Share is trading at PE of 16.8 FY17 earning
REC (Standalone)	result –ahead of expectations NII stood at 2334cr vs 2256cr exp, 2200cr qoq & 1896cr yoy  PBP at 2297cr vs2217cr exp, 2010cr qoq & 18696cr yoy PAT at 1479cr vs 1372cr exp, 1096cr qoq & 1283cr yoy
Gujarat State Petronet	Result ahead of Expectation Sales came at 255cr vs Exp 255cr qoq 236cr yoy 230cr EBITDA came at 227cr vs Exp 221cr qoq 200cr yoy 200cr PAt came at 113cr vs Exp 102cr qoq 67cr yoy 85cr Share is trading at 14 PE FY16 Earning
Grasim	Result ahead of exp Sales came at 8507cr vs exp 8403cr qoq 8706cr yoy 7976cr EBITDA came at 1417cr vs exp 1223cr qoq 1548cr yoy 1218cr PAT came at 485cr vs Exp 490cr qoq 506cr yoy 487cr
M&M	result ahead of exp
Finolex Ind	result ahead of exp Sales came at 628cr vs Exp 606cr qoq 777cr yoy 655cr EBITDA came at 128cr vs exo 101cr qoq 68cr yoy 125cr PAT came at 70cr vs Exp 51cr qoq 28cr yoy 50cr
Take solution	Result is marginally above expectation Sales came at 229cr vs qoq 215cr yoy 161cr EBITDA cmae at 48cr vs qoq 46.7cr yoy 31.30cr PAT came at 39cr vs qoq 27cr yoy 13cr Higher PAT is on account of Higher other income
Tata Motor	result marginally below expectation. Sales came at 60181cr vs exp 64362cr yoy 642150cr qoq 67298cr EBITDA came at 9108cr vs Exp 9263cr qoq 8438cr yoy 11142cr PAT came lower at 2769cr vs Exp 3234cr qoq 1716cr yoy 5398cr Current year has Fx loss of 107cr and higher tax provision. Stand alone result improved with EBITDA margin improved to 3.72% vs qoq 1.47% yoy negative 7.47% JLR margin declined to 16.4% vs qoq 17.4% yoy 20.3% Share is trading around 6.9PE FY16 earning Concall Update: the decline in margin seems to be over for JLR. It should stablise here in Q2 and should start improving from Q3. The decline in sales in China for JLR was on account of shift from imported car to JV car change in sales and distribution stretegy and over all decline in chines marke. Corrective action has been taken and should help cutailing the decline. Apart from china other market for JLR are growing well. New lauch in q2 and q3 should drive growth. In domestic business HCV has shown revuval but LCV should revive by Q4 Overall it looks q1 was bottom q2 should be flatish and q3 should show revival
Ratnamani Metal	Result good sales came at 420cr vs qoq 361cr yoy 330cr EBITDA came at 88cr vs qoq 56cr yoy 69cr PAT came at 50cr vs qoq 325cr yoy 38cr Qtr EPS is Rs.10.68
Avanti Feed	Result good Sales came at 597cr vs qoq 378cr yoy 4725cr EBITDA came at 64cr vs qoq 37cr yoy 40cr PAT came at 43cr vs qoq 22r yoy 25cr
Salzer	reported good result sales came 89.5cr vs qoq75.84cr yoy 66.5cr EBITDA came at 12.47cr vs qo 9.55cr yoy 8.73cr PAT cameat 5.05cr vsqoq 3.36cr yoy3.16cr Qtr Diluted EPS Rs.3.84
Alpa Lab	Result good Qtr EPS Rs.1.41
Marksans Parma	esult imp-roved Sales came at 210cr vs qoq 170cr yooy y 202cr EBITDA came at 52cr vs qoq42cr yoy 43cr PAT came at 31cr vs qoq 25cr yoy 26cr Qtr EPS Rs.0.77
Garware Polyester	result improved
Ultramarin & Pigment	result improved
Dhunseri Petrochem	result improved Sales came at 642cr vs qoq 636cr yoy 765cr EBITDA came at 70.25cr vs qoq 47.04cr yoy 55.72cr PAT came at 26.6cr vs qoq 28.55cr yoy 25.16cr Qtr EPS Rs.7.60
SML Isuzu	result improved
VRL logisting	result improved Sales came at 444cr vs qoq 394cr yoy 408cr EBITDA came at 83.2cr vs qoq 59cr yoy 74cr PAT came at 35.4cr vs qoq 19.37cr yoy 25.10cr. Qtr EPS is Rs.3.94
PNC Infratech	result improved
Aptech	Result ok, Asian Hotel (West) result declining, Dalmia Bharat Sugar result declining, Morrpan Lab Result improved, EIH Associate Hotel result improved
Sunil Hitech	result improved sales came at 318cr vs qoq 542cr yoy 384cr EBITDA came at 41cr vs qoq 38cr yoy 38cr PAT Came at 11cr vs qoq 12.2cr yoy 9.03cr Share is trading at 13 PE FY15 earning
PTC finance	result improved NII came at 93cr vs qoq 90cr yoy 78cr PBP came at 95cr vs qoq 84cr yoy 75cr PAT came at 61cr vs qoq 16cr yoy 52cr Gross NPA remain same at 81.6cr qoq and Net NPA also remain same at 63.4cr
Hindustan National Glass	result improved
IFGL Refectories	result improved. Sales came at 185cr vs qoq 193cr yoy 204cr EBITDA came at 25cr vs qoq 16cr yoy 30cr PAT came at 15cr vs qoq 8cr yoy 18cr Qtr EPS Rs.4.4
Shaily Engineering	Result imp-roved. Sales came at 53.5cr vs qoq 48.2cr yoy 39cr EBITDA came at 8.8cr vs qoq 7.7cr yoy 5.8cr AT came at 3.4cr vs qoq 4.7cr yoy 1.87cr Qtr EPS Rs.4.1
Ramkrishna Forging	Result ok Sales came at 230cr vs qoq 225cr yoy 113cr EBITDA came at 49cr vs qoq 44cr yoy 18cr PAT came lower at 17.7cr vs qoq 35cr yoy 5.9cr on account of higher interest and depreciation on expansion. Q4 was having tax write back
Neyveli Ligniite	Result ok Sales came at 1844cr vs qoq 1682cr yoy 1510cr EBITDA came at 634cr vs qoq 671cr yoy 512cr PAT came at 367cr vs qoq 676cr yoy 334cr
TTK Health	Result Ok
Zee Media	Result Ok
Indian Tonner	result ok Sales came at 23.4cr vs qoq 26.3cr yoy 19.9cr EBITDA came at 5.59cr vs qoq 5.40cr yoy 4.6cr PAT came at 2.48cr vs qoq 2.2cr yoy 1.80cr Qtr EPS is Rs.3.08
TCPL Packaging	result ok Sales came at 127cr vs qoq 127cr yoy 111cr EBITDA came at 21.88cr vs 21.16cr yoy 18.97cr PAT came at 7.96cr vs qoq 8.68cr yoy 6.16cr Qtr EPS is Rs.9.15
Punjab & Sind Bank	result operationally good but asset quality declined    NII stood at 517cr vs 391cr qoq & 395cr yoy Non Interest Income at 111cr vs, 124cr qoq & 125cr yoy  PBP at 274cr vs 202cr qoq & 198cr yoy Prov at 216cr vs 262cr qoq & 163cr yoy   PAT at 43cr vs -70cr qoq & 21cr yoy GNPA   3300cr vs 3082cr qoq at 5.17% vs 4.76% qoq NNPA 2284cr vs 2266cr qoq at 3.65% vs 3.55% qoq
Action Construction	result ok came at 134cr vs qoq 164cr yoy 130cr EBITDA came at 6.75cr vs qoq 7.32cr yoy 5.94cr PAT came at 1.09cr vs qoq 1.92cr yoy 0.91cr
Ambika Cotton	Result ok Sales came at 122cr vs qoq119cr yoy 117cr EBITDA came at 24.8cr vs qoq 23.6cr yoy 27.4cr PAT Came at 12.1cr vs qoq 14.2cr yoy 13.2cr
Arcotech Ltd	Result ok
Ferro Alloy Corp-oration	Result ok
ISGEC Heavy Engineering	result ok.  Sales came at 673cr vs yoy 663cr qoq 866cr EBITDA came at 55cr vs yoy 49cr qoq 72cr PAT came at 29cr vs yoy 25cr qoq 39cr
JK Agri	result Flat yoy
Indrap-rastha Medical	Result remain flat Sales came at 182cr vs qoq 171cr yoy 174cr EBITDA came at 21.5cr vs qoq 20cr yoy 21.7cr PAT came at 8cr vs qoq 7.6cr yoy 8.4cr
Sharda Motor	result flat Sales came at 212cr vs qoq 240cr yoy 205cr EBITDA at 23cr vs qoq 25cr yoy 23cr PAT came lower at 5.19cr vs qoq 10.6cr yoy 7.2cr on account of higher tax
Jaip-rakash Associates	result inline Sales came at 2378cr vs exp- 2388cr EBITDA came at 310cr vs Exp- 206cr Higher EBITDA is on account of higher income in Real Estate Business. Loss Came at 465cr vs Exp- loss of 638cr
Rapco Home	Result inline NII came at 66cr vs Exp 67.8cr  PBP came at 57.58cr vs yoy 57.7cr PAT came at 30.2cr vs Exp 31cr
MRPL	Result below expectation Sales came at 13706cr vs Exp 11827cr qoq 11092cr yoy 15741cr EBITDA before Fx gain . loss came at 1031cr vs Exp 1128cr qoq 1089cr yoy negative 95cr PAT came at 560cr vs Exp 701cr qoq 1170cr yoy negative 36cr
VA Tech Wabag	result below exp- Sales came at 456cr vs exp- 442cr yoy 398cr EBITDA at 12cr vs exp- 24cr yoy 21cr Loss came at 10cr vs exp- profit of 10cr yoy profit of 10cr
Sobha Developer	result below exp-. Sales came at 460cr vs Exp- 575cr EBITDA came at 130cr vs Ex 154cr PAT came at 45cr vs Exp- 61cr
Balkrishna Ind	Result below expectation. Sales came at 821cr vs Exp- 980cr qoq 888cr yoy 948cr EBITDA came at 201cr vs Exp- 272cr qoq141cr yoy 232cr PAT came at 152cr vs Exp- 138cr qoq 154cr yoy 115cr
Mangalam Cement	Result below exp Sales came at 211cr vs exp 230cr qoq 234cr yoy 228cr EBITDA came at negative 2.05cr vs Exp 10.54cr qoq 20.16cr yoy 16.54cr PAT came at negative 18.84cr vs Exp negative 3.88cr qoq 2.72cr yoy 12.96cr
Silpa Medicare	result below expectation Sales came at 148cr vs qoq 166cr yoy 139cr EBITDA came at 28.2cr vs qoq 37.8cr yoy 29.5cr PAT came at 16.06cr vs qoq 22.5cr yoy 17.1cr
Corporation Bank	Result below expectation NII stood at 1081cr vs 1096cr exp, 1114cr qoq & 944cr yoy Non Interest Income at 401cr vs, 504cr qoq & 362cr yoy  PBP at 808cr vs 837cr exp, 965cr qoq & 698cr yoy Prov at 621cr vs 926cr qoq & 459cr yoy  PAT at 204cr vs 143cr exp, 45cr qoq & 231cr yoy GNPA   7765cr vs 7107cr qoq at 5.43% vs 4.81% qoq NNPA 4984cr vs 4465cr qoq at 3.55% vs 3.02% qoq
Cox and King	Result below expectation sales came at 682cr vs exp 727cr yoy 738cr EBITDA came at 346cr vs exp 359cr yoy 351cr PAt came at 135cr vs Exp 165cr yoy 128cr
Dhampur Sugar	Result not good
Transformer and Rectifiers	Result not good
TIL Ltd	Result not good
Techno Electric and Eng	result declining Sales came at 200cr vs qoq 221cr yoy 180cr EBITDA came at 42cr vs qoq 39cr yoy 53cr qoq higher EBITDA is on account of higher seasonal windpower profit PAT came at 20cr vs qoq23cr yoy 23cr
Phoenix Lamp	result declining Sales came at 68cr vs qoq 90cr yoy 86cr EBITDA came at 5.95cr vs qoq 11.7cr yoy 8.30cr PAT came at 0.84cr vs qoq 2.07cr yoy 2.44cr
Shakti Pump	result declining
Munjal Auto	result declining Sales came at 216cr vs qoq 207cr yoy 230cr EBITDA came at 11cr vs qoq 15cr yoy 19cr PAT came at 4.55cr vs qoq 7.9cr  yoy 11.3cr
Motilal Oswal (Cons)	Result declining Total Income stood 209crat cr vs 242cr qoq & 166cr yoy   PBT at 37cr vs 56cr qoq & 47cr yoy PAT at 28cr vs 43cr qoq & 32cr yoy
UCO Bank	result declined  NII stood at 1371cr vs 1276cr qoq & 1483cr yoy  Non Interest Income at 440cr vs 663cr qoq & 322cr yoy   PBP at 1161cr vs 1227cr qoq & 1202cr yoy Prov at 764cr vs 968cr qoq & 517cr yoy   PAT at 398cr vs 209cr qoq & 521cr yoy GNPA 10894cr vs 10265cr qoq at7.30 % vs 6.76% qoq NNPA 6541cr vs 6331cr qoq at 4.53% vs 4.30% qoq
Central Bank	result declined  NII stood at 1844cr vs 1922cr qoq & 1821cr yoy Non Interest Income at 413cr vs, 552cr qoq & 431cr yoy   PBP at 893cr vs 878cr qoq & 974cr yoy Prov at 581cr vs 617cr qoq & 645cr yoy   PAT at 204cr vs 174cr qoq & 192cr yoy GNPA  12931 cr vs 11873cr qoq at 6.70% vs 6.09% qoq NNPA 7448cr vs 6807cr qoq at 4.00% vs 3.61% qoq
Kirloskar Oil	result declining
Centum Electronic	Result declining Sales came at 88cr yoy 101cr qoq 124cr EBITDA came at 14.6cr vs yoy 16.4cr qoq 22.6cr PAT came higher at 8.5cr vs yoy 6.5cr qoq 13.7cr on account of higher other income and lower minority interest
Westlife Development	result declining
DB Reality	Result continue to remain weak
Electro Steel	Result continue to remain weak
Financial Technology	Result continue to remain weak. Sales came at 35cr vs qoq 42cr yoy 43cr EBITDA loss came at 31cr vs qoq loss of 33cr yoy loss of  12cr
Future Consumer Enterprises	result continue to remain weak
Sandur Maganese	result declining

• Result to be Announced (Reported PAT Rs cr)

R.Type	10/8/2015	Jun'14	Mar'15	Exp	NB Insti
consolidated	Adani Ports and Special Economic Zone Ltd.	568.0	660.7	625.1	na
consolidated	Adani Power Ltd.	-303.3	715.1	-375.9	na
consolidated	Allcargo Logistics Ltd.	49.0	55.5	65.1	na
standalone	Alphageo (India) Ltd.	13.3	2.0	na	na
standalone	Bhandari Hosiery Exports Ltd.	0.8	-0.6	na	na
standalone	Chennai Petroleum Corporation Ltd.	510.1	364.6	188.1	na
consolidated	eClerx Services Ltd.	53.4	53.2	62.7	na
standalone	Engineers India Ltd.	80.4	108.9	86.5	na
standalone	Finolex Cables Ltd.	34.7	46.9	43.0	na
standalone	Garware-Wall Ropes Ltd.	9.8	12.3	na	na
standalone	Gujarat Mineral Development  Corporation Ltd.