Sobha’s Q4 net profit shrinks
- Bengaluru-based real estate developer Sobha reported a 65% year-on-year decline in its consolidated net profit for the March quarter at ₹18 crore. The drop in profit was mainly due to a 39% decrease in revenue from operations to ₹553 crore.
- During the quarter, the company incurred land purchase cost of ₹131 crore, which was more than triple of that during the corresponding quarter last year. This led to an increase in the overall expenses. The stock was down 4.1% today and has been moving sideways since the beginning of this fiscal.
IDBI Bank rises on privatisation buzz
- Shares of IDBI Bank rose 6% intraday as the government invited bids from transaction advisors and legal firms to assist in the bank’s strategic sale.
- The government and LIC—which hold 45.5% and 49.2% stake in the bank, respectively—are expected to sell their majority stake and give up management control. Last month, the bank reported an annual profit for the first time in five years at ₹1,359 crore for FY21. However, the stock pared some early gains and closed 2% higher for the day.
Cipla gets USFDA nod for generic drug
- Pharma major Cipla received approval from the US Food & Drug Administration for its Arformoterol Tartrate Inhalation Solution. This generic drug is used for the treatment of lung diseases such as chronic bronchitis.
- The approved drug is a generic version of Sunovion Pharmaceuticals’ Brovana, which had reported sales of $438 million in the US for the 12-month period ending April 2021. Shares of Cipla were up 0.3% today.
BEL posts strong Q4
- State-owned aerospace and defense electronics maker BEL reported a 31% year-on-year growth in its profit for the March quarter. During the same period, its sales rose by 18% to ₹6,757 crore.
- At the start of this fiscal, the company’s order book stood at ₹53,434 crore, which is nearly four times its FY21 sales. Shares of the company rose 10.6% coupled with strong volumes, indicating strong buying interest. It has risen 34% so far this fiscal. Interestingly, foreign portfolio investors have increased stake in the company from 7.8% in June 2020 to 11.6% in March 2021.