Q3 results today: Swiggy, Titan, Tata Power, Hero MotoCorp, Bandhan Bank

investors closely monitor the Q3 results today, several prominent companies have come into focus. The performance of Swiggy, Titan, Tata Power, Hero MotoCorp, and Bandhan Bank is under scrutiny, reflecting significant developments in their respective sectors. 

Swiggy, a leading player in India’s food and grocery delivery market, reported a wider third-quarter loss, primarily due to increased expansion costs amid stiff competition from rivals like Zomato and Zepto. Thepany’s shares fell to a record low, declining by approximately 8%. Swiggy Aggressive expansion in quick commerce led to the opening of 96 new dark stores in the quarter and an additional 86 in January. 

This growth resulted in a 32% increase in expenses, adversely affecting financials and contributing to a 270 basis points contraction in its quick commerce contribution margin to 4.6%. The strata expansion into new regions, rather than strengthening existing networks, added to these challenges. Consequently, brokerages have lowered their price targets for Swiggy’s stock. The company’s consolidated loss increased to 7.88 billion rupees ($90 million) from 5.74 billion rupees a year earlier. (reuters.com)

Q3 results today for Titan

Consumer discretionary major Titan reported a marginal dip of 0.6% in its third-quarter consolidated net profit, amounting to Rs 1,047 crore. This slight ine occurred despite a 25% year-on-year increase in total in, which reached Rs 17,723 crore. The reduction in customs duty on gold impacted profitability. Analysts remain optimistic, with firms like Macquarie and Golan Sachs maintaining their positive ratings on Titan.

Tata Power reported an 8% growth in its December quarter consolidated net profit, reaching Rs 1,031 crore, compared to Rs 953 crore in the same period the previous year. This performance reflects the company’s steady progress in the energy sector.

Hero MotoCorp

India’s leading motorcycle manufacturer, Hero MotoCorp, reported a higher-than-expected increase in third-quarter profit, driven by boosted sales id-level models like the ‘Xtreme 125R’. The company’s profit rose by 12% to 12.03 billionees ($137.4 million), surpassing analysts’ estimate of 11.25 billion rupees. 

While overall motorcycle and scooter sales saw minimal gh at 0.3%, Hero managed to offset weak entry-level motorcycle sales with a 53% increase in more profitable 125cc ls, enhancing margins. Entry-level motorcycles, such as the ‘Splendor’, account for the majority of Hero’s sales. Competitors TVS Motor Bajaj Auto did not meet profit expectations, although their margins and export growth were positively noted. 

The industry saw a slowdown with domestic two-wheeler sales growing by only 3% compared to 16% in prior quarters. Hero announced CEO Nirn Gupta’s departure, effective April 30, and the creation of a separate unit for its electric vehicle business. The company’s shares fell by 1% before the results were reported, and it declared a dividend of 100 rupees per share.

Bandhan Bank is among the companies scheduled to announce their quarterly results today. Investors are closely monitoring the bank’s performance to assess its financial health and future prospects.

Lemon Tree Hotels

Lemon Tree Hotels reposed a net profit of Rs 62 crore for the December quarter, marking a significant increase from Rs 35.4 crore in the same period last year. The company’s revenue from operations rose 22% year-on-year Rs 355.18 crore iQ3. The company plans expansion and renovations, aiming for sustained growth. Analysts maintain a ‘Buy’ rating with a Rs 157 target.

As the market digests these Q3 results day, investors are advised to stay informed and consider the broader economic implications Monitoring these stocks in news will be crucial for those looking to navigate the current market environment.

FAQs

Additional FAQs

1.What was the impact of Swiggy’s quick commerce expansion on its financial performance?

Siggy’s expansion into quick commerce, including the opening of numerous new dark stores, significantly increased its operating expenses. a strategic move, aimed at countering competitors like Blinkit and Zepto, led to a 32% rise in expenses and a 270 basis points contraction in its quick commerce contribution margin to 4.6%. Couently, the company’s consolidated loss increased to ₹7.88 billion ($90 million) from ₹5.74 billion a year earlier.

2.How did Hero MotoCorp’s focus on mid-level motorcycles affect its profitability?

Hero MotoCorp’s emphasis on mid-level motorcycles, particularly the ‘Xtreme 125R’, resulted in a 53% increase in sales of these models. This strategic focus helped offset weaker performance in the entry-level segment contributing to a 1 year-on-year increase in net profit for the December quarter, reaching ₹1,203 cre.

3.Factors influenced Titan’s profitability in the third quarter?

Titan’s profitability was slightly impacted by a reduction in customs on gold, leading to a marginal dip in net profit. Despite this, the company reported a 25% year-on-year increase in total income, reaching ₹17,723 crore. Analysts remain optimistic about Titan’s prospects, with firms like Macquarie and Goldman Sachs maintaining positive ratings on the company.