State Bank of India’s loan and deposit growth both came in at 16% year-on-year, with a stable CASA ratio of 45.5%, reports Nomura Equity Research in its Quick Note
SBI (State Bank of India) reported 3QFY13 net profit of Rs34 billion, marginally lower than Nomura’s estimate of Rs34.4 billion, largely on account of higher-than-expected provisions and lower NIMs (net interest margins) offset by strong trading gains.
Loan and deposit growth both came in at 16% year-on-year, with a stable CASA (current account, savings account) ratio of 45.5%. Delinquencies came in higher than estimated at Rs81.8 billion with LLPs (loan loss provisions) of 1.17%, taking the GNPL (gross non-performing loans) ratio to 5.3%. Consequently, SBI’s asset quality pain continues in the current financial year, said Nomura Equity Research in its Quick Note.
The key result highlights and analysts’ findings, according to the Nomura Quick Note include:
Telecom companies which continued operation after cancellation of licences will pay fee as per reserved price fixed for fresh auction in November 2012
The Supreme Court on Friday ordered telecom companies whose licences were cancelled and did not participate in fresh auction for 2G spectrum will cease to operate immediately.
However, telecom companies which were successful in the fresh auction held on November 12 and 14, 2012 will be asked to start their services in the respective circles immediately, the court said.
“Telecom companies, which have been unsuccessful in the bidding and those after the cancellation of the licences did not participate in the fresh auction, are directed to cease from continuing operations forthwith and the successful bidders will immediately start in their respective circles,” the court said.
A bench comprising justices GS Singhvi and KS Radhakrishnan has directed that those telecom companies, which were allowed to continue operations after the scrapping of their licences by 2 February 2012 judgment, will have to pay the reserved price fixed for the licences in the first round of the auction held in November 2012.
The apex court by its interim orders had extended the deadline for them to continue with their operations.
The bench clarified that the apex court’s 2 February 2012 judgment will not be applicable on telecom companies holding the spectrum with 900 MHz band.
The bench also directed to immediately put on fresh auction the entire 2G spectrum for the licences cancelled by it.
In February last year, the Supreme Court had cancelled 122 telecom licences allotted by then telecom minister A Raja in 2008 and ordered fresh auction of 2G spectrum. Raja is accused of giving away precious spectrum as throwaway prices to several telecom companies.
Consolidated total income dropped 19.6% to Rs4,047.7 crore from Rs5,033.5 crore during the same period
Suzlon Energy, one of the largest wind turbine suppliers, reported a consolidated net loss of Rs1,154.5 crore in the third quarter of FY13, a four-fold increase compared to a loss of Rs286.5 crore in a year ago period due to lower total income.
Consolidated total income dropped 19.6% to Rs4,047.7 crore from Rs5,033.5 crore during the same period.
The wind turbine maker posted a consolidated forex loss at Rs47 crore during the quarter as against loss of Rs34.3 crore in the corresponding quarter of last fiscal.
Outstanding order book of the company stood at Rs41,546 crore (approximately 5.7 GW) as on 13 February 2013. The order intake for the October-December quarter stood at Rs8,097 crore (1,104 MW).
The Suzlon group secured firm order wins of approximately 2,631 MW year-to-date FY13 despite a very challenging operational environment.
Meanwhile, the company has decided to close its rotor blade and control panel manufacturing units at the Puducherry (Pondicherry) manufacturing facility.
“The decision follows on account of the challenges faced in industrial relations at the manufacturing facility coupled with logistical issues faced by the facility in handling multi-MW wind turbine components of increasing size and the current financial position of the company,” Suzlon said.