The benchmark indices closed with modest gains on Friday, 7 January 2022, supported by oil & gas and bank stocks. The Nifty settled above the 17,800 mark after hitting the day's low of 17,704.55 in afternoon trade.

As per provisional closing data, the barometer index, the S&P BSE Sensex, rose 142.81 points or 0.24% at 59,744.65. The Nifty 50 index gained 66.80 points or 0.38% at 17,812.70.

In the broader market, the S&P BSE Mid-Cap index added 0.54% while the S&P BSE Small-Cap index gained 0.43%.

The market breadth was strong. On the BSE, 2,111 shares rose and 1,300 shares fell. A total of 82 shares were unchanged.

COVID-19 Update:

In the last 24 hours, India records 1,17,100 new cases taking the country's active caseload to 3,71,363. The daily positivity rate stood at 7.74%. Meanwhile, omicron tally in the country stood at 3,007.

Buzzing Index:

The Nifty Media index fell 0.84% to 2,242.70. The index rose 0.91% in the last trading session.

Zee Entertainment Enterprises (ZEEL) (down 1.23%), Hathaway Cable & Datacom (down 1.13%), Sun TV Network (down 1.12%), PVR (down 1.10%) and Saregama India (down 0.66%) were the top losers in the Media segment.

Stocks in Spotlight:

Ujjivan Small Finance Bank (SFB) soared 7.54%. The bank said that its gross loan book rose 22% to Rs 16,600 crore as on 31 December 2021 as against Rs 13,600 recorded on 31 December 2020. The loan book has increased by 15% as compared with Rs 14,500 crore as on 30 September 2021. Total deposits aggregated to Rs 15,600 crore as on 31 December 2021, growing 34% Y-o-Y and rising 10% Q-o-Q.

CASA ratio was at 26% as on 31 December 2021 as compared to 18% as on 31 December 2020 and 22% as on 30 September 2021. Collection efficiency (including additional collections) for December 2021 was 112%, for November 2021 was 107% and for October 2021 was 107%. GNPA for December 2021 was 10.5%, for November 2021 was 11.2% and for October 2021 was 11.6%.

Anand Rathi Wealth declined 2.35%. The company's consolidated net profit surged 144.80% to Rs 32.02 crore on 54.87% increase in total income to Rs 108.66 crore in Q3 December 2021 over Q3 December 2020. On a consolidated basis, the company's profit before tax (PBT) climbed 140.71% to Rs 42.87 crore in Q3 December 2021 over Q3 December 2020.

Total expense rose 25.70% to Rs 65.79 crore during the period under review. Employee expense jumped 43.60% year-on-year (Y-o-Y) to Rs 49.83 crore in Q3FY22. The company said its operating cash flow for 9 months April to December 2021 was Rs 86.20 crore. The board declared an interim dividend of Rs 5 per share. The record date is fixed on 20 January 2022.

Titan Company lost 0.85%. The company posted strong demand across its consumer businesses and clocked 36% growth over the festive quarter last year. The company's flagship Jewellery division saw a 37% year-on-year (Y-o-Y) revenue growth in Q3 FY22. Titan said buoyancy in jewellery demand was driven by festive purchases in October and November. Both walk-ins and customer conversions were significantly higher compared to last year. New buyer growth was higher than total buyer growth driven partly by Tanishq's regionalization strategy.

While ticket sizes were stable, Titan said they were 15% higher than pre-pandemic levels. The contribution from Tier-1 towns continued to improve and were close to pre-pandemic levels. Both plain and studded categories witnessed strong double-digit growth. Studded share in the overall pie has slightly improved compared to same period last year. Meanwhile, GHS enrolments recorded high double-digit growth rates driven by strong buyer uptick. Tanishq added 14 new stores in Q3 FY22 (net) including 2 new stores in Dubai.

Shares of Hinduja Global Solutions (HGS) hit a lower circuit of 20% at Rs 2,855.45. HGS declared the third interim dividend of Rs 150 per share for the current financial year 2021-22. The company has fixed 18 January as the record date for the payment of this dividend. The dividend will be paid to the eligible shareholders and members on or before 27 January 2022.

Further, the company's board has also recommended issuing one bonus equity share for one equity share held (1:1).

Moreover, the board also approved to enhance the limits applicable for extending loans, making investments and providing guarantees or security upto Rs 3,500 crore. The proposal (under Section 186) is subject to the approval of the shareholders/ members and statutory/regulatory and other approvals, as may be necessary.

Meanwhile, Hinduja Global Solutions has completed the sale of its healthcare services business to wholly-owned subsidiaries of Betaine BV, funds affiliated with Baring Private Equity Asia (BPEA), one of the largest private alternative investment firms in Asia. The transaction was based on an enterprise value of $1,200 million, subject to closing adjustments, and resulted in inflows of $1,088 million.

Reliance Industries (RIL) rose 1.01%. The company's arm Reliance Retail purchased 25.8% stake in Dunzo. Dunzo, India's leading quick commerce player raised $240 million in its latest round of funding. Reliance Retail will own 25.8% stake on a fully diluted basis with an investment of $200 million. Post this deal, Reliance Retail will be the largest shareholder in Dunzo.

The capital will be used to help Dunzo be the largest quick commerce business in the country. It will also enable instant delivery of essentials from a network of micro warehouses. Dunzo is also seeking to expand its B2B business vertical to enable logistics for local merchants in Indian cities.

In addition to the funding, Dunzo and Reliance Retail will also enter into certain business partnerships. Dunzo will enable hyperlocal logistics for the retail stores operated by Reliance Retail, further adding onto Reliance Retail's omni-channel capabilities. Dunzo will also facilitate last mile deliveries for JioMart's merchant network.

Macrotech Developers gained 0.32%. The realty major Lodha Group, listed as Macrotech Developers reported strong operational update for Q3 FY22. The company's pre-sales stood at Rs 2,608 crore jumping 40% on year on year in Q3 FY22. The company said this was its best quarterly performance in last 12 quarters. Additionally, the realtor's UK investment projects had pre-sales of GBP 191 million (approx. Rs 1,910 crore) in the quarter.

Collections for Q3 FY22 stood at Rs 2,127 crore, rising 44% year-on-year (Y-o-Y). On a sequential basis, collection grew by 11% from Rs 1,912 crore posted in Q2 FY22. The realtor said it entered into Joint Development Agreement for six additional new project during the quarter for 4.8 million sq. ft. of saleable area in the Eastern Suburbs of Mumbai. The realty major also reduced its net debt to Rs 9,925 crore in Q3 FY22 for India business from Rs 12,477 crore in Q2 FY22 and Rs 16,625 crore in Q3 FY21.

Kalyan Jewellers India fell 0.42%. The company said its consolidated revenue growth for the recently concluded quarter was about 17%. Kalyan Jewellers said it clocked year-on-year revenue growth of over 15% for its India operations during the recently concluded quarter.

The company said it witnessed strong momentum in footfalls and revenue over the past four quarters commencing from the same period in the last financial year (Q3 FY2021). The positive traction continued during this festive season on the back of further easing of COVID-related restrictions across all its markets in India and the Middle East, supported by increased levels of vaccination and continued buoyancy in consumer sentiments.

The firm said its gross margin improved sequentially for the recently concluded quarter. Key drivers for margin expansion have been improvement in both studded share and share of revenue from non-south markets. The company also witnessed improvement in the Gold Savings Scheme (GSS) enrollments sequentially, as well as when compared to the same period in the previous year.

Godrej Consumer Products added 1.01%. The company said it expects to deliver close to high single-digit sales growth in India in the quarter ended December 2021, largely driven by prices. Recently, the company's MD & CEO, Sudhir Sitapati had highlighted the unprecedented cost inflation witnessed during the quarter. This has resulted in low volume growth and high price growth coupled with high gross margin dilution and EBITDA margin dilution.

Easy Trip Planners was locked in an upper circuit of 4.99% at Rs 563.35. The board of directors of the company, on 12 January 2022, decided to consider the proposal for issue of bonus shares.

G.M. Breweries tumbled 10.41%. The company recorded 6.3% fall in net profit to Rs 19.79 crore in Q3 FY22 from Rs 21.11 crore in Q3 FY21. Net income from operations rose 16.9% YoY to Rs 130.88 crore during the quarter. Cost of materials consumed increased by 33.8% YoY to Rs 95.35 crore in Q3 FY22.

Global Markets:

Shares in Europe and Asia were mixed on Friday as fears over more aggressive tapering from the U.S. Federal Reserve set off a global market sell-off.

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