The Hindu Business Line : Weekly News Round Up

The net profit for the first quarter ended June 2008 increased to Rs 4,110 crore from Rs 3,630 crore in the same period of the previous fiscal. The turnover jumped 38 per cent to 43,050 crore from Rs 31,290 crore.

The annual wholesale price index-based inflation rose 11.89 per cent during the week ended July 12, marginally lower than the previous week's annual rise of 11.91 per cent. The year-on-year inflation rate was 4.76 per cent during the corresponding week of the previous year.

An increase in its subscriber base has enabled telecom major Bharti Airtel Ltd to record a 34 per cent rise in profit for the quarter ended June 30, 2008. Bharti's subscriber base increased by 61 per cent compared with the corresponding quarter last year to touch 7.17 crore.

The net profit increased by 34% to Rs 2,025 crore from Rs 1,512 crore in the year-ago period. Its revenues improved by 44% to Rs 8,483 crore from Rs 5,905 crore.

The ruling United Progressive Alliance government comfortably sailed through in the trust vote moved by the Prime Minister, Dr Manmohan Singh, in the Lok Sabha seeking confidence in his Government.

The Congress-led alliance was able to muster 275 votes in its favour as against the 256 of the combined Opposition.

There were 10 others - of the total 541 eligible to vote (minus the Speaker and a disqualified member) - who either abstained or absented themselves.

The Union Cabinet last Thursday gave its nod for issuing an order sanctioning the acquisition transaction under the State Bank of India Act, 1955.

It also approved the introduction of a Bill in Parliament for repealing the State Bank of Saurashtra Act, 1950.

The rupee rose 56 paise against the dollar during last week backed by a host of positive factors such as government winning the trust vote and weak global crude prices.

The domestic currency opened on Monday at 42.66/68 against its previous close of 42.81/82. The Indian unit surged to an intra-week high of 41.82/83.

Subsequently on Friday, it closed at 42.25/26 as big corporate houses purchased the dollars that took away some of its gains.

Maruti Suzuki posted a drop in net profit despite higher sales, mainly on account of a sharp increase in raw material prices and a shift to a new depreciation policy.

The company posted a 7-per cent decline in net profit at Rs 465.8 crore during the first quarter of the current financial year.

The company, however, said that the figures were not comparable due to the impact of Rs 61 crore, resulting from the new depreciation policy introduced in the last quarter of the previous financial year.

Its sales rose 17.30 per cent in the first quarter ended June 30, 2008 to Rs 4,753.50 crore against Rs 3,930.80 crore in the year-ago period.

Pharma major Dr Reddy's Laboratories Ltd's net profit decreased 26 per cent at Rs 134.6 crore in the first quarter ended June 30, 2008 compared with Rs 182.5 crore in the corresponding quarter for last fiscal year.

However, due to good revenue growth in North America, Germany and Russia, the total revenues grew by 25 per cent to Rs 1,503 crore against Rs 1,198 crore.

A series of low-intensity blasts rocked southern and central parts of Bangalore, momentarily stopping the city on its tracks on Friday afternoon.

Two people were killed and five injured in the blasts, the first of which took place around 1.30 p.m. Seven blasts were reported in a span of one hour, and the eighth occurred around 5 p.m.

Despite inflationary pressure, FMCG major Hindustan Unilever Ltd registered a 13-per cent growth in its net profit for the quarter ended June 30, 2008, mostly driven by higher volumes in personal care products and "judicious" price increases to offset rise in input costs.

The company clocked a net profit of Rs 558 crore during the quarter, as against Rs 493 crore in the same period last year. Net sales grew by about 21 per cent to Rs 4,215.67 crore, compared with Rs 3,481.40 crore in the year-ago period.

Compiled by M J Madhavan
Podcast by S. Vasudevan and M.J. Madhavan