Tag: industry

The Union Budget 2022 is being presented at a very crucial juncture for the Indian economy and taxpayers. Covid 19 has resulted in the loss of employment or erosion of income for several personal taxpayers, increased medical expenses, and financial insecurity. Further, the fiscal stimulation measures and higher fiscal deficit have resulted in higher inflation. A major opportunity in investment for the modern generation is cryptocurrency. It is the need of the hour to Introduce clarity on the taxation of cryptocurrency transactions. Read more

Tata Consultancy Services, Infosys, Wipro, and HCL Technologies, etc., India’s leading information technology (IT) services companies, are the flavor of the season on D-Street. The IT industry valuation premium over the broader market is now at its highest level in more than a decade as investors continue to accumulate the shares of top IT companies and go underweight on at-risk sectors, such as banking, oil and gas, metals, and even fast-moving consumer goods companies (FMCG). The BSE IT Index is currently trading at a trailing price-to-earnings (P/E) multiple of 34.3x — nearly 29 percent higher than the benchmark BSE Sensex P/E multiple of 26.6x. In contrast, till six months ago, the IT index was trading at a discount to the benchmark index. This is the first time in five years that the IT index valuations are higher than the benchmark indexes. Read more

Union Finance Minister Nirmala Sitharaman, Yesterday (13th Sept. 2021) said that she would look into bottlenecks that push SaaS companies to register outside India. Sitharaman interacted with industry representatives from CII and FICCI, where she heard requests and took feedback from various sectors. Entrepreneurs from Tamil Nadu, a hub for the SaaS sector, urged the Finance Minister to look into issues that may hinder IT products which are set to lead to value creation, a report said. The founder of Kissflow, Suresh Sambandam, said that with a $1-trillion opportunity, the SaaS sector can play a key role in the government’s ambitions of reaching a $5-trillion economy. India, however, is losing out on wealth creation as entrepreneurs prefer to register the companies outside India due to various bottlenecks. Read more

India's wholesale inflation moderated to 12.07 percent in June from a record high of 12.94 percent in May amid a sustained rise in fuel and commodity prices, data released by the government today(14th July 2021) showed. Wholesale inflation came in at (-) 1.81 percent in June 2020, due to the implementation of a stringent nationwide lockdown. “The high rate of inflation in June 2021 is primarily due to low base effect and rise in prices of mineral oils viz. petrol, diesel (HSD), naphtha, ATF, furnace oil, etc, and manufactured products like basic metal, food products, chemical products, etc as compared to the corresponding month of the previous year,” an official statement said. Read more

The stockbroking and asset management industry has been one of the most rewarded industries amid the Covid-19 pandemic. In FY21, the industry revenues are pegged to have grown between 65-70 percent over FY20. The strong growth was underpinned by robust addition in new customers, according to rating agency Crisil. At the bourses, stocks of various brokerage houses and AMCs have zoomed nearly 300 percent since March 2020. The shares of Geojit Financial Services, for instance, jumped 290 percent between March 24, 2020, and May 11, 2021, while those of 5Paisa Capital, Emkay Global Financial Services, and Aditya Birla Money zoomed up to 263 percent. In comparison, the Nifty50 index is up 90 percent during the period while the broader Nifty500 index has advanced 99 percent, ACE Equity data show. Read more

In February Equity mutual funds witnessed an outflow of Rs 10,468 crore making it the eighth consecutive monthly withdrawal. The Flexi cap category accounted for most of the outflow. Overall, the mutual fund industry witnessed a net outflow of Rs 1,843 crore across all segments during the period under review, compared to Rs 35,586 crore in January. Despite the outflow, asset under management (AUM) of the mutual fund industry rose to Rs 31.64lakh crore in February-end from Rs 30.5 lakh crore in January-end. As per the data, the outflow from equity and equity-linked open-ended schemes was at Rs 10,468 crore in February compared to Rs 9,253 crore in January. Barring multi-cap, large & mid-cap and focussed fund categories, all the equity schemes have seen outflow last month. The newly created Flexi cap category saw a maximum outflow of Rs 10,431 crore. Read more

The Prime Minister’s Office, Niti Aayog and the Department for Promotion of Industry and Internal Trade are firming up a plan to offer incentives to attract companies looking to shift manufacturing activities out of China. The benefits will be on the lines of those given to manufacture of electronic and medical devices. These may include production-linked incentives such as capital expenditure benefits. There is a growing realisation among multinational firms after the COVID-19 pandemic that capacities cannot be concentrated in one place. India has set up dedicated groups to directly interact with firms that may want to diversify out of China.

Pennar Industries one of the Value-added engineering products and solutions company on March 9 said it has captured orders worth Rs550cr last month from companies like Adani, L&T and Ashok Leyland. The company's pre-engineered buildings division received orders for manufacturing plants, an airport terminal, solar mounting structures and warehouses from companies such as MRF, Mega Wide – GMR Goa Airport, Azure Power, Saffron Grid, TVS ILP, and Indus Project. The railway division and the steel division received orders from SAIL Rites, Integrated Coach Factory, Universal Engineering, Adani and L&T respectively. The industrial component division of Pennar Industries received orders from Emerson, Endurance, Tecumseh, INEL, Yamaha, Ashok Leyland, IFB, WABCO, Firestone and others, the company added.