Reliance Communications FY2007 Results

Reliance Communications [ADAG] company has declared its Q4FY07 results. The company reported Q4 net profit of Rs 1,023.3 crore on revenues of Rs 3,936.7 crore.

For quarter-on-quarter, it has posted net profit of Rs 1,023.3 crore versus Rs 924 crore (Rs 9.24 billion), a growth of 10.7% and revenues of Rs 3,936.7 crore compared to Rs 3,755.3 crore in previous quarter, up by 4.8%.

For FY07, the company has reported net profit of Rs 3,163 crore (Rs 31.63 billion) and revenues of Rs 14,468 crore (Rs 144.68 billion). Rel Comms Q4 EBITDA stood at Rs 1,635 crore (Rs 16.35 billion) and margin at 41.5%. Wireless margins in the fourth quarter was at 39%, global business margins at 24% and enterprise business margins at 49%.

Reliance ARPU for Wireless subscribers is at Rs 377, way below Bharti Airtel’s ARPU of Rs 406.

Gujarat Gas Stock Split; Jet Air A330

Gujarat Gas Company have approved sub-division of the equity shares from the present nominal value of Rs 10 per equity shear to Rs 2 per equity share.

Jet Airways India has taken delivery of its first Airbus A330 aircraft on order making the airline the first Indian based carrier to receive an aircraft in the A330 product range. The company ordered 10 Airbus A330s in October 2005.

ICICI Bank results Lower than Expected.

ICICI Bank on Saturday posted lower-than-expected fourth-quarter earnings due to higher cost of funds. ICICI Bank’s net profit rose mere 4.45% to Rs 825.12 crore in the quarter ended March 2007, as against Rs 789.93 crore during the previous quarter ended March 2006. Total income for the bank rose 54.2% at Rs 8495 crore.

Concerns of equity dilution also weighed on the counter. Along with Q4 results, ICICI Bank’s board also approved raising additional equity capital by way of a public issue of shares and American Depositary Shares (ADSs). The exercise is expected to generate around Rs 20000 crore. The approval of shareholders will be sought by postal ballot, the private sector bank said.

ICICI Bank stock is hit by concerns of huge equity dilution and is also a Big Drag on Sensex.

Order Book and Good Results – ABB Hits New High

ABB’s net profit jumped 69% in Q1 March 2007 at Rs 86.63 crore (Rs 51.30 crore). Sales rose 63% to Rs 1312.44 crore (Rs 802.91 crore).

ABB also registered a strong 43% year-on-year growth in order intake at Rs 2000.3 crore during the quarter ended March 2007, which has further strengthened the order-book. Order backlog, as at 31 March 2007, stood at Rs 4259.60 crore compared to Rs 3372.3 crore at the beginning of the current calendar and compared to Rs 2674.30 crore as at end of March 2006.

ABB has been one of the prime beneficiaries of strong investments in both power sector as well as the manufacturing sector.

The current price of Rs 4157.80 discounts its FY 2006 (year ended 31 December 2006) EPS of Rs 80.30, by a PE multiple of 51.7.

At the time of announcing FY 2006 (year ended 31 December 2006) results, ABB announced a 1:5 stock-split, implying a subdivision of a share of Rs 10 into five of Rs 2 each. This is subject to shareholders approval in the ensuing annual general meeting. The ABB stock hit a high of Rs 4160, which is a lifetime high for the counter.