UltraTech, Adani Green, Dr Reddy’s, HPCL, others releasing Q3 results today

Adani Green, UltraTech, HPCL, Dr Reddy’s Earnings Live: With major companies across sectors in the likes of Reliance Industries Ltd, Zomato, Paytm, HUL, Axis Bank, HDFC Bank, BPCL, and all of the IT majors including Tata Consultancy Services (TCS), HCL Tech, Infosys, Tech Mahindra, Wipro, among many others already having released their Q3 numbers, the quarter earnings season is now in full swing. 

India Inc, after a poor showing in the first two quarters of 2024-25, is expected to report a modest recovery in revenue and earnings growth for the third quarter. Per brokerage firms, the growth rate might be in single digits and at best track the underlying inflation in the economy. According to analysts, the combined net profit of the Nifty 50 companies is expected to grow 7.9 per cent YoY.               

Today, companies like UltraTech Cement, Adani Green Energy Limited, Hindustan Petroleum Corporation, Dr Reddy’s Laboratories, Adani Energy Solutions, United Spirits, V2 Retail, Thyrocare Technologies, Mankind Pharma, Mphasis, Syngene International, Suryoday Small Finance Bank, Zee Entertainment Enterprises, Ujjivan Small Finance Bank, Nippon Life India Asset Management, KFin Technologies, LKP Securities, Indian Energy Exchange, among several others are releasing their results for the third quarter of the financial year.                  

InCred Equities said, “Dalmia Bharat or DBL’s volume in 3QFY25 saw a decline by ~1.5% yoy to 6.7mt (~8% below est.) due to subdued demand and discontinuation of JPA assets arrangement, which reduced its serviceable markets in central India. Adjusting for JPA tolling volume (0.37mt in 3QFY24), volume from DBL plants grew by ~4% yoy. Management expects the overall industry demand growth to be in the low single digit in 3QFY25F due to lower government spending and unseasonal rains. However, DBL believes that demand will remain strong in the medium term and the rise in government spending to drive industry demand by 6-7% in 4QFY25F and 3-4% in FY25F, 

Abhishek Pandya, Research Analyst, StoxBox, said, “In its Q2FY25 commentary, management outlined a strategy to lower the CD ratio to pre-COVID levels, resulting in slower credit growth compared to industry standards while focusing on deposit accumulation, which is evident in Q3FY25 performance. Despite muted credit expansion, steady deposit growth aligns well with the bank’s long-term goals. Although there was a slight decline in asset quality, HDFC Bank has consistently maintained strong asset quality through disciplined underwriting and risk-calibrated lending. NIMs faced some pressure due to CASA accretion challenges, but the reduction of high-cost borrowings and improved operating efficiency are expected to enhance return ratios in the coming years. Moving forward, asset quality and credit growth will be key priorities, along with the bank’s strategic response to the RBI‘s draft circular on lending overlap among group entities. Overall, HDFC Bank’s Q3FY25 results reflect a balanced performance amidst evolving macroeconomic conditions.”