Target : Rs 41 CM Price: Rs 36.70 Rebound in core business segments… Tanla Solutions reported its Q4FY10 results, which were slightly above our expectations. The topline stood at Rs 98.6 crore against our expectation of Rs 97.3 crore. Revenues grew 6.7% QoQ while they declined 30.8% YoY. The EBITDA improved 12.6% QoQ to Rs 32.0 crore as compared Rs 28.4 crore in Q3FY10 on the back of lower cost of sales. The EBITDA margin at 32.4% improved 168 bps QoQ and 101 bps YoY. PAT stood at Rs 13.2 crore (I-direct estimate of Rs 14.6 crore). Read the full post

Target : Rs 595 CM Price: Rs 504.30 Most profitable business sold out… Abbott, US has bought the domestic formulation business of Piramal Healthcare (PHIL) for cash consideration of US$3.7 billion (US$2.12 billion upfront and equal annuity payment of US$400 million for four years starting CY11). The deal is valued at ~9.3x the revenue of the domestic business and is expected to close by Q2FY11 end. The domestic formulation business contributed ~54% to the FY10 topline. The deal includes transfer of manufacturing facilities at Baddi, rights to 350 brands and trademarks and transfer of ~5,200 employees of the domestic formulations business to Abbott. Read the full post

Target : RS 2556 CM Price: RS 2,228.90 Core banking sound, provisions hit profits… SBI reported a marginal improvement of 29 bps YoY in its loan book market share for FY10. The loan book grew 17% YoY to Rs 6414 billion while deposit growth was subdued at 8% YoY at Rs 8041 billion. The bank carried excess liquidity on the balance sheet of ~Rs 44,000 crore in Q4FY10 and ~Rs 75,000 crore in FY10. Net profit was dragged down due to higher operating expense in Q4FY10, scaling up of provision coverage to 59% and lower treasury gains. Going forward, we expect16% CAGR in PAT and 17% CAGR in the business mix over FY09-FY12E. Read the full post

Target : Rs 76 CM Price: Rs 72.15 Order book strength to drive growth… Man Industries reported a satisfactory performance for Q4FY10. The topline came at Rs 452.8 crore, lower than our expectation of Rs 484 crore despite higher sales volume in both LSAW and HSAW segments. This was due to lower realisation. Though the bottomline remained flat QoQ, it improved by ~56% YoY beating our estimates of Rs 24 crore. Read the full post

Target : Rs 831 CM  Price: Rs754.80 All-round performance, stock split announced… Kotak Mahindra Bank (KMB) declared an excellent set of Q4FY10 results as consolidated PAT grew 98.7% YoY to Rs 419 crore. On a standalone basis, the banking vertical reported a 97% YoY jump in PAT of Rs 202.4 crore (I-direct estimate- Rs 146.2 crore) on higher than-expected growth in the core business and robust non interest income. The performance of other capital markets businesses was in line with expectations. Read the full post

CMP:- 460 Target:- 625 TIL provides total infrastructure solutions rather than supplying only products. In its material handling equipment (MHE) division, TIL designs and manufactures port cranes, forklifts and reach stackers, which find uses in heavy construction activities in projects or for movement of materials. In its agency businesses (Caterpillar), the company sells earthmoving products to mining and construction industries. Moreover, it has huge potential of supplying spare parts and offering after sales service to the installed customer base. Company has strategic alliances with leading manufacturers in the world such as Caterpillar, Manitowoc Crane Group (US), Famak S.A (Poland), and Paceco Corp (US). It also supplies mobile cranes and lorry loader to Indian defence sector. Read the full post