A crowd at an election rally in Uttar Pradesh. (Image Source: AP/File photo) The prime minister has set the cat among the pigeons, with his fusillade against election freebies while inaugurating the Bundelkhand expressway. He said the culture of garnering votes by promising freebies harms the country’s economic development and warned the youth, ‘Your present will be lost and your future pushed into darkness.’ Those who believe in distributing freebies, he said, would never build infrastructure, sorely needed for securing the country’s future. That little speech succinctly lays out the rationale against populism---it promises instant gratification, at the cost of future penury. Predictably, the speech drew the ire of AAP supremo Arvind Kejriwal, who defended his trademark policy of giving away free power. His promise of giving 300 units of free power to each household if his party wins the Gujarat elections is estimated to cost the state Rs 8700 crore a year. It is policies such as … [Read more...] about The hidden cost of free lunches
Rs 188 crore in usd
Representative image Impostor syndrome seems to be more common than actually thought, though at a collective level. People may often feel that the groups they are affiliated with may be underperforming in comparison to other groups. Although this self-critical approach may work in certain cases, it may also overlook the positives, and decrease the morale of those affiliated with the group. Many in India seem to have a collective/national-level impostor syndrome. While the Indian economy is much better placed than its peers in the emerging markets, and other economies, the government is being criticised on the economic front. The criticism comes when the fundamentals of the Indian economy are robust, despite the exogenous shocks caused by the COVID-19 pandemic, supply chain disruptions, monetary policy tightening by the US Federal Reserve, the Ukraine-Russia conflict, and inflated crude oil prices. India's macroeconomic health remains robust despite external pressures, and ongoing … [Read more...] about Bibek Debroy writes: India’s economy is better placed than its peers, other economies around the world
Mahindra & Mahindra | CMP: Rs 1,234.50 | The scrip jumped 6 percent on August 1 hitting all-time high after it recorded 1,00,000 bookings for the all-new Scorpio-N within 30 minutes of booking commencement on Saturday. The rush has translated into a book value of Rs 18,000 crore on ex-showroom price basis. The firm said the enthusiasm for the SUV was so high that it recorded 25,000 bookings within the first one minute. PRO Only Highlights - Quarterly performance largely backed by improved realisations - Medium-term triggers China plus and protectionist measures for tyre industry - Valuations not inexpensive; but improved medium-term outlook The financial performance of Mahindra & Mahindra (M&M) (CMP: Rs 1,236; M cap: Rs 1.53 lakh crore) in Q1FY23 was in line, driven by the auto segment that moderated the weakness in the tractor segment. The auto segment continues to do well on the back of new/refreshed products. The auto segment’s order booking and … [Read more...] about Auto segment comes to M&M’s rescue, any upside?
PRO Only Highlights - Quarterly performance largely backed by improved realisations - Medium-term triggers China plus and protectionist measures for tyre industry - Valuations not inexpensive; but improved medium-term outlook The Q1FY23 results of Britannia Industries (BIL; CMP: Rs 3,689; Market capitalisation: Rs 88,850 crore) were below expectations. On a three-year CAGR (compounded annual growth rate), BIL has witnessed a value growth of 11 percent and volume growth of 6 percent. June 2022 quarter performance BIL’s revenue grew 9 percent on the back of a 2 percent decline in volumes, year on year (YoY). Market share gains have now continued for about 36 quarters in a row for BIL. Gross margins declined,... … [Read more...] about Britannia Industries: Higher raw material prices weigh on June quarter
PRO Only Highlights - Quarterly performance largely backed by improved realisations - Medium-term triggers China plus and protectionist measures for tyre industry - Valuations not inexpensive; but improved medium-term outlook Titan Company Ltd (CMP: Rs 2,433; Market cap: Rs 215,958 crore) has posted better-than-expected results for Q1FY23. Demand for the key jewellery segment, which contributes 88 percent to overall revenues, continues to remain strong, post the festive season as well and the hike in customs duty on gold from July 2022. With the company entering new towns, ramping up international presence, and mandatory hallmarking regulations, Titan is well poised to continue gaining market share. Titan has guided a 20 percent... … [Read more...] about Titan Company: Will the shiny outlook continue?