TCS Q3 FY23 results- Its revenues beat estimates, but profits missed due to forex losses, said Jefferies.  The third quarter of the current fiscal year (Q3 FY23) results season was officially launched on Monday by Tata Consultancy Services Ltd. (TCS), the largest IT business in India. TCS reported a lower-than-expected profit of 10,846 crore. Refinitiv data shows that analysts predicted a profit of $11.046 billion on average. TCS shares closed more than 3% higher at 3,310 per share on the BSE ahead of its Q3 results. According to TCS, revenue increased 13.5% year over year during the quarter in constant currency terms. Rajesh Gopinathan, chief executive officer and managing director, stated, “We are thrilled with our excellent performance in a seasonally poor quarter, driven by cloud services, market share gains through vendor consolidation, and ongoing momentum in North America and UK. TCS closed transactions totaling $7.5 billion in the quarter, which was a little less than it was in the two quarters before. The firm secured $8 billion in deals in the first two quarters of the current fiscal year. Gopinathan stated that “looking forward and beyond the current uncertainty, our longer-term growth outlook remains healthy.” TCS experienced an improvement in operational performance for the second consecutive quarter. EBIT, used to determine the operating margin, increased 50 basis points over the previous period to 24.5%. According to Samir Seksaria, chief financial officer, “increased productivity, currency support, and easing supply-side issues helped enhance our operating margin in Q3.” In addition to continuing to invest in developing fresh capabilities to support our growth and market share gains, this provides us greater confidence in our ability to direct our profitability towards our preferred range, the executive continued. Gains in market share and demand for cloud services contributed to the quarter’s growth, which was broadly based in terms of geography and industry verticals. The business did not, however, measure the cloud momentum. Although TCS doesn’t offer advice, the management claimed to be confident about the demand environment. It added that technological expenditures are unaltered. Demand this quarter has been influenced by how various markets have acted. Demand in North America is still strong. According to Rajesh Gopinathan, CEO and MD of TCS, “The UK is a difficult operating environment, and Europe is the sole market where decision-making is being impacted by the present geopolitical problems. Going beyond the current concerns, Gopinathan said: “Our longer-term growth prognosis remains healthy.” The third quarter performance of TCS was significantly impacted by the ongoing global unrest. First, although it was in the middle of the company’s $7-9 billion estimate, total contract value (TCV) came in at $7.8 billion. Over the previous three to four quarters, TCS was able to keep its TCV above $8 billion. The book-to-bill ratio decreased from 1:2 in the previous quarter to 1:1 this quarter. Although the management remained vague regarding the budget for FY24, it reaffirmed that the deal pipeline has not yet been affected. “ The general demand situation has not considerably changed. This quarter, furloughs did have an impact. However, nothing has emerged that warrants concern thus far, according to TCS executive director and COO N Ganapathy Subramaniam. However, opinions among analysts over how to evaluate the provided numbers varied. The management commentary on the demand environment “seems murky for short to medium term, due to the uncertain global economy,” according to Sanjeev Hota, head of research at Sharekhan by BNP Paribas. The forecast for FY24 now appears dubious due to numerous global obstacles, but the recovery could be slow in the upcoming quarters. The Indian IT sector’s structural development story is still intact, and TCS, as the industry leader, will become stronger. Despite short-term volatility, we continue to be bullish on TCS in the long run. TCS earnings continue to grow despite the historically bad quarter. Deal wins had a rather lacklustre TCV of $7.8 billion, a 2.6% YoY rise, primarily because of subpar activity outside of the US and the UK. According to a first cut note from Elara Capital, “We will wait for management comments on whether this deterioration was broad-based or skewed beyond the US. The business generated a 24.5 percent operating margin on the margin front. Forex had a 70 basis point positive influence on the margin, and execution effectiveness contributed 30 basis points. However, these were outweighed by increased third-party expenses and the effects of things returning to normal. TCS’s CFO, Samir Seksaria, expressed confidence that the business would end FY23 with a margin of 25%. Additionally, he noted that the supply-side limitations have relaxed and that the high expectations for pay have decreased. TCS Q3 FY23 results fail to lift share prices. Here’s what brokerages say- Despite surprise on the revenue front, Tata Consultancy Services NSE -1.93% or TCS’s December quarter profits fell short of investors’ expectations. In the early session on Tuesday, shares of the major IT firm were trading 2.5% lower at Rs 3,237.05. Analyst expectations were not met by TCS’s Q3 revenue growth of 19.1% YoY at Rs 58,229 crore. Although TCS NSE -1.93% had healthy growth during the quarter, according to global brokerage company Jefferies, declining headcount and a book-to-bill ratio suggest that growth will be sharply moderated in FY24. Due to the weaker rupee, the company’s EBIT margin increased by 50 basis points. With a slowdown in growth and transformation projects and delayed decision-making in Continental Europe, deal wins were modest at $7.8 bn (+2.6% YoY). The performance of the stock, which has already dropped by almost 17% over the past year, was hampered by TCS’s high valuations. Here’s what brokerages said after TCS Q3 results: 1. JP Morgan: Underweight | Target price Rs 3,000 Following the December quarter results, JPMorgan maintained an underweight rating on TCS with a target price of Rs 3000. The Q3 print roughly matched expectations. The immediate view is still cautious. Deal wins are still meagre, and the book-to-bill ratio is falling, which might be problematic. 2. Jefferies: Hold | Target price: Rs

The CBI has arrested Venugopal Dhoot in connection with the ICICI Bank loan fraud case, two days after the arrest of Chanda Kochhar and her husband, Deepak Kochhar.

According to those who know the situation, India intends to implement new regulations for managing bankruptcy cases involving real estate that will benefit homeowners even while their builders shut down. The persons, who asked to remain anonymous since the material is private, stated that the planned amendment to the country’s Insolvency and Bankruptcy Code would allow the new regulations of the cases on a project-by-project basis. According to them, this will allow finished flats to be delivered to homebuyers even as the developer’s bankruptcy procedure is ongoing. The corporate affairs ministry’s spokeswoman declined to comment. Over the years, the Indian real estate market has seen a number of builders go out of business, leaving customers in a difficult situation owing to the uncertainty of the completion and delivery of the homes in which their life savings were invested. The completion of all of the developer’s unfinished projects is halted by admission into the insolvency proceedings under the present rules. Inderjit Singh Rao, the junior minister for corporate affairs, had informed the MPs in August that as of June this year, 436 of the 1,999 instances of corporate insolvency still pending were in the real estate industry. A unique framework is required to address the intricacies of the real estate industry because the IBC had limited success in quickly resolving such issues. The government also intends to develop a unified platform for case registration, streamline pre-packaged resolution plans, and offer customizable options for managing operational and nonviable assets independently in order to speed up settlements, they claimed.

According to a recent study by the International Institute for Sustainable Development (IISD), India’s subsidies for renewable energy and electric vehicles more than doubled in FY 2022, but it will be crucial for the government to maintain this momentum over the following years to meet the nation’s climate targets. The study, Mapping India’s Energy Policy 2022 (Update): Tracking Government Support for Energy, found that support for electric vehicles increased by 160% during the same time period, from Rs 906 crore to a record-high Rs 2,358 crore, while subsidies for renewable energy increased to Rs 11,529 crore in FY 2022 from Rs 5,774 crore in FY 2021. According to the report, this increase is due to more stable policies, a 155% increase in solar PV installation, and the post-Covid economic recovery. However, experts cautioned that to confirm this trend, the government must increase the support measures over the coming years to reach 500 GW of non-fossil capacity by 2030 and achieve net-zero energy use by 2070. These measures include subsidies, public finance, and investments by publicly owned companies. This is due to the fact that, despite a large reduction from FY 2021, when support for fossil fuels was nine times greater, India continued to contribute four times more funding to clean energy than to fossil fuels in FY 2022. India’s long-term goals of energy access, energy security, and combating climate change are at odds with continued support for fossil fuels, according to Swasti Raizada, a Policy Advisor at IISD and a co-author of the paper. To achieve its long-term objective of being net-zero by 2070, the government will need to transfer its support from fossil fuels to renewable energy. This will entail creating a clear investment strategy and setting interim goals. According to the report, subsidies for coal, fossil gas, and oil fell by 76% in real terms since FY 2014, totaling Rs 60,316 crore in FY 2022. Most significantly, oil and gas subsidies decreased by 28% to Rs 44,383 crore in FY 2022, however, this does not include lost income from lower tax and VAT rates on gasoline and diesel. In all, India gave the energy industry at least Rs 5 lakh crore in support in FY 2022, including more than Rs 2.2 lakh crore in subsidies. According to the paper, the societal costs of using fossil fuels on Indians vary from Rs 14 lakh crore to Rs 35 lakh crore, with the range representing uncertainty on the severity and expense of externalities such as air pollution and climate change. “The government has the ideal chance to strategically use these enormous energy earnings to aid in the transition of citizens and companies to sustainable energy. Long-term, this would not only lower the societal costs of fossil fuels but also help India develop a cleaner and more cost-effective energy system “Raizada threw in.

According to a Nasscom survey released on Friday, the Indian technology industry hired over 380,000 freshers in FY22,

According to new research, global mobile phone advertisement expenditure is predicted to hit $362 billion in 2023.

SBI has raised home loan interest rates (namely MCLR, EBLR, RLLR) with effect from December 15, 2022. State Bank of India (SBI)

Just a few weeks ago, the global market celebrated the prospect of the US Fed Rate interest slowing. Fed Chair Jerome Powell agreed that lower interest rate rises were anticipated, but he cautioned that monetary policy might stay tight until unambiguous evidence of considerable inflation reduction is discernible. However, this confidence quickly faded as good macroeconomic data in the United States reminded the market that the US fed interest rate can be significant. At the moment, the US Federal Reserve is the most powerful central bank in the world. Its policy actions have repercussions all across the globe. Forget about US fed rate rises; even a nudge in the direction of a rate hike disturbs markets. Investors may be disappointed that by swiftly raising rates, the Fed is increasing the chance of a recession and breaking market confidence. But the Fed has a duty to do: keep inflation under control, and raising interest rates is its most effective weapon against rising inflation. What can we anticipate this time? The decision of the US FOMC meeting is anticipated on December 14, and after hiking US fed rate by 75 basis points at each of the last four sessions, a 50 basis point boost is expected this time. Reuters surveyed economists unanimously predicted that the US Federal Reserve will raise federal reserve interest rates by 50 basis points on December 14. Why is the US Federal Reserve raising interest rates? After the Covid-19 epidemic rocked the world, the US Fed and other central banks dropped key lending rates to historic lows to provide enough liquidity in their financial systems while economic activity was hampered owing to Covid restrictions. Before the epidemic could stop and central banks began to wind down surplus money, the Ukraine war broke out, sending commodities prices skyrocketing owing to a demand-supply mismatch. In the United States and portions of Europe, inflation has reached multi-decade highs. In India, retail inflation, as measured by the Consumer Price Index (CPI), has been above 6% for the previous ten months, above the top level of the RBI’s tolerance zone. Inflation, as we all know, is simply an increase in the prices of goods and services. When inflation grows, consumers are forced to spend more money. This reduces their purchasing power and reduces demand, which in turn reduces output and economic growth. High inflation reduces buying power, which reduces consumption, which reduces demand, which reduces output and economic development. Worse, this cycle repeats itself since a weak economy equals weak output, poor salaries, and so on. This is one of the reasons for the US fed rate increase.  According to the IMF: “In an inflationary environment, unevenly growing prices ultimately diminish some consumers’ buying power, and this erosion of real income is the single greatest cost of inflation. Inflation can also distort buying power over time for fixed-interest rate users and payers.” Inflation is a major concern, and it is the Fed’s obligation to manage inflation below acceptable ranges. What does this entail for India’s economy and market? Following a rate rise by the US Fed rate, the interest rate differential between the US and India narrows, negatively affecting currency trade. The dollar and the US government yield become more appealing in the US, and capital outflows begin in the Indian market. Furthermore, the currency weakens, prompting the rate rise in India. If the rupee falls drastically, the RBI may be obliged to sell dollars in order to support the domestic currency. This depletes the domestic currency reserve. The biggest shock to the market has been strong selling by overseas investors. Emerging economies often provide higher returns than established markets, but when the US fed rate rises, the amount of the gain becomes less appealing. In this situation, international investors withdraw funds from emerging economies such as India and invest in equities in the United States, which are less volatile. What should individual investors do? US fed rate rise is predicted, and the market may have priced it in. An indication from the Fed on the course of the rate rise will set the tone for the market. Even analysts and experts have warned that the United States may enter a recession in 2023, and the Fed may continue to raise rates until it is persuaded that inflation has fallen and will not rise again. This will most certainly keep the market volatile. Domestic-centric industries are less likely to be damaged by a US recession, therefore retail investors may gamble on them. Experts advise investing for the long term in quality equities, adding on dips, and adjusting portfolios based on market conditions.

Alt text: Rakesh Jhunjhunwala image  Rakesh Jhunjhunwala life story is an inspiration to many young investors and traders. He believed that investment in the stock market is not only about making money but also about understanding the art of trading and investing.  He has been quoted saying, “You have to have a passion for the stock markets, you have to love them and you need to be motivated to keep learning”. Rakesh Jhunjhunwala’s success story is about to drive, determination, and motivation. He believes that success in the stock market requires hard work, dedication, and perseverance.  He also believes it is important to stay focused and remain motivated to succeed in the stock market.  He often encourages young investors and traders to never give up on their dreams and to keep learning and adapting to the markets. In this article, we will discuss the Rakesh Jhunjhunwala Biography that inspired millions of Indians.  Who is Rakesh Jhunjhunwala? Rakesh Jhunjhunwala was an Indian investor and trader often referred to as the “Warren Buffet of India”. He is one of the most successful stock market investors in India and is known for his expertise in value investing.  He started investing in 1985 and has grown his portfolio to include investments in a variety of companies, from Tata Motors and Lupin to Wipro and Titan. He was also an active philanthropist, focusing on education and healthcare for the underprivileged.  He was known for having an uncanny ability to pick stocks that rise quickly in value and for his ability to ride out market volatility. He was also a mentor to many budding entrepreneurs and investors and has written several books on investment and trading. Rakesh Jhunjhunwala biography is an inspiration to many investors around the world, especially in India. He has been able to achieve success despite humble beginnings and has become an example of what is possible in the stock market. He is an example of someone who has achieved success against all odds and is a role model for aspiring investors. Early Life Of Rakesh Jhunjhunwala Rakesh Jhunjhunwala was born on 5th July 1960 in Hyderabad, India. He attended Sydenham College in Mumbai.  After graduating in Commerce, he worked as an accountant for two years and then started trading in the stock market. In 1985, he established his own venture capital firm, Rare Enterprises.  He was one of the most successful Indian investors and his success has been built on his unique investment philosophy and deep understanding of the stock market.  He has been featured in Forbes magazine as the 77th richest person in India with more than $5.8 billion. He was a strong advocate of the value investing style of investing and is an inspiration to many aspiring investors in India. Rakesh Jhunjhunwala Biography tells us about his contrarian approach to investing and has made many successful investments in the stock market. Rakesh Jhunjhunwala Personal Life  He is married to Rekha Jhunjhunwala and has three children, Nishtha, Aryaman, and Aryavir. Jhunjhunwala was a devout Hindu and is known to donate generously to various charities and social causes.  He was also a proponent of the Indian stock market and is active in the trading and investment community. He is also passionate about the education of children and is a major contributor to a number of educational charities. In his personal life history of Rakesh Jhunjhunwala, enjoys playing golf and is an avid supporter of several charitable causes. He is also a keen collector of art and has a passion for classical music. After knowing about Rakesh Jhunjhunwala Personal life in Rakesh Jhunjhunwala biography let us discuss his qualification.  What Is Rakesh Jhunjhunwala Qualification? From a young age, Jhunjhunwala was exposed to finance and investing. He went on to complete his education in the field of chartered accounting, and then started his own investment firm, Rare Enterprises. Jhunjhunwala qualification as a chartered accountant has played a key role in his success as an investor. This type of education focuses on the principles and practices of accounting, with an emphasis on financial reporting and analysis.  Chartered accountants are trained to understand financial statements and to use them to make informed decisions about investments. Jhunjhunwala’s expertise in this area has helped him to identify promising investment opportunities and to generate high returns for his clients. In addition to his qualifications, Jhunjhunwala is known for his extensive knowledge of the Indian stock market and his ability to identify and capitalize on trends.  He has a reputation for being able to accurately predict market movements and has earned the nickname “Big Bull” for his bullish approach to investing. His success has made him one of India’s most well-known and respected investors. Rakesh Jhunjhunwala biography is an inspiration to many aspiring investors and shows that it is possible to make money in the stock markets if you have the right strategy and the right attitude. How Did Rakesh Jhunjhunwala Became Rich? Rakesh Jhunjhunwala became rich through his savvy stock market investments and taking calculated risks. He started off in 1985 by investing capital of a mere Rs. 5,000 and grew it to a staggering Rs. 5000 crores.  His success is attributed to his sound understanding of the stock market, rigorous research and analysis of different stocks, and ability to take calculated risks.  He has also become famous for his remarkable ability to spot hidden gems in the stock market and make money from them.   He has also invested in multiple sectors, ranging from banking to pharmaceuticals. He has also made successful investments in commodities, currency, and debt markets.   In addition to his investment prowess, Jhunjhunwala was also an astute entrepreneur who has launched several successful businesses, including a stock broking firm, a mutual fund, and a non-banking finance company.  After knowing about Rakesh Jhunjhunwala’s wealth let’s find out investing lessons in Rakesh Jhunjhunwala biography.  Five Investing Lessons From Rakesh Jhunjhunwala These are the five important investing lessons that you can learn from Rakesh Jhunjhunwala.  1. Diversify Your