Quite a number of companies have managed to match Dalal Street estimates for the three months ended September 2023, even though there are many who missed consensus analysts’ estimates for the quarter.
However, there are also some firms in the Nifty500 index, whose numbers had wider variance with the consensus analysts’ estimates. For instance, Bharti Airtel reported less than half of the analysts estimated profit for the quarter ended September 2023. Similarly, Tata Steel posted a surprise net loss of ₹6,196 crore in Q2FY24 following poor performance at its European units, which dragged the steel majors bottom-line. For Bharti Airtel, it was one-time charges and weak revenues from its African operations that weighed down its net profit.
Other companies that reported net profits which are at least 50 percent lower to the Bloomberg consensus estimates include UPL, Gujarat Fluorochemicals, Voltas, Laurus Labs, Samvardhana Motherson and many others. At ₹34 crore, the net profit of Bata India came in at 51 percent lower to Bloomberg consensus estimates. Moreover, BHEL posted a net loss of ₹238 crore in Q2FY24, against the expectations of a loss of about ₹110 crore. Similarly, the net profits of Gujarat Fluorochemicals, Voltas and Laurus Labs were also about 60 percent to 65 percent lower than analysts’ estimates.
Big Misses
| Company | Expected* | Actual |
| Tata Steel | 441 | 6196 |
| Bharti Airtel | 3205 | 1341 |
| UPL | 425 | 189 |
| Gujarat Fluorochemicals | 151 | 53 |
| Voltas | 115 | 37 |
| Laurus Labs | 97 | 37 |
| Samvardhana Motherson | 699 | 202 |
| VIP Industries | 42 | 13 |
| Gujarat Fluorochemicals | 151 | 53 |
| FSN E-Commerce Ventures | 15 | 6 |
| Bata India | 69 | 34 |
| BHEL | -108 | -238 |
Net Profit/Loss (in crore)
On the flip side, Indigo reported a net profit of ₹189 crore in the second quarter of fiscal 2024, against analysts' expectation of posting a loss of ₹316 crore. The country’s biggest airline reported net profit for the fourth straight quarter on the back of falling fuel prices and growing trouble at rival carriers.
Huge Hits
| Company | Expected* | Actual |
| InterGlobe Aviation | 316 | 189 |
| Zomato | 14 | 36 |
| JSW Energy | 469 | 857 |
| BPCL | 5248 | 8244 |
| Nuvoco Vistas Corporation | 23 | 2 |
| Balrampur Chini Mills | 97 | 166 |
| Nazara Technologies | 15 | 24 |
| Alkem Laboratories | 404 | 621 |
| Trent | 154 | 235 |
Net Profit/Loss (in crore)
*Bloomberg consensus estimates
Zomato is another example, where the online food aggregator reported a net profit of ₹36 crore. The net profit of Zomato surged 18-fold sequentially in Q2FY24. In contrast, analysts had pegged a net profit of ₹14 crore for the quarter. Other companies which saw huge upside in earnings include Nuvoco Vistas Corp, JSW Energy, Balrampur Chini Mills, Alkem Laboratories and among others.
This piece has only assessed companies excluding real estate and insurance, considering the nature of their businesses and those that are tracked by a minimum of 10 analysts.
(Edited by : Sangam Singh)
First Published: Nov 10, 2023 5:38 PM IST
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