SAIL, BSNL, Air India worst performing PSUs in FY16: Survey

Coal India, ONGC and Indian Oil Corp emerged as star financial performers among India's central public sector enterprises in 2015-16, whereas SAIL, BSNL and Air India incurred most losses, a government survey has showed.
The Public Enterprises Survey, tracking the performance of CPSEs in 2015-16, revealed that the top three loss-making CPSEs -- SAIL, BSNL and Air India -- incurred a loss equal to 51.65 per cent of the total loss made by the top 10 loss-making CPSEs in 2015-16. SAIL entered the list of top 10 loss-making CPSEs, apart from ONGC Videsh, Rashtriya Ispat Nigam, PEC and BHEL.




Mangalore Refinery and Petrochemicals, STCL, Fertilizers and Chemicals (Travancore), Air India Engineering Services and Hindustan Fertilisers Corporation went to the profit zone in 2015-16.
The most profitable PSUs-Coal India, ONGC and IOC-contributed 17.82, 17.45 and 11.34 per cent, respectively, to the total profit earned by the top 10 profit-making CPSEs during the year, the survey tabled in Parliament revealed.
Hindustan Fertilizer Corporation and Mahanadi Coalfields entered the list of top 10 profit-making CPSEs, whereas NMDC and South Eastern Coalfields made their exit. The top 10 profit-making companies accounted for 63.46 per cent of the total profits made by all (165) CPSEs during the year. The top 10 loss-making companies claimed 79.81 per cent of the total losses made by all the 78 CPSEs during the year.

EU recommends suspension of over 300 generic drugs tested by Indian firm

Europe's medicines regulator has recommended the suspension of more than 300 generic drug approvals and drug applications due to "unreliable" tests conducted by Indian contract research firm Micro Therapeutic Research Labs.
The decision, announced by the European Medicines Agency (EMA) on its website, is the latest blow for India's drug-testing industry, which has run into a series of problems with international regulators in recent years.
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Nobody at the Chennai-based company was immediately available to comment.
The EMA said European officials had been investigating Micro Therapeutic's compliance with good clinical practice after Austrian and Dutch authorities raised concerns in February 2016.
"The inspections identified several concerns at the company's sites regarding misrepresentation of study data and deficiencies in documentation and data handling," the agency said.
However, there is no evidence of harm or lack of effectiveness of the medicines, which include generic versions of many common prescription pharmaceuticals, including blood pressure tablets and painkillers.
The EMA's recommendation on the suspension of the medicines tested by Micro Therapeutic will now be sent to the European Commission for a legally binding decision valid throughout the European Union.
Drug tests carried out at Indian contract research organisations (CROs) have been key in getting a huge array of generic medicines approved for sale around the world over many years.
In 2015, Europe banned around 700 medicines that had been approved based on clinical trial data provided by GVK Biosciences, then India's largest CRO. Other smaller Indian CROs have also been found to have fallen short of required standards.
In the wake of such trial data scandals, many large drugmakers have been shifting more critical trials back to the United States and Europe over the last three years, according to consultants and industry executives.

RK Damani-led D-Mart stocks register over 100% returns on listing day

New Delhi: Market investor RK Damani-led retail store chain Avenue Supermarts, commonly known as D-Mart, witnessed more than 100% return on its debut on the domestic bourses on Tuesday.
The scrip of the company opened at Rs 604.40 per share on the BSE -- more than 100% premium over its issue price of Rs 299 apiece.
It closed with gains of 6.01% at Rs 640.75 per share, which accounted for a gain of 114.30% from its issue price.
“D-MART witnessed blockbuster opening and continued to trade higher throughout the session. Against issue price of Rs 299, it opened at around Rs 600 and continued gain till intra-day high of Rs 648.90,” Dhruv Desai, director and chief operating officer of Tradebulls, told IANS.
“More than 100% return was seen in the stock. It sustained the gains till the end of the trading session.”
Jimeet Modi, chief executive of SAMCO Securities, said in a note: “This listing will certainly qualify as the biggest listing of recent times in subscription and listing gains terms.”
“We can make a conclusion after looking at the facts of this initial public offering (IPO) that broader trend of the market is very much intact and more northwards and investors are ready to pay premium for quality.”
On March 8, the IPO of the retail chain was oversubscribed by 104.59%.

Indian M&E industry to grow at 13.9% CAGR to reach Rs 2,419.4 billion by 2021: FICCI-KPMG report

Mumbai: The Indian Media and Entertainment (M&E) industry is projected to grow at a faster pace of 13.9% CAGR over the period 2016–21, with advertising revenue expected to increase at a CAGR of 15.3% according to the FICCI-KPMG Media and Entertainment industry report 2017.
The report was released by on the inaugural day of the three-day annual media conclave FICCI FRAMES.
According to the report, 2016 was a mixed bag for the M&E industry and while the digital ecosystem penetrated further into the citizens’ day-to-day lives and opened up new avenues of consumption and revenue, it was time for introspection for many parts of the industry.
For instance, television experienced slower growth due to a lacklustre year for subscription revenues, which have faced headwinds owing to continued challenges around digitisation and its intended benefits flowing through the value chain.
Print, meanwhile, continued to experience a slowdown in growth rates, as English language newspapers continued to be under pressure owing to rising users’ interest in digital content, while films had a disappointing year with a near flat performance.
Incidentally, led by digital, some of the traditionally smaller sub-segments of the industry registered impressive growth in 2016. Rising internet and broadband penetration, declining data charges, coupled with the proliferation of internet enabled mobile phones, led to data consumption levels increase manifold, driven by offers by the new entrant, Reliance Jio, which were quickly followed by major competitors Idea, Vodafone and Airtel. This phenomenon has led to a sustained advertiser interest in digital, resulting in a strong performance by the sub-segment in 2016. Digital has also positively impacted the relatively smaller sub-segments, such as gaming and music — which registered impressive growth too.
With OTT platforms continuing to see major traction, digital Video-on-Demand (VOD) and television could see harmonious co-existence for the near future, feeding off each other’s strengths, the report predicts.
Television sector
As per the report, Television is expected to grow at a CAGR of 14.7 per cent over the next five years as both advertisement and subscription revenues are projected to exhibit strong growth at 14.4 per cent and 14.8 per cent, respectively. The sector had witnessed slower growth in 2016 - at 8.5 per cent - primarily due to a lacklustre year for subscription revenues and a speed bump in advertisement revenue growth
The long-term forecast for the segment remains robust due to strong economic fundamentals and rising domestic consumption coupled with the delayed, but inevitable, completion of digitisation.
The rising share of FTA channels may, however, partially pull down the long-term subscription revenue forecasts, the report said.
Print media
Print is projected to continue its growth at 7.3 per cent, largely on the back of continued readership growth in vernacular markets and advertisers’ confidence in the medium, especially in the tier II and tier-III cities. However, rising digital content consumption is perceived to be a long-term risk to the industry.
Print revenue growth rates continued to register a slowdown, clocking a 7 per cent growth in 2016 as English language newspapers continued to be under pressure. Regional language newspapers though continued to show strong growth.
Films
While the film sector had a disappointing year with the growth down to a mere 3 per cent, the report said that this segment is expected to bounce back and is forecast to grow at a CAGR of 7.7 per cent, as the revenue streams broaden, driven by the growing depth of regional content, expansion in overseas markets and higher contribution of digital revenue streams.
However, slow growth in screen count, along with inconsistency in content quality would act as the primary limiting factors for the sector.
Digital advertising
Digital advertising is expected to grow at a CAGR of 31 per cent to reach Rs 294.5 billion by 2021, contributing 27.3 per cent to the total advertising revenues by that point.
As digital infrastructure continues to develop and data costs are driven down, digital consumption is likely to become more frequent and more mainstream. The resultant growth in investment by advertisers, supported by evolution of the audience measurement technology, is likely to drive growth over the next five years, predicts the report.
Animation & VFX
The animation and Visual Effects (VFX) industry showcased a growth of 16.4 per cent, largely led by a 31 per cent growth in VFX industry, which grew on the back of an increase in outsourcing work and the growing use of VFX in domestic film productions.
During 2016-21, the segment is expected to grow at a higher CAGR of 17.2 per cent, largely led by the continued growth in outsourced services and the swelling use of animation and VFX services in the domestic television and film space, respectively.
Out of Home
While the Out of Home (OOH) segment registered a slowdown in growth rate at 7 per cent – primarily due to the impact of demonetisation – long-term indicators remain positive.
As per the report, the OOH is projected to grow at a CAGR of 11.8 per cent primarily due to development of regional airports, privatisation of railway stations, growth in smart cities, setting up of business and industrial centres, and growing focus on digital OOH.
Radio
Radio is expected to grow the fastest amongst the traditional sectors at a CAGR of 16.1 per cent, with operationalisation of new stations in both existing and new cities, introduction of new genres and radio transitioning into a reach medium.
In 2016, Radio registered a 14.6 per cent growth led by volume enhancements in smaller cities, partial roll out of Batch 1 stations and a marginal increase in effective ad rates.

Development of New Airports

New Delhi: Government of India has granted "in principle" approval for setting up of the 18 Greenfield airports in the country. The list of these airport is as under: Mopa in Goa, Navi Mumbai, Shirdi and Sindhudurg in Maharashtra, Bijapur, Gulbarga, Hasan and Shimoga in Karnataka, Kannur in Kerala, Durgapur in West Bengal, Dabra in Madhya Pradesh, Pakyong in Sikkim, Karaikal in Puducherry, Kushinagar in Uttar Pradesh, Dholera in Gujarat and Dagadarthi Mendal, Nellore Dist., Bhogapuram in Vizianagaram District near Visakhapatnam and Oravakallu in Kurnool District, Andhra Pradesh. Government of India has granted "site clearance" approval for setting up of the 5 Greenfield airports in the country. The list of these airports is as under: Machiwara, Ludhiana Airport, Itanagar in Arunachal Pradesh, Jamshedpur in Jharkhand, Alwar in Rajasthan and Kothagudem in Telangana.
Mopa Airport in Goa, Navi Mumbai and Shirdi Airport in Maharashtra, Kannur Airport in Kerala, Kushinagar Airport in Uttar Pradesh, Dholera Airport in Gujarat, Bhogapuram Airport in Andhra Pradesh, Machiwara Airport in Ludhiana and Alwar Airport in Rajasthan are International Greenfield Airports.
As regards construction of new Greenfield airports, execution of project including finalization of project cost and financing arrangement is the sole responsibility of the respective airport promoters. However, as per the information provided by the respective airport developer, the total estimated cost for setting up of above mentioned 18 Greenfield Airports in the country comes out to Rs. 30,000 crore (approx.).
This information was given by Minister of State for Civil Aviation, Shri Jayant Sinha in a written reply in Rajya Sabha today.

India to become third-largest consumer economy by 2025: BCG

Mumbai: Even as the world economy struggles and many developed countries are trying to alter their consumption through austerity drive, India could end up as the third largest consumer economy by 2025 according to a report by the Boston Consulting Group (BCG).
Consumption in India is set to triple to $4 trillion by 2025 as rising affluence drives changes in consumer behaviors and spending patterns that have big implications for companies, the BCG report --Center for Customer Insight (CCI), The New Indian: The Many Facets of a Changing Consumer—said. “Nominal year-over-year expenditure growth of 12% is more than double the anticipated global rate of 5% and will make India the third-largest consumer market by 2025,” it added.
“India’s consumer market is poised for fundamental change,” said Nimisha Jain, a BCG partner and report coauthor. “As the consumer market continues to grow and evolve, companies will need to shed conventional wisdom, try multiple business models simultaneously, and be prepared for rapid change internally to adapt to changing consumer needs and behaviors.”
“A set of emerging social trends could reshape consumption patterns significantly,” said Abheek Singhi, a BCG senior partner and report coauthor. “These include more—and better educated—women taking their rightful place in society, greater pride in being Indian, and increasing time compression, each of which will drive exponential growth in various categories differently.”
According to the report in addition, the internet is an increasingly pervasive factor in India’s commerce, and its influence will only expand. Online spending is taking off: in the past three years, the number of online buyers has increased sevenfold to 80 million to 90 million. Digital’s influence on broader consumer spending is significant and growing rapidly. Digitally influenced spending is currently about $45 billion to $50 billion a year, and that figure is projected to increase more than tenfold to $500 billion to $550 billion—and to account for 30% to 35% of all retail sales—by 2025. As a result, omnichannel interaction is more and more important, but its significance varies by category. Consumers’ purchase pathways also are increasingly complicated.

1.17 lakh more affordable houses for urban poor sanctioned under PMAY(Urban)

Investment involved-Rs.5,773 cr; Central assistance approved-Rs.1,816 cr
Madhya Pradesh gets 27,475 houses; Bihar-25,221, Jharkhand-20,099, Odisha-2,115
Bhopal gets 4,154 houses, Gwalior-3,120, Purnea-3,378 and Ranchi-2,668
MP with over 2 lakh sanctioned houses closely behind Tamil Nadu in implementing housing mission
Total investment in affordable housing approved close to Rs.one lakh cr mark
New Delhi: Ministry of Housing and Urban Poverty Alleviation today approved construction of 1,17,814 affordable houses for the benefit of urban poor in six States at a total cost of Rs.5,773 cr for which central assistance of Rs.1,816 cr has been approved, under the Prime Minister’s Awas Yojana (Urban).
Noting that affordable housing under PMAY(Urban) is gaining momentum, Minister of HUPA Shri M.Venkaiah Naidu has asked the Ministry officials to ensure that construction of sanctioned is taken up and completed quickly by the concerned City and State Governments.
Madhya Pradesh has been sanctioned a total of 27,475 new houses for 43 cities and towns at a total cost of Rs.1,713 cr for which central assistance of Rs.412 cr has been approved. These include 20,971 houses under Beneficiary Led Construction (BLC) component of PMAY(Urban) and 6,504 houses under Affordable Housing in Partnership (AHP) component.
Under BLC, beneficiaries are assisted to build own houses on the land available with them or take up improvement works for increasing living space and other amenities. Under AHP, State Government provides the land to house urban poor. Under both these components, central assistance of Rs.1.50 lakh is provided for each beneficiary.
With today’s sanctions, Madhya Pradesh has so far been sanctioned 2,09,036 houses and is closely behind Tamil Nadu which is leading in implementation of PMAY(Urban) with the maximum of 2,27,700 houses sanctioned.
In Madhya Pradesh, Bhopal has been sanctioned 4,154 houses, Gwalior-3,120, Dhar-1,800, Khargone-2,012, Burhanpur-1,535, Gadarwara-1,366, Khandwa-1,162, Seoni-902, Dhanpuri-739, Balaghat-716, Biaora-693, Shahdora-691 and Dindori-685.
Bihar has been sanctioned 25,221 new houses for urban poor in 31 cities with a total investment of Rs.1,208 cr and with central assistance of Rs.378 cr under BLC component. With this, Bihar has so far been sanctioned a total of 88,254 affordable houses under PMAY(Urban).
Under today’s sanctions, Purnea has got 3,378 houses followed by Bihar Shariff-2,625, Kishanganj-2,490, Gaya-2,429, Madhubani-1,798, Sheohar-1,641, Jami-1,023, Benipur-1,016, Gogri Jamalpur-986, Raxaul-842 and warsaliganj-674.
Jharkhand has been sanctioned 20,099 new houses under Beneficiary Led Construction component of PMAY(Urban) in 36 cities with a total cost of Rs.728 cr and central assistance of Rs.306 cr. With this, total number of affordable houses sanctioned for the State under PMAY(Urban) has increased to 64,555 so far.
Ranchi has been sanctioned 2,668 houses followed by Deoghar-2,192, Dhanbad-1,905, Jhumi Taliaya-1,393, Lohardaga-1,099, Madhupur-1,292, Chas-1,249, Medininagar-867, Gumla-630 and Chaibasa-644.
Odisha has got 2,115 new houses sanctioned under BLC component of PMAY(Urban) for 8 cities with a total project cost of Rs.64.00 cr for which central assistance of Rs.32.00 cr has been approved. With this, total number of Affordable houses sanctioned for Odisha so far has increased to 48,845.
In today’s sanctions, Nabarangpur has got 230 houses followed by Purusottampur-226, karanjia-200, Ranpur-196, Chikite-180, Anandpur-152, Udala-150, Rambha-110 and Radhakol-107.
Karnataka has been sanctioned 31,424 houses and Kerala-11,480 houses for urban poor under PMAY (Urban).
With today’s approvals total number of houses being taken up for construction for the benefit of urban poor under PMAY(Urban) has gone up to 17,60,507 with total project cost of Rs.96,018 cr for which central assistance of Rs.27,714 cr has been approved.

Vodafone's India operations to merge with Idea Cellular in two years

Mumbai: Vodafone India will merge with Idea Cellular within two years, making the merged entity the largest telecom operator in India with 400 million customer base and 35 per cent market share. Vodafone will own 45.1 per cent of the merged entity after a consideration of US$ 592.15 million is paid in cash for transferring about 4.9 per cent to promoters of Idea or its affiliates. The companies expect cost and capex synergies to yield US$ 10 billion in present value terms post integration costs and payments towards spectrum.

Future Group to expand affordable fashion retail format

Kolkata: Future Group plans to open 80 new stores for its affordable fashion format FBB this fiscal to grow the store count which at present is 300, said group CEO Kishore Biyani.
Addressing a press conference here on Saturday, Biyani said the retailer plans to sell 23 crore units of garments by next year March and expects it to grow to 80 crore units by 2021. "Next fiscal, we are targeting Rs 10,000 crore sales from fashion and we expect much of it will be driven from Kolkata," he said.
Biyani said he expects prices at FBB will plunge by 3-5% every year as the retailer gains scale in operations and backend. He said around 40% of the group's revenue is driven by fashion.
Future Group launched its largest FBB store in Kolkata. The group is on an expansion spree in Kolkata and soon plans to set up a Central store over 1.5 lakh square feet in Rajarhat. Future Supply Chain Solutions has also just set up an integrated apparels and general merchandise distribution centre at Burdwan, near Kolkata. This will serve all the Big Bazaar and FBB stores located in West Bengal, Orissa, Bihar and North Eastern States. The facility is spread over 2.6 lakh square feet.
Biyani said the new distribution center at Burdwan will enable the group to reduce complexity, increase productivity and offer better services to customers in the Eastern region. "Our aim has always been to come up with better processes and technology that enables us to operate seamlessly," he said.

Number of e-filed Income Tax Returns in Financial Year 2016-17 (till 28.02.2017) was 4.21 Cr

Number of e-filed Income Tax Returns in Financial Year 2016-17 (till 28.02.2017) was 4.21 Cr: The total amount of refund issued in the current fiscal (including refund arising out of rectification, appeal effect etc.) is Rs. 1,48,459 crore (till 28.02.2017)
The number of e-filed Income Tax Returns in Financial Year 2016-17(till 28.02.2017) was 4.21 Cr. which represented an increase of twenty-one percent over the number filed during the corresponding period of last financial year.
The number of e-returns processed in Financial Year 2016-17 (till 28.02.2017) was 4.30 Cr.(this included the returns filed during Financial Year 2016-17 as well as backlog for earlier years).
The total amount of refund issued in the current fiscal (including refund arising out of rectification, appeal effect etc.) is Rs. 1,48,459 crore (till 28.02.2017).
The Government accords high priority to expeditious issue of refunds, particularly to small taxpayers. During Financial Year 2016-17, as on 10.02.2017, 98% of the refunds of less than Rs. 50,000/- have been issued and only 2% remain to be issued. Majority of these cases relate to recently filed tax returns or where the taxpayers’ response to the Department is awaited.
Further, to ensure expeditious disposal of backlog of refunds upto Rs. 5,000/- in non scrutiny cases pertaining to Assessment Year’s 2013-14, 2014-15 and 2015-16, instructions have been issued to field units to issue refunds in these cases without adjustment against the outstanding demand.
The law provides that income-tax returns are to be processed within a period of one year from the end of the financial year in which the return is made. Efforts have been made to shorten the timeframe over the years through greater thrust on automation, smoothening the process for e-filing, and proactive monitoring. During the current fiscal, 90% of the refunds have been issued within 60 days and 67% within 30 days of filing of return.
This was stated by Shri Santosh Kumar Gangwar, Minister of State in the Ministry of Finance in written reply to a question in Lok Sabha today.