DNA NEWS

In September 2024, Mahindra & Mahindra (M&M) surpassed Tata Motors in SUV sales for the first time in over five years. M&M sold 51,062 SUVs, a 24% year-on-year growth compared to 41,267 units sold in September 2023. Tata Motors recorded 41,063 units sold in September 2024, an 8% decline from 44,809 units in September 2023. Tata Motors attributed its sales decline to slow consumer demand and seasonal factors but remains optimistic about the festive season ahead. M&M emerged as the third-largest player in India's passenger vehicle market, following Maruti Suzuki and Hyundai Motor India.

Classplus revenue from operations doubled to Rs 213 cr in FY24 from Rs 102 crore in FY23 Classplus's SaaS tools and software sales contributed 96.6% of total operating revenue, accounting for Rs 205.5 cr in FY24 Advertising and promotional expenses saw a 7.3% decline, contributing to the overall reduction in expenditures to Rs 375.7 crore in FY24 from Rs 405.2 crore in FY23. EBITDA margin improved to -35.99%, and its ROCE improved to -15.26%. Classplus spent Rs 1.77 to earn a rupee in FY24, compared to Rs 3.97 in FY23. The company has raised over $160 million, including a $70 million Series D round in 2022, valuing it at $600 million.

One 97 Communications (OCL), which operates Paytm, saw employee costs rise by 21% to ₹4,589 crore in FY24, up from ₹3,788 crore in FY23. CFO Madhur Deora received 15% salary hike, double median hike of 7% for organization. Founder and CEO Vijay Shekhar Sharma did not take a salary hike in FY24, with his remuneration remaining at ₹4.4 crore, fixed for three years since FY22.  Paytm has undertaken a mission to reduce employee costs by ₹400-500 crore and reportedly laid off over 1,000 employees in FY24. A resolution adopted in August 2024 capped non-executive directors' remuneration at ₹48 lakh annually, with a fixed component of ₹20 lakh.

Angel One implemented a new structure for cash and equity delivery transactions starting November 1, charging a flat rate of ₹20 or 0.1% + GST per executed order, moving away from the zero-brokerage model. Angel One's revised fee structure led to a 7% surge in its shares, with analysts predicting an 8% revenue increase HDFC Securities and Upstox confirmed no changes to their brokerage fees, except for mandatory revisions in exchange transaction charges.  Zerodha lowered its transaction charges for options to 0.035% and for futures to 0.00173%. Angel One revised charges to 0.00297% for NSE's cash segment, 0.00173% for futures, and 0.03503% for options..

Stockbroking startup Dhan reported gross revenues of Rs 380 crore in FY24, a 600% increase from Rs 54.2 crore the previous year. The startup achieved a net profit of Rs 155 crore in FY24, recovering from a net loss of Rs 22 crore in FY23. Dhan anticipates a 25-30% impact on gross revenues due to recent regulatory actions on the speculative futures and options market by Sebi.  Approximately 90% of Dhan's users are traders who have switched from other broking platforms, focusing on seasoned traders and pursuing large revenue pools. Zerodha reported a 61% increase in net profit, reaching Rs 4,700 crore. Groww report a profit of Rs 297 crore

Groww saw a 2.4X growth in its operating revenue during FY24, reaching ₹2,900 crore, up from 1,295 crore in FY23.Groww profits surged more than 4X, rising to 298 cr in FY24 from ₹73 crore in FY23. Retail broking accounted for 90% of Groww operating revenue. The platform holds a 25% market share in India as of August 2024, with 1.2 crore active users, overtaking Zerodha as the leading stockbroking app.  The increase in broking volume contributed to Groww's fourfold profit growth, with its return on average net worth improving to 40.3%

Warren Buffett is considering investments in Japanese banks, insurance and shipping companies as Berkshire Hathaway returns to the yen bond markets, leading to speculation about raising funds for value stock investments. Berkshire Hathaway has mandated banks to manage a yen bond sale, indicating potential plans to increase holdings in Japan, as previous investments in Japanese equities were financed through yen bonds. Valuations of Japanese banks and insurance companies have decreased following a market selloff in August, with estimated price-earnings ratios for the Topix insurance and bank indexes currently at 9 and 10.1, respectively. The shift in Bank of Japan policy towards interest rate hikes could improve profit margins in the financial sector