Pent-up travel demand strong
- According to an industry study, 69% respondents indicated keenness to resume travel in 2021 after restrictions are eased. The holiday-readiness survey report released by Thomas Cook and its subsidiary SOTC Travel reveals that there is strong pent-up travel demand.
- Interestingly, 3 out 4 people expressed strong preference for interaction with an expert for guidance, which is usually not provided by online tour operators. Shares of Thomas Cook were up 4.1% today, whereas that of online travel company Easy Trip Planners were subdued with a decline of 1.1%.
Shilpa Medicare gets nod for Covid drug
- Karnataka-based drug maker Shilpa Medicare has received an in-principle approval from the Defence Research and Development Organisation (DRDO) for the manufacture and sale of 2-Deoxy-D-Glucose (2DG). The drug has been given emergency approval for use in the treatment of Covid patients.
- It is the second pharma company to receive approval for making this drug after Dr Reddy’s. Earlier, Shilpa Medicare had also announced that it has entered into an agreement to manufacture the Sputnik V vaccine. Shares of Shilpa Medicare rose 3.2% today and have gained over 70% so far this fiscal.
Ashok Leyland back on track
- Shares of commercial vehicle maker Ashok Leyland rose 4.4% as it reported a profit of ₹241 crore in the March quarter of FY21. A 32% sequential jump in volumes helped the company to return to profits after the losses seen in the previous quarter.
- Its revenues also saw a strong uptick of 45% quarter-on-quarter. While the Q4 performance was strong, the second wave has brought back challenges. However, the company has said that it is better prepared this time and believes that a bounce back in GDP growth in FY22 would augur well for the CV industry.
ONGC benefits from rising crude prices
- State-owned oil exploration and production company’s standalone net profit surged to ₹6,734 crore in Q4, aided by an exceptional item and higher realisation (revenue per barrel of oil). In comparison, the company had reported a loss of ₹3,214 crore in March 2020.
- In the wake of rising oil prices, the net realisation rose by 18% year-on-year (YoY) to $58 per barrel. But the company’s revenue declined by 1.2% YoY due to a drop in production and lower gas prices. Nonetheless, the stock fell 0.9% today.