Namaste! Aaj ka news roundup, Newswala style!

MARKETS

Markets: Indian benchmark indices closed lower for the fifth straight session on November 13, with the Nifty slipping below 23,600. The Nifty has now fallen nearly 10% from its peak of around 26,200, reached on September 27.

TOP STORIES

Britannia Industries Holds Steady Growth

What Happened

Britannia Industries posted encouraging Q2FY25 results, showing high single-digit growth in volumes despite subdued urban demand and rising input costs. With a share price of around ₹5,028 and a market cap of ₹1.21 trillion, Britannia delivered sequential gains in revenue and operating profits. 

But its EBITDA fell short of expectations as wheat, palm oil, and cocoa prices drove costs up. The rural market performed better than urban, with rural volume growth twice that of urban areas, helped by Britannia’s distribution expansion and brand outreach.

Why It Matters

Britannia’s performance highlights a mixed picture in India’s FMCG market. While the urban sector saw low demand, Britannia still managed to expand its market share, partly due to strategic price adjustments in smaller packs and innovations in non-biscuit categories like cakes, wafers, and dairy products. 

Additionally, the company maintained growth in its cheese and drinks segment. Yet, rising raw material costs and higher advertising expenses have pressured margins. Despite this, Britannia has stayed competitive, leveraging distribution and product diversification to balance profit dips.

What’s next?

Looking ahead, Britannia aims to strengthen its foothold with a 4-5% price increase on key products over the next two quarters. The company is also betting on its RTM (Route-to-Market 2.0) strategy to enhance shopper experience and streamline distribution, especially in rural areas where demand is expected to grow. 

Although the stock has dipped over 15% recently, analysts remain optimistic about Britannia’s long-term potential.

PAISON KA KHEL

Rivian and VW team up to reshape the electric car market

Volkswagen and Rivian, an American electric vehicle manufacturer have teamed up in a joint venture worth $5.8 billion, ramping up their game in the electric vehicle (EV) world. Rivian, still struggling with losses, gets a much-needed financial boost as it gears up for its 2025 launch of the smaller, affordable R2 SUV. 

Meanwhile, VW gains access to Rivian’s cutting-edge tech, which is expected in VW models by 2027. The partnership aims to share expertise and slash development costs at a time when the EV market is facing slowing demand and stiff competition from China. 

MTNL defaults on ₹5,726 crore loans

State-owned MTNL is facing a major financial crunch, defaulting on payments totalling ₹5,726.29 crore. This includes ₹5,492 crore in principal and ₹234.28 crore in interest. 

• The telecom company’s total debt has now skyrocketed to ₹32,097 crore, 40 times its annual income of ₹798 crore.
  

 Key banks like Union Bank of India, which holds the largest share, and Bank of India are among those hit by the default. While a sovereign guarantee backs MTNL’s debt, its operations will be transferred to BSNL as part of a larger restructuring plan.

TOP STORIES

Shiprocket Bets on Speed to Win Over Offline Shoppers

What Happened

Shiprocket, the Gurugram-based logistics unicorn, has set its sights on the quick-delivery market with a new twist. Known for helping small businesses and online sellers streamline their shipping, Shiprocket recently launched Shiprocket Quick, a service aimed at giving local merchants the power to deliver within a few hours—just enough to keep impatient customers happy

Why It Matters

In the world of quick commerce, delivery speed can make or break a sale. By extending two-hour and same-day delivery capabilities to smaller businesses, Shiprocket helps level the playing field, giving these merchants a fighting chance against big e-commerce players.

And it’s paying off: 

• Shiprocket reports a 10.5% boost in conversions and an 8.9% rise in repeat orders thanks to faster deliveries. 
  

• Expanding this service to malls and D2C brands, the company aims to add 100,000 exclusive brand outlets and merchants by 2026. 
  

Zoom out

In partnership with major delivery players like Porter, Ola, Borzo, Rapido, and Shadowfax, Shiprocket Quick now supports over 2,000 brands, including well-known names like Ferns & Petals.

The company has demonstrated strong performance, achieving a gross merchandise value of $3 billion and a 21% revenue growth in FY24. Despite facing a ₹595 crore loss due to restructuring, Shiprocket’s emphasis on speed is clearly paying off. 

GLOBAL NAZARA

Japan bets big on semiconductor revival with $65 billion

Japan is investing $65 billion to bring its semiconductor industry back to the top. The plan, announced by Prime Minister Shigeru Ishiba, aims to attract over $460 billion in investments by 2030. 

A key part of this effort is Rapidus, a state-backed company focused on producing advanced 2-nanometer chips by 2027, with support from companies like Toyota and Sony. 

Prosus targets $100 million investment in Mintifi 

Global investor Prosus is vying to grab a minority stake in supply-chain financing startup Mintifi Finserve, offering up to $100 million in an effort to push the seven-year-old startup into unicorn territory with a $1 billion valuation.

The startup, which has raised $175 million across four funding rounds, has seen impressive growth, with its revenue tripling to ₹319.1 crore in FY24. Prosus is now competing with big names like Bain Capital and Ontario Teachers’ Pension Plan. 

TOP STORIES

More EV Chargers at Petrol Pumps

What Happened?

In a major leap for electric vehicles (EVs), India has seen a fourfold increase in the number of petrol stations offering EV charging facilities. Now, around 17,900 petrol pumps across the country are equipped with chargers, a significant jump from just 4,100 two years ago. 

State-run oil companies are leading, with Indian Oil Corp. having 10,057 pumps with charging stations. 

Why It Matters?

India's push for electric mobility is picking up pace with a surge in EV charging stations at petrol pumps, but there’s a hitch—only 20% of these chargers are fast chargers. This presents a significant challenge for EV owners looking for quick top-ups, as slow chargers can take up to six hours to fully charge a car.

Despite the growing number of charging stations, the utilization remains low due to factors like limited customer demand and pump dealers’ reluctance, as the returns from EV charging are far lower compared to regular petrol sales. 

Final words

Many EV owners still prefer charging their vehicles at home, where slow chargers are more convenient. With this slow adoption and the lack of fast chargers, India’s ambitious move towards electric mobility faces a bit of a roadblock.

While it’s great to see more EV charging stations popping up across India, the country still has a long way to go.

MIRCH MASALA

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