Amber Enterprises stock surged in today's trade as the company reported impressive quarterly numbers. Zomato has raised Platform Fee to ₹10 Amid Festive Season, Reflects 400% Hike Since 2023. Bajaj Finserv Records 8% Rise in Q2 FY25 Net Profit and the stock could see re-rating. NSE Nifty was marginally lower during the final hour of trading. The market witnessed a decline in today's session but recovery was witnessed from lower levels. We can expect markets to see support from lower levels in the upcoming sessions as well. A move on the higher side is quite possible at the moment.

Bajaj Finserv Records 8% Rise in Q2 FY25 Net Profit, Driven by Broad Business Growth

Summary
Bajaj Finserv reported an 8% increase in net profit for the second quarter of FY25, amounting to ₹2,097 crore, compared to ₹1,929 crore in the same period last year. Revenue from operations surged by 30%, highlighting strong growth across its business segments, particularly in general insurance and finance. The company remains focused on balancing risk alongside this growth. Notably, Bajaj Finance contributed significantly to the company's performance with a 13% increase in profit after tax (PAT). Meanwhile, Bajaj Finserv's strategic partner Allianz SE may exit the joint venture in both life and general insurance sectors.

Net Profit and Revenue Surge
Bajaj Finserv's net profit for Q2 FY25 rose by 8% to ₹2,097 crore, as compared to ₹1,929 crore in the same quarter last year. Revenue from operations grew by 30%, reaching ₹33,704 crore, up from ₹26,023 crore year-on-year. This growth highlights robust performance across various segments, reinforcing Bajaj Finserv's position as a financial powerhouse.

Insurance Sector Performance
The general insurance arm of Bajaj Finserv recorded a profit after tax (PAT) of ₹494 crore, up by 6% from ₹468 crore YoY. This growth, though modest, is indicative of steady progress in the company's insurance business, where risk management and customer acquisition remain critical priorities.

Strong Performance by Bajaj Finance
Bajaj Finance, a key contributor to Bajaj Finserv, reported a 13% rise in PAT, reaching ₹4,000 crore. Customer acquisition and new loan bookings surged, with 3.98 million customers added, and 9.69 million new loans booked during the quarter.

Bajaj Housing Finance's Robust Growth
Bajaj Housing Finance Limited (BHFL) posted a 21% growth in profit after tax, underscoring the strength of its housing finance operations. This growth is a testament to the company's expanding portfolio in the real estate finance sector.

Potential Changes in Partnership with Allianz SE
Allianz SE, which holds a 26% stake in Bajaj Allianz General Insurance and Bajaj Allianz Life Insurance, is reportedly considering an exit from the joint venture. This potential departure may lead to strategic changes in Bajaj Finserv's insurance business moving forward.

Zomato Raises Platform Fee to ₹10 Amid Festive Season, Reflects 400% Hike Since 2023

Summary
Zomato has raised its platform fee to ₹10 as of October 23, marking a sharp 400% increase from ₹2 since its introduction in August 2023. The hike comes during the festive season and is positioned as a "festive season platform fee." Zomato has incrementally increased the fee over the past year to cover operational costs and improve profitability. Competitor Swiggy, however, continues to charge a lower ₹7 platform fee.

400% Platform Fee Increase
Zomato introduced the platform fee at ₹2 in August 2023, with gradual increases over the months. The current fee of ₹10, effective from October 23, reflects a 400% surge in just over a year. Zomato attributes this increase to maintaining services during the high-demand festive season.

Reason for Incremental Hikes
The company has justified the platform fee hikes as essential to covering operational costs and enhancing margins. From an initial hike to ₹3, then ₹4 by January 2024, Zomato even temporarily raised it to ₹9 in December 2023. These adjustments have allowed the company to navigate its journey toward profitability.

Competitive Landscape
Zomato's primary competitor, Swiggy, currently charges a ₹7 platform fee, making Zomato's recent increase stand out in the food delivery market. Whether this fee hike will impact customer preferences remains to be seen.

Godrej Properties Achieves 51% of FY25 Booking Guidance in H1, Strong Q2 Performance

Summary
Godrej Properties has achieved 51% of its FY25 booking guidance of ₹27,000 crore in the first half of the year, with a booking value of ₹13,835 crore by the end of the September quarter. Cash collections also reached a record high of ₹7,017 crore, representing 47% of the company’s full-year guidance. The real estate firm delivered 9.3 million square feet of property in H1, with 6.6 million square feet in Q2 alone. Net profit for the quarter jumped to ₹335 crore, up from ₹67 crore YoY, aided by a tax write-back.

Booking Value and Cash Collection Milestones
Godrej Properties recorded a booking value of ₹13,835 crore by the end of the September quarter, reaching 51% of its FY25 guidance. Cash collections, which stood at ₹7,017 crore, represent 47% of its annual target and mark the highest ever for the company during this period.

Surge in Profitability
The company reported a net profit of ₹335 crore, significantly higher than ₹67 crore in the same quarter last year. This rise was aided by a tax write-back of ₹169 crore. Additionally, Godrej Properties’ revenue grew to ₹1,093 crore from ₹343 crore YoY.

Real Estate Deliveries and Projections
In H1 FY25, the company delivered 9.3 million square feet, including 6.6 million square feet in Q2, reaching 62% of its full-year delivery target of 15 million square feet. Godrej Properties remains on track to meet its projections for FY25, including business development and cash collection milestones.

Amber Enterprises Shares Double in 2024 Following Strong Q2 Performance

Summary
Amber Enterprises has seen its stock double in value in 2024 after reporting a robust Q2 performance. Shares surged by 20% on October 23 following a strong earnings report for the September quarter, which showed an 82% YoY increase in revenue to ₹1,685 crore. The company's EBITDA margin also improved slightly to 6.7%, while net profit rebounded to ₹19.2 crore from a loss in the previous year. The company is optimistic about continued growth in the air conditioning sector.

Revenue Growth and Profitability Recovery
Amber Enterprises reported an 82% YoY increase in revenue for the September quarter, reaching ₹1,685 crore. This significant growth reflects the company's strong performance in the air conditioning (AC) sector, bolstered by a prolonged summer and reduced channel inventory. The company returned to profitability, posting a net profit of ₹19.2 crore, compared to a net loss of ₹6.9 crore in the same quarter last year.

Stock Surge in 2024
Amber Enterprises' stock has more than doubled in 2024, gaining 111% year-to-date, making it the company's best calendar year performance since its listing in 2018. The stock surged 20% on October 23 alone following its strong Q2 results, and has risen 31% in the last month.

Future Growth Projections
The management expects the AC industry to grow 3x to 3.5x over the next five years, with Amber Enterprises aiming for a 25% revenue increase for FY25. The company also projects its electronics division to achieve 45% revenue growth with margins between 7.5% and 8%.