Budget 2024: A pressing issue that may not wait till full budget

The fiscal deficit target of 5.3% will be set by the government in FY25, keeping in view the fiscal consolidation path till FY26, as it normalises capital spending and refrains from any major announcements in the interim budget before the general elections, Icra and Barclays economists have said. ICRA expects the fiscal deficit target for FY25 to be set at 5.3% of GDP, midway through the expected print of 6.0% for FY2024 and the medium-term target of sub-4.5% by FY26. India's Fast Moving Consumer Goods (FMCG) sector, which has 34% of its market in rural areas, is a good indicator of rural economic health. It is facing challenges in rural areas due to sluggish demand. The deficiency in rainfall in key agricultural states has disrupted the revival of rural demand seen in the first two quarters of the financial year. President of All India Consumer Products Distributors Federation, Dhairyashil Patil, has told TOI that FMCG sales in rural areas are 20-30% lower than usual. Demand for daily household products and groceries continued to be challenging in villages during October-December quarter, potentially hurting volume growth of the overall consumer goods sector. Godrej Consumer Products said demand trends in the fast-moving consumer sector during the third quarter were like the earlier quarter, while Marico said urban markets stayed steady but rural markets offered little cheer."High rural unemployment, along with demand for NREGS, reflects rural stress. El Nino derailed the initial green shoots seen at the start of FY24. Increased aggression of smaller players and alternative avenues of spending such as higher spends on education, medical, telecom charges, are leading to softer growth in the FMCG sector," Abneesh Roy, executive director at Nuvama Institutional Equities, has said. Consumer goods companies and analysts say demand for daily groceries and personal and home products in villages continued to trail urban growth in the December quarter but expect a steady recovery across markets on improving macro indicators, positive consumer sentiment and, importantly, increase in government spending in the election year.Another marker of rural distress is stiff demand for work under the Mahatma Gandhi National Rural Employment Guarantee Scheme. The budgetary outlay of Rs 60,000 crore for the shceme for fiscal 2024 was exhausted by November itself. The government subsequently provided Rs 10,000 crore in urgent assistance to meet demand.The FMCG companies have high hopes from election-year spending that will spur rural consumption. "During an election year, governments often extends benefits which are provided as part of various schemes, offer sops, helping rural households," said Akshay D'souza, chief of growth and insights at retail intelligence platform Bizom.    

Suspect allegedly involved in shooting of Spain Vox party co-founder is arrested in Colombia

Colombian police say they have arrested a Venezuelan suspected of involvement in the alleged attempted assassination in Madrid last year of a co-founder of Spain’s far-right Vox party. Greg Oliver Higuera Marcano was wanted in connection with last year’s shooting of Alejo Vidal-Quadras, a former leader of Spain’s main rightwing political party in Catalonia who went on to co-found Vox, and is a former vice-president of the European parliament. The 78-year-old survived being shot in the head in November last year. Colombian police said in a statement that according to Spanish investigations, the Venezuelan had allegedly “participated logistically in the attack on Vidal-Quadras”.Higuera was “detected” by immigration officials on Tuesday as he “intended to enter Colombia via the Simón Bolívar international bridge” on the border with Venezuela, police said.A “coordination process” was now under way for Higuera to be presented to a court in Spain, the police statement said.Vidal-Quadras was leader of the conservative PP party in the north-eastern Catalonia region in the 1990s. He went on to be an MEP and then was among the founders of Vox, which he left shortly after its creation.Vidal-Quadras has previously accused the Iranian regime of being behind the assassination attempt. In October 2022, Vidal-Quadras was included in an Iranian sanctions list in retaliation for EU sanctions imposed on the country after the death in custody of a 22-year-old Iranian-Kurdish woman, Mahsa Amini.A Paris-based Iranian opposition group, the Committee of the National Council of Resistance of Iran, has previously described Vidal-Quadras as a staunch ally and blamed the Iranian government for the attack.In November last year, Spain announced the arrest of three suspects in the “attempted terrorist assassination” of Vidal-Quadras.The suspected gunman, described by Spanish authorities as a Frenchman of Tunisian origins, has not been caught.    

Google to remove 17 underutilised features from Assistant: Here is the complete list

Google announced that it will remove 17 skills from Google Assistant starting January 26. In a recent blog post, the company said that these were some of the most underutilised features and that users would get a notification about skills that would not be available after a certain date. Here’s the full list of commands which will soon stop working on Google Assistant. The company is also making some changes to the Google app, with the microphone icon now triggering search results. While you can continue using the ‘Hey Google’ or ‘Ok Google’ keywords to trigger the digital assistant, the microphone icon in the Google app search bar will no longer be able to complete actions like turning off the light or sending messages. The change affects the microphone icon in the Pixel Search bar as well, which will now trigger voice search instead of Assistant. Google says that it is doing so to offer an improved user experience and that these skills weren’t used much in the first place. But this might also be a glimpse of what’s about to come. The company is also reportedly rebranding Google Assistant to ‘Assistant with Bard’, but a new report suggests it might rename the product to just ‘Bard.’ With Samsung rumoured to offer on-device generative AI features on the upcoming Galaxy S24 series and Microsoft Copilot directly competing with Bard, it looks like Google’s recent move may be a part of a bigger restructuring plan we might not know about. Ability to play and control audiobooks on Google Play Books.Settings or using media alarms, music alarms and radio alarms on Google Assistant-enabled devices.Managing cookbooks, transferring recipes from one device to another, playing instructional recipe videos and showing step-by-step recipes.Managing stopwatch on Smart Displays and Speakers.Using voice to call a device or broadcast messages on Family Group.Ability to send email, video or audio message using voice.Rescheduling events in Google Calendar with voice.Using the app launcher to read and send messages, make calls and control media in Google Assistant driving mode.Ability to schedule or hear previously scheduled Family Bell announcements.Asking Google Assistant to meditate with Calm.Control activities with voice on Fitbit Sense and Versa 3.Viewing sleep summary on Google Smart Displays.Calls made from Smart Displays and speakers will no longer show caller ID unless it’s made on Google Duo.Smart Displays will no longer show the ambient ‘Commute to Work’ time.Checking personal itineraries using voice.Using voice to perform actions like making payments, making reservations or posting to social media.Asking for information about contacts.  

Tiger Woods Net Worth and Businesses—PGA, Nike, Gatorade, and a Mini Golf Chain

Golf legend Tiger Woods may have parted ways with Nike after 27 years, but he has made millions from his career as a pro golfer and lucrative endorsement deals with other major brands including Gatorade, Rolex, and Monster Energy. Considered one of the best golfers of all time, Woods is one of the few billionaire athletes in the world—and is only the second active athlete who is a billionaire, behind NBA star LeBron James. Woods has a net worth of $1.1 billion as of January 2024, according to Forbes.1 Here's how Tiger Woods built his fortune. In his 27-year career as a professional golfer, Woods accumulated 106 worldwide wins and 15 majors. He has 82 PGA Tour wins, tied with golfer Sam Snead for the most PGA Tour wins in history.Throughout his career as a pro golfer, Woods has earned about $1.8 billion, according to an estimate by Forbes.1 Woods has also earned a record-setting $121 million in prize money from PGA tours.3 PGA Tour. "Career Earnings."However, Woods' impressive earnings from golf are not the only way he amassed his wealth—in fact, they account for less than 10% of his net worth, according to Forbes. The rest of his fortune comes from major endorsement deals and a series of business ventures.Woods' 27-year partnership with Nike certainly contributed to his massive fortune as the sporting company was his biggest backer. Woods' deal with Nike was said to be worth about $500 million throughout the life of the contract. That's not the only major partnership Woods had, though. The golfer had a lucrative tie-up with sports drink company, Gatorade, which paid him an estimated $100 million over several years. However, the company ended its partnership with Woods in 2010 after news of several extramarital affairs surfaced. AT&T and technology consulting company Accenture were also among the brands that ended their partnerships with Woods at the time. Woods partnered with energy drink company, Monster Energy, in 2016 and has continued his endorsement deal with them. The pro golfer has been seen playing out of a Monster-branded golf bag and has also represented the brand's other drink, Monster Hydro Super Sport since 2022.Several of Woods' businesses have to do with golf—he owns a golf course design firm, TGR Design, golf simulator tool Full Swing, as well as an indoor mini golf chain, Popstroke. Popstroke has nine locations across Florida, Arizona, and Texas and anticipates opening an additional 15 sites in 2024 and 2025.Woods is also a shareholder in global real estate development company Nexus Luxury Collection, along with singer Justin Timberlake. In October 2023, the company announced that Woods and Timberlake will be opening a sports and entertainment gastropub in St. Andrews, Scotland, through Nexus. The premium venue includes dining and lounge areas, and Woods' own Full Swing golf simulators.Woods is no stranger to real estate and has bought and sold multiple million-dollar properties. His home on Jupiter Island costs an estimated $54 million.     

Price cuts mar HUL’s Q3 show, posts flat revenue and profit growth

Consumer goods major Hindustan Unilever posted a flat 0.5% growth in net profit to ₹2,519 crore in the December quarter from ₹2,505 crore in the corresponding quarter last year. Its volumes grew at 2% year on year in the quarter ending December. Its sales growth was flat, registering a marginal decline of 0.3% to ₹14,928 crore due to price cuts taken by the company. “Looking forward we expect gradual recovery in market demand to continue aided by increased government spending, recovery in winter crop sowing and better crop realization. Rural income growths and winter crop yields are key factors that will determine the pace of recovery,” said Rohit Jawa, CEO and MD of HUL. The company also expects competitive intensity to stay due to benign commodity prices. Going ahead, the company expects price growth to be marginally negative if commodity prices remain where they are.“HUL remains well positioned to unlock this opportunity whilst navigating the short-term challenges,” Jawa added. Its earnings before interest tax depreciation and amortization (EBIDTA) expanded by 10 basis points year on year to 23.7% in Q3. The FMCG major gets three-fourths of its business from home care and BPC business. Both these businesses saw mid-single digit growth in volumes. The company’s sales were affected due pricing action. Its home care’s revenues fell by 1%, with the BPC segment posting no change. “Skin cleansing revenue declined due to the impact of price reductions taken to pass on the benefits of lower commodity costs to consumers. Market development actions in body wash continue to yield good results. While delayed winter impacted skin care performance in the quarter, premium non-winter portfolios continued to do well,” said HUL in its press release.Food and refreshment business however saw a low-to single digit fall in volumes, as this segmental revenues went up by 1%. The company said that tea further strengthened value and volume market leadership, with green tea and flavoured tea performing well“Coffee grew in double-digits driven by pricing. Health Food Drinks delivered competitive modest price-led growth driven by Plus range,” HUL said.During the quarter, it launched Knorr Korean K-Pot noodles; and Bru Gold in Vanilla, Caramel and Hazelnut flavours.  

Retail Retail’s net profit jumps 32% to ₹3,165 crore on festive fervour

Reliance Retail’s third quarter net profit grew 31.9% growth to ₹3,165 crore from ₹2,400 crore in the same quarter last year. Its revenue from operations also registered a 23.8% growth to ₹74,373 crore in the festive quarter, aided by aggressive store expansions. The Isha Ambani-led company added 252 stores during the quarter. On a YoY basis, its store count is higher by 1,549 to a total of 18,774 stores as of December 2023 end. “Reliance Retail has delivered strong performance during the festive quarter. Our business success is intricately woven into the larger fabric of India's economic growth, and together, we are shaping a compelling story of innovation and world class possibilities for the future,” said Isha M Ambani, executive director of Reliance Retail Ventures.Its footfalls grew by a robust 40.3%. Its digital and new commerce businesses now contribute to 19% of its revenue. “The retail segment has delivered an impressive financial performance with its rapidly expanding physical as well as digital footprint,” said Mukesh D Ambani, chairman and managing director, Reliance Industries.All its business segments exhibited double digit growth in the December quarter. Its mainstay grocery business grew by 41%. “Stores witnessed strong growth in non-food categories led by general merchandise & home and personal care. Catalogue expansion across home, cookware, furnishings and travel needs have enabled consumers in extending their shopping mission at Smart Bazaar as a one stop destination,” the company said.Its nascent consumer brands business also grew 3x aided by distribution reach. The company which re-launched Campa line of soft drinks said that its beverage, general merchandise and stapes are driving growth momentum of its own brands. It had also launched its staples business under the brand name Independence.It also launched new namkeens and sweets under Masti Oye! Brand, along with Deluxe assorted toffees under Toffeeman. The festival and wedding season also drove business in its fashion and lifestyle segments with good performance from its jewels business. “Tira is expanding its store network across top tier cities and has received strong customer traction. The business has delivered strong performance across various operating metrics including sales productivity, average bill value, repeats,” the company said.  

Sundar Pichai asks Google employees to brace for more job cuts

San Francisco, Google CEO Sundar Pichai has reportedly warned employees to brace themselves for more job cuts this year.Google, which has let go over a thousand employees across various departments in the last one week or so, is likely to go for more job cuts, reports The Verge, citing an internal memo."We have ambitious goals and will be investing in our big priorities this year," Pichai told employees in the memo."The reality is that to create the capacity for this investment, we have to make tough choices," he added. In the memo, Pichai said that latest "role eliminations are not at the scale of last year's reductions, and will not touch every team". "But I know it's very difficult to see colleagues and teams impacted," the Google CEO added.The layoffs this year are about "removing layers to simplify execution and drive velocity in some areas"."Many of these changes are already announced, though to be upfront, some teams will continue to make specific resource allocation decisions throughout the year where needed, and some roles may be impacted," Pichai further wrote.After laying off nearly 1,000 employees last week, Google is also reportedly slashing "a few hundred" more jobs in its advertising sales team as part of an ongoing restructuring exercise. Philipp Schindler, Google's chief business officer, told staff in a memo that the fresh job cuts "were the result of changes to how Google's sales team operated", Business Insider reported.A Google spokesperson also confirmed that "a few hundred roles globally are being eliminated" as part of the restructuring.In January last year, Google cut its workforce by 12,000 people, or around 6 per cent of its full-time employees.  

2024 will be a perilous year for the world economy as geopolitical tensions ramp up, top economists warn

The year 2024 will likely be a stormy one for the global economy as growth slows and geopolitical tensions ramp up around the world, according to a World Economic Forum survey. The foundation polled over 60 chief economists ahead of its annual meeting, which is taking place in the Swiss ski resort town of Davos this week. More than half the respondents said the world economy will get weaker this year, and 70% predicted looser financial conditions – implying that they believe central banks, including the US Federal Reserve, will start lowering interest rates at some point in 2024.  Over 80% of the economists surveyed by the WEF expect geopolitical tensions to drive up stock-market volatility and economic uncertainty, while around three-quarters of those polled said they're expecting artificial intelligence to boost innovation in advanced economies this year. "Amid accelerating divergence, the resilience of the global economy will continue to be tested in the year ahead," WEF managing director Saadia Zahidi said. "Though global inflation is easing, growth is stalling, financial conditions remain tight, global tensions are deepening and inequalities are rising." Wall Street executives have been fretting about heightened geopolitical volatility since war broke out in the Middle East in October, although those worries didn't stop stocks from charging higher over the final two months of 2023. Despite their gloomy outlooks, the Chicago Board Options Exchange's VIX index – a widely-followed Wall Street "fear gauge" – is trading close to its lowest level since before the pandemic, suggesting that traders aren't so worried.  

India emerges strong amid global economic challenges, feels Citis Tyler Dickson

Tyler Dickson, head of investment banking at Citi feels that India stands out as a shining star in Asia in the midst of global macroeconomic challenges, The Economic Times reported. Dickson expressed bullish sentiments about India's mergers and acquisition (M&A) segment and equity market activities, during an interview with the paper.Questioned about his thoughts on how well India has fared amid the global macroeconomic challenges compared to other emerging markets in Asia, Dickson noted that the country is currently the fifth-largest economy globally and is poised to climb to the third position. The enthusiasm of Indian business leaders, coupled with the 'China plus one' strategy, makes India an attractive market for global investors, he said. Citi sees it as one of the best opportunities for both Indian and international clients, it reported. On the environment regarding M&As and tighter global liquidity conditions, Dickson felt that India's M&A market remains robust at around $85 billion despite global challenges. While the debt capital markets (DCM) face challenges due to fluctuating rates, Citi maintains a positive long-term perspective on the M&A landscape in India, he added. In terms of deal activity he feels that higher interest rates globally indicate slower economic growth and necessitate adjustments in deal activity. He however noted that stability in the cost of capital is crucial, and that as the market recalibrates, confidence will increase. The focus on quality in earnings, cash flow, and growth becomes more significant in a higher interest rate environment, he added. Further, Dickson also expressed a long-term bullish outlook on technology, considering it a fundamental driver of growth, the report said. While acknowledging the challenges faced during the "technology winter," Citi is cautiously optimistic about increased activity levels for technology companies in M&A, ECM, and DCM in 2024, he added. Acknowledging that there is a "financing wall in the 2025-2026 era", characterized by the need to refinance debt at higher costs, Dickson said Citi emphasises that this debt is not super expensive. The bank sees an opportunity for the global market to adjust to this reality, considering historical periods with more expensive debt, it said.  

Fitch expects RBI to cut interest rates by 75 basis points in FY25

Mumbai, Federal Bank on Tuesday reported 23 per cent increase in consolidated net profit at Rs 1,035.42 crore for December quarter 2023-24, helped by a sharp decline in provisions and also surge in non-interest income. On a standalone basis, the private sector lender's net profit in the quarter increased 25 per cent to Rs 1,007 crore, its highest ever. The growth in the core NII was constrained because of narrowing of net interest margin at 3.19 per cent from the 3.55 per cent in the year-ago period, and the 18 per cent asset growth provided a limited succour. Chief executive and managing director Shyam Srinivasan said the bank has posted 19 per cent growth in deposits by giving higher rates, but was quick to add that the deposit growth is from individual clients which will yield dividends over a period of time. He admitted that the bank has not been able to deliver on its guidance of expanding NIMs in the second half of FY24 due to the challenging external environment where funds are coming at a higher cost, and added that it will look at maintaining NIM at the 3.20 per cent level in the near term. The net advances at the end of the December quarter stood at Rs 199,185 crore, 18% year-on-year (YoY) growth over Rs 168,173 crore in Q3FY23. In the previous quarter, the bank had reported net advances at Rs 192,817 crore.The retail book was up by 24% YoY in Q3Y24, while the business banking book registered an 18% YoY growth. The bank also reported a 23% YoY growth in gold loans.The deposits in the said quarter stood at Rs 239,591 crore and were up 19% versus Rs 201,408 crore in Q3FY23. On a quarter-on-quarter (QoQ) basis, the uptick was 3% against Rs 232,868 crore in Q2FY24.The bank reported a slight uptick in its gross non-performing assets (NPAs) in Q3FY24 at Rs 2.29% on a sequential basis against 2.26% in Q2FY24. However, GNPA was down YoY from 2.43% in Q3FY23. The net NPA was flat on a QoQ basis at 0.64% in Q3FY23. In the year-ago period, the lender had reported NNPA at 0.73%.The PCR improved by 189 bps YoY and 5 bps QoQ, while the collection efficiency ensured recoveries upgradations of Rs 290 crore, the company filing said. The PCR remains elevated at 11-quarter high.The returns on assets for Q3FY24 stood at 1.39% versus 1.36% in Q2FY24 and 1.33% in Q3FY23. The net interest margins (NIMs) were reported at 3.19%, down from 3.22% in Q2FY24 and 3.55% in Q3FY23.The bank reported its October-December quarter earnings during market hours and the share fell 0.55% to the day's low of Rs 152.10.Federal Bank posted strong growth in the branch network, adding 65 new branches in FY24.    

Federal Bank Q3 consolidated profit jumps 23% to Rs 1,035 cr

Mumbai, Federal Bank on Tuesday reported 23 per cent increase in consolidated net profit at Rs 1,035.42 crore for December quarter 2023-24, helped by a sharp decline in provisions and also surge in non-interest income. On a standalone basis, the private sector lender's net profit in the quarter increased 25 per cent to Rs 1,007 crore, its highest ever. The growth in the core NII was constrained because of narrowing of net interest margin at 3.19 per cent from the 3.55 per cent in the year-ago period, and the 18 per cent asset growth provided a limited succour. Chief executive and managing director Shyam Srinivasan said the bank has posted 19 per cent growth in deposits by giving higher rates, but was quick to add that the deposit growth is from individual clients which will yield dividends over a period of time. He admitted that the bank has not been able to deliver on its guidance of expanding NIMs in the second half of FY24 due to the challenging external environment where funds are coming at a higher cost, and added that it will look at maintaining NIM at the 3.20 per cent level in the near term.The net advances at the end of the December quarter stood at Rs 199,185 crore, 18% year-on-year (YoY) growth over Rs 168,173 crore in Q3FY23. In the previous quarter, the bank had reported net advances at Rs 192,817 crore. The retail book was up by 24% YoY in Q3Y24, while the business banking book registered an 18% YoY growth. The bank also reported a 23% YoY growth in gold loans.The deposits in the said quarter stood at Rs 239,591 crore and were up 19% versus Rs 201,408 crore in Q3FY23. On a quarter-on-quarter (QoQ) basis, the uptick was 3% against Rs 232,868 crore in Q2FY24.The bank reported a slight uptick in its gross non-performing assets (NPAs) in Q3FY24 at Rs 2.29% on a sequential basis against 2.26% in Q2FY24. However, GNPA was down YoY from 2.43% in Q3FY23. The net NPA was flat on a QoQ basis at 0.64% in Q3FY23. In the year-ago period, the lender had reported NNPA at 0.73%.The PCR improved by 189 bps YoY and 5 bps QoQ, while the collection efficiency ensured recoveries upgradations of Rs 290 crore, the company filing said. The PCR remains elevated at 11-quarter high.The returns on assets for Q3FY24 stood at 1.39% versus 1.36% in Q2FY24 and 1.33% in Q3FY23. The net interest margins (NIMs) were reported at 3.19%, down from 3.22% in Q2FY24 and 3.55% in Q3FY23.The bank reported its October-December quarter earnings during market hours and the share fell 0.55% to the day's low of Rs 152.10.Federal Bank posted strong growth in the branch network, adding 65 new branches in FY24.    

RE Shotgun 650 vs Kawasaki Eliminator – new twin engines but which one suits your pocket and need

Indian bike maker Royal Enfield has launched its latest bike, the Shotgun 650, the fourth bike in the company’s 650cc series in India. The Shotgun 650 is inspired by the company’s Super Meteor 650, with some design changes that give it a distinct look. While the Shotgun 650 has no direct rivals, it takes on the Kawasaki Eliminator as both are new twin-engine bikes. While the Eliminator is priced significantly higher than the Shotgun 650, it is one of the closest rivals to the new offering from Royal Enfield. The Kawasaki Eliminator is powered by a 451cc liquid-cooled engine compared to the 648cc air-cooled engine on the Shotgun 650cc. In terms of design, the Royal Enfield Shotgun 650 is inspired by the Royal Enfield Super Meteor 650 and is based on the same platform. However, the Shotgun 650 comes with a bobber design. It comes with a rugged design and features a round headlamp and rear-view mirrors. It comes with a single-piece seat and minimal body panels. It features blacked out engine parts that give it a retro look. It features a large 13.8-litre fuel tank and comes with an 18-inch front-wheel and a 17-inch rear wheel.Kawasaki Eliminator Price starts at Rs. 5.62 Lakh which is Rs. 2.02 Lakh costlier than base model of Royal Enfield Shotgun 650 priced at Rs. 3.59 Lakh. In technical specifications, Kawasaki Eliminator is powered by 451 cc engine , while Royal Enfield Shotgun 650 is powered by 648 cc engine. Kawasaki Eliminator is available in 1 different colours while Royal Enfield Shotgun 650 comes with 4 colours. The Comparison Kawasaki Eliminator vs Royal Enfield Shotgun 650 can be described on the basis of price and specifications.BikeWale brings you comparison of Kawasaki Eliminator and Royal Enfield Shotgun 650. The ex-showroom price of Kawasaki Eliminator is ₹ 5,62,000 and Royal Enfield Shotgun 650 is ₹ 3,59,430. Kawasaki Eliminator is available in 1 colour and 1 variant and Royal Enfield Shotgun 650 is available in 1 colour and 3 variants. Apart from prices, you can also find comparison of these bikes based on displacement, mileage, performance, and many more parameters. Comparison between these bikes have been carried out to help users make correct buying decision between Kawasaki Eliminator and Royal Enfield Shotgun 650.