Narayana Hrudayalaya Ltd. (also known as Narayana Health) is one of India’s leading healthcare providers, headquartered in Bengaluru, Karnataka. Founded in 2000 by renowned cardiac surgeon Dr. Devi Prasad Shetty, the company has grown into a comprehensive healthcare network with a strong focus on affordable and accessible care. Narayana Health specializes in high-quality tertiary and quaternary care across a range of specialties, particularly in cardiology and oncology. Narayana Health operates over 20 hospitals and 7 heart center across India, with a strong presence in both urban and semi-urban areas. The company also has an international hospital in the Cayman Islands.
Industry Outlook
The Indian healthcare industry was valued at approximately $280 billion in 2022 and is projected to reach $532 billion by 2028, growing at a CAGR of around 10-12%. The government’s PLI scheme for the pharmaceutical and medical device industries aims to boost local production and reduce dependence on imports, potentially lowering healthcare costs in the long term. India faces a shortage of hospital beds, with about 1.3 beds per 1,000 people, below the WHO recommendation of 5. While there is progress, addressing this gap, especially in rural areas, remains a priority. About 70% of India’s population lives in rural areas but has limited access to healthcare. Expanding healthcare facilities in these areas and increasing the availability of affordable care are crucial for balanced sector growth.
Business Mix
Owned Hospitals: Its where company owns the hospitals and operates the patients and handle their works. It contributed ₹817 crore in Q2 FY25 revenue of the company.
Operated Hospitals: It has a portfolio of hospitals where it does not own them but operates in it. It has contributed about ₹315 crore in this quarter.
Heart Centers: The Company has its own Heart center in India, where it treats the patients with their extraordinary skills. It has contributed ₹17.5 crore for Q2 FY25.
Other Ancillary Business: It provides equipments to other hospitals for surgery or other operations to perform. It earned a revenue of ₹17 crore this quarter.
Specialty Profile: It includes the treatment and facilities of Cardiac Science, Oncology, Neuro Sciences, Medicines and GI sciences, renal sciences, Orthopedics and others, in their hospitals.
Quarterly Highlights
Revenue of ₹1167.7 crore in Q2 FY25 up by 10.9% YoY from ₹1052.7 crore in Q2 FY24.
EBITDA of ₹308 crore in this quarter at a margin of 22% compared to 24% in Q2 FY24.
Profit of ₹199 crore in this quarter compared to a ₹227 crore in Q2 FY24.
Domestic revenue is ₹1081.6 crore up by 13.5% YoY & International revenue is ₹76.2 crore down by 19.2% YoY.
Business Highlights
The patient footfalls including day care business is 710,000 in Q2 and the Average revenue per Patient is ₹135,000.
Narayana Health has total 40 facilities & 5789 operational beds, from which 2 facilities and 128 beds for Heart centers.
The capex of ₹534 crore is expected for FY25. The capex is used for Facility Improvement, medical equipment purchase and new investment in Land, hospital constructions and clinics, etc.
Financial Summary and Key Ratios
SWOT Analysis:
Strengths
Affordable Healthcare Model – Known for providing cost-effective healthcare solutions.
Extensive Network – A broad reach that enhances accessibility for patients.
Specialized Expertise – Strong focus on specialized medical services and treatments.
Reputable Brand – Trusted brand with a strong reputation in the healthcare industry.
Weaknesses
Geographical Limitations – Presence concentrated in specific regions, limiting reach.
Low Profit Margins – Cost-focused model results in slimmer profit margins.
High Operational Expenses – Substantial running costs impact overall profitability.
Opportunities
Expansion into Tier 2 & 3 Cities – Opportunity to grow in emerging urban areas with increasing healthcare needs.
Rising Demand for Healthcare – Growing population and healthcare awareness drive demand.
International Growth – Potential to expand services globally and tap new markets.
Focus on Wellness Services – Increasing interest in wellness services opens new revenue channels.
Threats
High Competition – Competing with numerous healthcare providers for market share.
Vardhman Textiles Ltd. is one of India’s largest textile manufacturers, recognized for its integrated operations in yarn, fabric, and garment production. Established in 1965 and headquartered in Ludhiana, Punjab, Vardhman has grown into a vertically integrated textile conglomerate with a diverse product range. The company caters to both domestic and international markets, supplying a variety of textile products to some of the world’s leading brands. The clientele lists are GAP, H&M, Walmart, Calvin Klein, Tommy Hilfiger, etc. It is presented in 57 countries.
Industry Outlook
The global textile market was valued at approximately $1 trillion in 2022 and is projected to grow at a CAGR of around 4.4%, reaching $1.35 trillion by 2027. Valued at around $150 billion in 2022, the Indian textile and apparel market is expected to reach $250 billion by 2025 at a CAGR of 10%. Increasing disposable incomes, e-commerce expansion, and demand from emerging markets drive this growth. Rising demand for apparel, home textiles, and technical textiles are also key contributors. Many global brands are shifting sourcing away from China to South Asian countries. India, Bangladesh, and Vietnam are key beneficiaries, with India’s textile exports to the US and EU increasing by over 15% annually. Challenges such as raw material price volatility and energy costs remain, necessitating efficient resource management and technology adoption for sustained growth.
Segment Information
Yarn: Yarn segment includes ranges of specialised greige, dyed and recycled sustainable yarns in various materials like cotton, polyester, acrylic, viscose, and specialized fibres, along with blends. This diverse portfolio allows us to cater to a wide array of customer requirements. In this quarter Yarn segment earned revenue of ₹2454 crore. It sold about 68,461 metric tons of Yarn this quarter.
Fabrics: We specialize in manufacturing fabrics suitable for tops, bottoms and outerwear across kids, men and women categories. Our capabilities extend to piece-dyed, yarn-dyed and printed fabrics, catering to both casual and formal wear. Our facilities feature a mix of advanced European and Japanese machinery and technologies, enabling us to handle a vast range of products from 60 GSM to 400 GSM.
Garments: Vardhman Apparels outlook has always been to satisfy our customers with high quality shirts with our state of the art infrastructure and equipments accompanied by our innovative product that we offer our customers as a futuristic approach. To produce world class garments both for the international and domestic brands, offering wide range of products in all blends. It had earned revenue of ₹112 crore in FY24.
Quarterly Highlights
Revenue of ₹2502 crore in Q2 FY25 up by 4.38% YoY from ₹2397 crore in Q2 FY24.
EBITDA of ₹315 crore in this quarter at a moderate margin of 13% compared to 9% in Q2 FY24.
Profit of ₹197 crore in this quarter compared to ₹136 crore in Q2 FY24.
Business Highlights
Bangladesh is the second largest exporter player for India and even though there were issues with Bangladesh, the company’s sales or exports were not affected much and financials were remained at same levels.
Cotton prices are at lower side of $0.6, and the company has exhausted its inventory so it has started buying cotton from market in Q1 and start of Q2 FY25 at lower prices.
The EBITDA and profitability margins are in downward trend for many years and it is a negative signs as the company’s clients are reliable and strong, the sales are growing but the profits are remaining same.
Financial Summary and Ket Ratios
SWOT Analysis of Vardhaman Textiles
Strengths:
Strong market position in the textile industry.
Wide range of products.
Focus on sustainability and eco-friendly practices.
Sterlite Technologies Limited (STL) is a global leader in end-to-end data network solutions. The company designs and deploys high-capacity fiber cables and wireless networks, collaborating with telecom companies, cloud providers, citizen networks, and enterprises to build and manage cloud-native networks. Founded in 2000 after a demerger from Sterlite Industries, STL has expanded its manufacturing presence across Aurangabad, Pune, Silvassa, and Haridwar. Since its inception, STL has advanced through innovation and strategic acquisitions. In the early 2000s, it significantly increased fiber optic and copper cable capacities and launched several broadband and network access products. STL was recognized as one of India’s fastest-growing technology companies. The company’s global reach expanded through acquisitions, including stakes in Sterlite Infrastructure, Jiangsu Sterlite Tongguang Fiber (China), and Sterlite Conduspar (Brazil). In 2015, it acquired the power transmission business and later demerged it as Sterlite Power Transmission Ltd. in 2016. From 2018 to 2023, STL acquired Metallurgica Bresciana (Italy), IDS Group (UK), and Optotec S.p.A. (Italy), bolstering its role in data networks and optical products. In 2022, STL streamlined its portfolio by divesting assets like IDS Group and telecom software business. The launch of Fiber-to-the-Room (FTTR) services in 2023 reinforces its commitment to delivering high-speed data infrastructure solutions globally.
Industry Outlook
The fiber optics and data network solutions sector is set for robust growth in FY25, driven by the rising global demand for high-speed connectivity, propelled by 5G, AI, IoT, and expanding data centers. Sterlite Technologies Limited (STL) has a promising outlook with multiple key growth drivers across its core markets and product lines. STL anticipates sustained demand for fiber as global clients continue to expand network infrastructure. Analysts project a solid 7% demand growth (excluding China) in the coming years, with North America and India expected to see accelerated growth. With the rapid rise of AI and data centers, STL is well-positioned to benefit from increased fiber requirements. Modern, GPU-dense data centers need up to 36 times more fiber than traditional CPU-based centers. STL’s focus on compact, high-density optical fiber solutions provides 70% more fiber per unit than standard installations, targeting this specific need. The company aims to capture a share of the $5.7 billion investment anticipated in the data center market. At IMC 2024, STL launched its AI-DC portfolio, supporting the “Make in India” initiative and addressing the increasing demand for advanced data center infrastructure. STL is targeting 25% of its revenue from data center and enterprise products in the medium term, aligning with its strategy to leverage the AI and data revolution. Additionally, a growing emphasis on sustainable, energy-efficient infrastructure, in line with ESG standards, is shaping the sector. Increased investments in digital infrastructure and advanced network solutions are expected to propel growth, benefiting companies like STL.
Business Segments
Sterlite Technologies Limited (STL) operates across several core business segments, focusing on comprehensive data network and digital infrastructure solutions.
Optical Fiber and Cable Solutions: STL is a leading provider of high-capacity optical fiber cables and solutions, essential for telecom and network infrastructure. This segment includes high-density, compact fiber cables, which cater to growing data demands, particularly in 5G networks and data centers.
Network Services: STL offers network design, deployment, and maintenance services for telecom operators, cloud companies, and large enterprises. This segment focuses on building and managing end-to-end network infrastructure, including wireless networks, fiber-to-the-home (FTTH), and other network expansions.
Data Center Solutions: This segment includes STL’s newly launched AI-DC (Artificial Intelligence-Data Center) portfolio, which supports the increasing data needs of modern, GPU-dense data centers. STL provides high-density fiber solutions specifically designed for data centers, aiming to capture a significant share of the growing data center market.
Enterprise Network Solutions: STL serves various enterprises by providing tailored digital network solutions, including cloud-native, software-defined networks, which help optimize network performance and scalability for corporate clients.
Digital and System Integration: STL’s digital and integration services support clients in deploying and managing advanced network solutions, integrating software-defined networking (SDN), network function virtualization (NFV), and cloud infrastructure.
Sustainability and ESG-Focused Solutions: STL incorporates energy-efficient, sustainable infrastructure solutions across its offerings, aligning with Environmental, Social, and Governance (ESG) standards.
Key Subsidiaries and Their Information
Sterlite Technologies Limited (STL) has a global footprint with several key subsidiaries that support its operations in network solutions, digital transformation, and manufacturing across various regions. Here are some of its prominent subsidiaries and their functions:
Sterlite Tech Cables Solutions Limited – A core subsidiary focused on manufacturing advanced fiber-optic and cable solutions, catering to STL’s global network deployment needs.
STL Digital Limited – Engages in digital solutions and services, playing a critical role in STL’s diversification into digital transformation and enterprise services.
Sterlite (Shanghai) Trading Company Limited – Supports STL’s operations and sales within China, a significant market for optical fiber and telecom solutions.
Sterlite Tech Holding Inc. (USA) – This U.S.-based subsidiary enables STL to expand in North American markets, providing optical and digital solutions to local clients.
Metallurgica Bresciana S.p.A. – An Italian subsidiary specializing in high-end optical and metal cables, acquired to bolster STL’s manufacturing capabilities and expand in Europe.
STL Optical Interconnect S.p.A. – Based in Italy, this subsidiary focuses on optical interconnect products essential for data centers and high-speed networks, enhancing STL’s position in advanced optical solutions.
Sterlite Technologies DMCC (Dubai) – Supports the Middle Eastern and African markets, aligning with STL’s global expansion strategy for network and digital solutions.
Clearcomm Group Ltd (UK) – Acquired to strengthen STL’s services portfolio in the UK, focusing on network deployment and management services for European clients.
Jiangsu Sterlite Fiber Technology Co. Ltd. (China) – A joint venture that manufactures optical fiber solutions, providing STL with a competitive edge in the Asian market.
These subsidiaries are pivotal in driving STL’s growth strategy, enhancing its capabilities in manufacturing, digital services, and global market outreach.
Q2 FY25 Highlights
In Q2 FY25, Sterlite Technologies Limited (STL) reported a revenue of INR 1,413 crore. While optical fiber cable (OFC) volumes decreased on a year-on-year basis, there was an improvement in both volumes and revenues when compared quarter-on-quarter. This reflects a positive trend despite the annual decline in volumes.
EBITDA margin of 10.7%. This decline in margins was attributed to lower optical fiber cable (OFC) volumes on a year-on-year basis. However, there was a positive shift, with improved margins observed when comparing quarter-on-quarter performance. This indicates a recovery in operational efficiency despite the annual volume challenges.
Company reported PAT (Profit After Tax) loss of INR 13 crore, showing improvement as losses reduced on a quarter-over-quarter basis. This indicates the company is making progress, likely through cost optimizations or revenue improvements, signaling a move towards profitability.
As of H1 FY25, the company’s Net Debt stands at INR 2,169 crore, with a Debt-to-Equity ratio of 0.74. This ratio reflects the company’s current leverage and financial stability at the mid-year mark.
Sterlite Technologies Limited (STL) has secured large orders from a leading American customer and a major UK telecom operator for optical connectivity and fiber solutions. Additionally, the company is working with an Indian private telecom player to enable Fixed Wireless Access (FWA) deployment, alongside securing long-term contracts for fiber cable supply from another large Indian telecom provider. STL has also achieved significant deals in Italy for optical fiber cables and specialty cable products.
Financial Summary
INR in Cr.
Q2FY25
Q1FY25
Q2FY24
Q-o-Q(%)
Y-o-Y(%)
Revenue*
1,413
1,218
1,494
16.01%
-5.42%
EBITDA*
151
93
216
62.37%
-30.09%
EBITDA %
0
0
0
38.96%
-25.69%
Depreciation
83
82
85
1.22%
-2.35%
EBIT*
68
11
131
518.18%
-48.09%
Finance Costs
84
71
95
18.31%
-11.58%
Exceptional Items
–
–
–
PBT*(Before share of Associates and JV)
-16
-60
36
73.33%
-144.44%
Tax
-3
-13
12
76.92%
-125.00%
Net Profit* (After minority Interest & share of JV)
-13
-47
28
72.34%
-146.43%
Profit (loss) from discontinued operations
-1
-1
6
0.00%
-116.67%
Net Profit
-14
-48
34
70.83%
-141.18%
Diluted Normalized EPS
-0.26
-0.97
0.71
73.18%
-136.71%
SWOT Analysis of Sterlite Technologies
Strengths:
Global presence and integrated business model
Strong focus on innovation and R&D
Robust order book
Weaknesses:
Heavy reliance on telecom sector
Profitability pressures and high debt
Limited vertical integration in some areas
Opportunities:
Growth from 5G rollout and government digital initiatives
Rising demand for data centers and new tech diversification
Welspun Enterprises Ltd, originally known as MSK Projects (India) Ltd, is an Indian company specializing in civil construction contracts and infrastructure projects. Founded on December 20, 1994, the company initially operated as a partnership under the name M.S. Khurana since 1976, before being rebranded as MSK Projects (India) Ltd in 1995. The company later went public in 2004 with an IPO, listing its shares on the BSE, NSE, and VSE. In 2010, it was renamed Welspun Projects Ltd and eventually became Welspun Enterprises Ltd. Welspun Enterprises engages in a broad range of civil construction projects, such as residential townships, multi-story buildings, industrial plants, and infrastructure development. The company has executed large-scale industrial projects for sectors like petrochemicals, fertilizers, pharmaceuticals, and mining, primarily through Build-Operate-Transfer (BOT) models. It has also expanded into water distribution and surface transport projects, with a significant water supply project underway in Dewas, Madhya Pradesh. Welspun Enterprises has formed strategic subsidiaries, including MSK Projects (Himatnagar Bypass) Pvt Ltd, Super Infrastructure & Toll Bridge Pvt Ltd, and MSK Projects (Kim Mandvi Corridor) Pvt Ltd, for infrastructure and toll projects. The company has secured notable contracts with Bharat Oman Refineries Ltd and Indian Oil Corporation for extensive civil and structural work across various pipeline and refinery projects. In 2010, the company also diversified into the energy sector, marking a significant expansion into renewable energy by securing large-scale solar projects and establishing manufacturing facilities, including a 350,000 MTPA LSAW plant in Anjar, India, and an ERW plant in the United States. Welspun Enterprises is widely recognized for its work on the Delhi-Meerut Expressway project, underscoring its leadership in major infrastructure initiatives across India.
Industry Outlook
The Indian infrastructure sector is on a solid growth trajectory for FY25 and beyond, fueled by extensive government initiatives, increased private sector investments, and the demands of urbanization. Programs like PM Gati Shakti are catalyzing sector growth with ambitious projects, including the construction of 2 lakh km of national highways by 2025, along with expressways and urban infrastructure enhancements. The sector is anticipated to grow at a CAGR of 8-10% over the next five years, with highways projected to expand at over 10% annually. This growth extends to airports, ports, and railways, with high-impact projects such as the Delhi-Mumbai expressway and 12 new greenfield airports underway, boosting logistics efficiency and economic progress. In line with this growth, Welspun Enterprises Ltd. (WEL) is advancing its “Growth & Green” strategy through the DGT Project, which focuses on the collection, treatment, and repurposing of wastewater from Dharavi for reuse—an initiative underscoring sustainability and water reuse. WEL’s board recently approved an additional 9.99% stake in Welspun Michigan (WMEL), bringing ownership to over 60%. This acquisition supports a collaboration with Smart-Ops Water UK to introduce SABRE technology—a cutting-edge wastewater treatment process aimed at addressing untreated sewage in India. With a consolidated order book of ₹15,200 crores and a rich pipeline of projects, Welspun Enterprises is positioned to drive execution and create long-term value across its verticals, capitalizing on the expanding infrastructure opportunities in India.
Business Segments
Welspun Enterprises Ltd operates primarily through two key business segments, contributing significantly to its overall portfolio.
Infrastructure: This segment focuses on the engineering, procurement, and construction (EPC) of infrastructure projects, particularly in roads, water supply, and urban development. The company engages in both Build-Operate-Transfer (BOT) and traditional EPC contracts. Some notable projects include the construction of major highways, rural water supply projects under the Jal Jeevan Mission, and various urban infrastructure initiatives. The infrastructure segment has seen robust growth, with sales reaching on TTM basis approx. to ₹32.27 billion in Q2FY25. This segmentation has further diversifications such as water treatment, tunnelling, road constructions, etc.
Oil and Gas: In addition to infrastructure, Welspun Enterprises is involved in oil and gas exploration activities. This includes participation in the upstream oil and gas sector through a joint venture with Adani, focusing on a gas-based economy. The company also undertakes water transmission and distribution, alongside water and wastewater treatment services.
The strategic focus of Welspun Enterprises on sustainable infrastructure development positions it well within India’s growing market, especially with government initiatives aimed at enhancing infrastructure across the nation. The company is actively participating in projects that address critical areas such as water management and urban development, which are pivotal for future growth.
Key Subsidiaries and Their Information
Welspun Enterprises has several key subsidiaries that enhance its infrastructure portfolio. It also operates through various Associates and Joint Ventures.
Welspun Projects (Himmatnagar Bypass) Private Limited focuses on road infrastructure development, specifically the construction and management of bypasses to improve traffic flow.
Welspun Projects (Kim Mandvi Corridor) Private Limited is dedicated to developing vital highway corridors that enhance regional logistics.
Dewas Water projects Works Private Limited specializes in sustainable water supply infrastructure for urban areas, while
Welspun Buildtech Private Limited is involved in the construction of residential and commercial buildings.
Additionally, ARSS Bus Terminal Private Limited focuses on transportation infrastructure by developing bus terminals to improve public transport services.
Grenoble Infrastructure Private Limited supports a wide range of urban and rural development projects.
DME Infra Private Limited works on diverse infrastructure projects across various sectors.
Welspun Sattanathapuram Nagapattinam Road Private Limited handles critical roadway construction and maintenance.
Welspun Aunta-Simaria Project Private Limited is engaged in project management, ensuring timely completion and quality oversight of construction projects.
Welsteel Enterprises Private Limited supplies steel products and services for construction needs.
Welspun – Kaveri Infraprojects JV collaborates on large-scale infrastructure initiatives.
Welspun EDAC JV Private Limited is involved in significant joint venture infrastructure projects, combining expertise from partners.
Welspun Michigan Engineers Limited provides engineering services and contributes to various construction projects, solidifying Welspun Enterprises’ capability to address multiple segments of the infrastructure market.
Q2 FY25 Highlights
Revenue from operations surged by 22.1%, reaching ₹788.5 crore, compared to ₹645.7 crore in the same quarter last year. Total income increased to ₹837.92 crore from ₹692.65 crore year-over-year, while expenses rose to ₹736.33 crore from ₹595.61 crore. Highest-ever H1 Income of ₹ 1,798 Crores achieved in period ending September 2024.
The company’s EBITDA grew by 21.7%, totaling ₹100.5 crore, up from ₹82.6 crore in the previous year. However, the EBITDA margin slightly decreased to 12.7%, down from 12.8% year-on-year.
Consolidated net profit for the September quarter of FY25 fell by approximately 11% to ₹61.56 crore, primarily due to higher expenses. Abhishek Chaudhary has been appointed as the new Chief Executive Officer (CEO), effective November 4, 2024.
The consolidated order book of the company stood at ₹15,200 crore at the end of September 2024.
The board approved the acquisition of an additional 9.99% stake in Welspun Michigan from Patel Engineering for around ₹100 crore.
Welspun Enterprises secured a significant design and build contract worth ₹1,989 crore from the Brihanmumbai Municipal Corporation (BMC). This contract involves designing and constructing a tertiary treated water conveyance tunnel from the Dharavi Wastewater Treatment Facility to the Ghatkopar WWTF.
Financial Summary
SWOT Analysis
Strengths:
Diverse portfolio of projects.
Strong financial backing.
Proven expertise in infrastructure development.
Robust order book with ongoing contracts.
Weaknesses:
High capital expenditure leading to increased debt.
Dependence on government contracts for revenue.
Limited international presence.
Risk of project delays.
Opportunities:
Growing infrastructure sector in India.
Potential for public-private partnerships (PPP).
Expansion into renewable energy projects.
Adoption of technological advancements in project execution.
Threats:
Intense competition in the infrastructure space.
Challenges related to regulatory and environmental compliance.
Vedant Fashions Ltd. is one of India’s leading ethnic wear companies, best known for its flagship brand Manyavar, catering to wedding and celebration wear for men, women, and children. Founded in 2002 and headquartered in Kolkata, Vedant Fashions has grown into a prominent player in India’s organized ethnic wear market, capitalizing on the strong cultural affinity for traditional clothing. The company has a widespread retail network with over 500 exclusive brand outlets across 200+ cities in India. Additionally, Vedant Fashions has expanded internationally, with stores in the USA, UAE, and Canada.
Industry Outlook
The Indian ethnic fashion industry is poised for steady growth, driven by increasing disposable incomes, cultural trends, and a growing preference for branded and organized ethnic wear. The Indian ethnic wear market is expected to grow at a CAGR of around 10% over the next five years, driven by demand for wedding and festival attire. By 2025, the market is projected to reach approximately $20 billion, fuelled by a mix of traditional festivals, weddings, and family celebrations. Additionally, there is rising interest in region-specific attire, which showcases local craftsmanship and heritage.
Segment Information
Men’s Ethnic Wear: In this segment brands like Manyavar and Twamev are involved to cater a men’s wear segment.
Women’s Ethnic Wear: For women wear, in this portfolio Mohey brand makes exclusive for wedding and festive wear for women.
Affordable Wear: To cater for young generations and customers with low price capacity this segment includes Manthan in its portfolio.
Regional & Multi-Cultural Wear: To provide for cultural preference this segment includes Mebaz in its portfolio collections.
Brands
Manyavar: Manyavar is their flagship brand contributing major in the revenue of Vedant Fashions. It is into the Men’s and Boy’s shopping categories, at mid-premium spectrum. It is sold through Exclusive Brand Outlet (EBO), Multi Brand Outlet (MBO) and E-commerce.
Mohey: Mohey is a brand focused on women’s wedding & festive attire, including Lehengas, sarees, gowns and suits.
Twamev: It is a premium brand that caters to high-end customers with luxury wedding and celebrations wear.
Manthan:It is an affordable men’s ethnic wear, designed to capture the growing demand among young age populations and price. sensitivecustomers.
Mebaz: This brand specifically caters to South Indian and multicultural preferences. It is for men, women, and children’s wedding and festive wear.
Quarterly Highlights
Revenue of Rs 267.9 crore in this quarter, up by 22.7% YoY.
EBITDA of Rs 121.7 crore up by 27.5% YoY from Rs 95.4 crore in Q2 FY24. At EBITDA margin of 45.4% in Q2.
Profit is Rs 66.9 crore up by 37.3% YoY from Rs 48.7 crore in Q2 FY24. At PAT margin of 25% in Q2.
Business Highlights
The company has successfully launched a new festive and celebration wear brand Diwas.
A new EBO of 4.7k area is rolling out in Q2 FY25.
Jahnvi Kapoor is onboarded as a new brand ambassador for its women’s wear brand ‘Mohey’.
Vedant Fashions has no borrowings on its balance sheet; it’s a lease liability, which is money taken in advance for a contract.
HDFC Bank Limited (also known as HDFC) is an Indian banking and financial services company headquartered in Mumbai. It is India’s largest private sector bank by assets and the world’s tenth-largest bank by market capitalization. The company is India’s one of 3 systemically important banks with a 15% market share in the banking sector’s advances and a 37% market share in the private sector banks’ advances as of FY24. It is also the second-largest bank in India. The Bank has a distribution network of 8,851 branches and 21,163 ATMs across 4,081 cities.
Industry Outlook
Indian banks are witnessing a resurgence in credit demand, driven by growth across retail, MSME (Micro, Small, and Medium Enterprises), and corporate segments. Credit growth is expected to be 10-12% in FY25, fuelled by increased consumption, infrastructure spending, and recovery in sectors like real estate and manufacturing. NPAs expected to decline to around 4% in FY25. Enhanced risk management practices, improved loan recovery rates, and a healthier economic environment are contributing to better asset quality, which is likely to support profitability. The Reserve Bank of India (RBI) is focused on strengthening the banking sector through regulations around capital adequacy, governance, and digital banking frameworks.
Segmental Information
Wholesale Banking: The Wholesale Banking Business of HDFC Bank serves a diverse clientele including Large Corporates, Multinational Corporations, Government, Public Sector Enterprises, Emerging Corporates and Business Banking/SMEs. Offering a wide array of financial products and services such as loans, deposits, payments, collections, tax solutions, trade finance, cash management solutions and corporate cards, etc. This business largely covers the rental discounting business as well as construction finance.
Retail Banking: HDFC Bank’s Retail Business caters to a varied client base which includes Individuals, salaried professionals, small businesses like kirana stores, and Non-Resident Indians (NRIs). Among the offerings are Savings and Current Accounts, various loan options for personal and business needs, Credit and Debit Cards, Digital Wallets, Insurance and Investment Products and Remittance Services.
Treasury: The Treasury department is responsible for managing the Bank’s liquidity requirements, as well as handling its investments in securities and other market instruments. It manages the balance sheet’s liquidity and interest rate risks and ensures compliance with statutory reserve requirements. It also manages the treasury needs of customers and earns a fee income generated from transactions customers undertake with your Bank, while managing their foreign exchange and interest rate risks.
Quarterly Highlights
Revenue for Q2 FY25 is Rs 74,017 compared to Rs 67,698 crore in Q2 FY24.
Financing profit of Rs 10523 crore in this quarter, with the margin of 14%.
Net Profit is Rs 16821 crore in Q2 up from Rs 15,976 crore in Q2 FY24.
Operational Highlights
Average Deposits in Q2 were Rs 23,540 bn up by 15.5% YoY, growth in Advances under management is 10.2% YoY to Rs 25,639 bn. The fee income is around Rs 8000 crore for Q2.
Retail/Wholesale deposits are 84% & 16% respectively for Q2 FY25. And the CASA deposits are Rs 2754 bn for Current Accounts, Rs 6081 bn for Savings Accounts and the CASA ratio is 35% for Q2 FY25.
Branch network in Q2 is of 9092 branches, of which Semi-Urban has highest branches accounting for 34%.
The Net revenue mix is 72% for Net Interest Income and 28% for Non-Interest Income, and this proportion has steady.
The Yield on Assets are 8.3% and cost of funds are 4.9%. Their difference shows us the earnings of bank through lending it to retail. Lower the cost, higher the profit margin in lending.
Incorporated as a private limited company in New Delhi on May 15, 1998, SBI Cards and Payment Services Limited is a prominent subsidiary of the State Bank of India (SBI) and became a public limited company in August 2019. It specializes in issuing credit cards and functions as a corporate insurance agent, offering policies to cardholders. Currently, it is the second-largest credit card issuer in India, managing over 1.79 crore active credit cards. Since its inception, SBI Cards has leveraged SBI’s trusted brand to become a reliable provider of diverse credit card products, supporting cashless and digital transactions in India. The company’s growth has been notable, achieving higher-than-market expansion in terms of credit card numbers and spend. Between March 2017 and March 2019, its credit card spends grew at a CAGR of 54.2%, outpacing the overall industry’s growth. This success is attributed to India’s economic and demographic trends, such as rising incomes, increasing consumer demand, and e-commerce expansion. With a robust customer acquisition network, SBI Cards utilizes over 32,000 outsourced sales personnel in 145 cities, operating through physical outlets and digital channels, including its website and mobile app. SBI Cards also benefits from SBI’s network, accessing its vast customer base via 21,961 branches, enhancing its reach. SBI Cards has established a robust position in India’s credit card market by diversifying its products, expanding partnerships, and leveraging SBI’s brand and network. The company’s forward momentum continues with its focus on digital expansion and innovative offerings tailored to India’s evolving consumer needs.
Incorporated as a private limited company in New Delhi on May 15, 1998, SBI Cards and Payment Services Limited is a prominent subsidiary of the State Bank of India (SBI) and became a public limited company in August 2019. It specializes in issuing credit cards and functions as a corporate insurance agent, offering policies to cardholders. Currently, it is the second-largest credit card issuer in India, managing over 1.79 crore active credit cards. Since its inception, SBI Cards has leveraged SBI’s trusted brand to become a reliable provider of diverse credit card products, supporting cashless and digital transactions in India. The company’s growth has been notable, achieving higher-than-market expansion in terms of credit card numbers and spend. Between March 2017 and March 2019, its credit card spends grew at a CAGR of 54.2%, outpacing the overall industry’s growth. This success is attributed to India’s economic and demographic trends, such as rising incomes, increasing consumer demand, and e-commerce expansion. With a robust customer acquisition network, SBI Cards utilizes over 32,000 outsourced sales personnel in 145 cities, operating through physical outlets and digital channels, including its website and mobile app. SBI Cards also benefits from SBI’s network, accessing its vast customer base via 21,961 branches, enhancing its reach. SBI Cards has established a robust position in India’s credit card market by diversifying its products, expanding partnerships, and leveraging SBI’s brand and network. The company’s forward momentum continues with its focus on digital expansion and innovative offerings tailored to India’s evolving consumer needs.
Industry Outlook
India’s credit card industry is experiencing rapid growth, driven by digital adoption, increased consumer spending, and favourable economic conditions. The value of credit card transactions is expected to reach INR 51.72 trillion by FY 2027, growing at a CAGR of 39.22% since FY 2022, while transaction volumes are anticipated to grow at a CAGR of 26.43%. This growth aligns with a broader shift toward cashless payments, supported by rising incomes, urbanization, and the integration of digital financial services. Technological advancements like fintech innovations, co-branded cards, and improved digital infrastructure—particularly Unified Payments Interface (UPI) and contactless payment technology—are further encouraging credit card adoption. Although digital wallets and UPI present strong competition, credit cards maintain a unique advantage with benefits such as reward programs and EMI options, appealing to consumers seeking flexible credit. SBI Cards is well-positioned to capitalize on these trends, focusing on expanding its RuPay network for UPI-linked credit transactions, which now make up approximately 10% of its card portfolio. Additionally, it is leveraging partnerships, launching new products, and utilizing a broad customer acquisition network across digital and physical channels. This approach aligns SBI Cards with shifting demographics and rising demand for credit services, solidifying its position in the expanding credit card market.
Business Segments
SBI Cards and Payment Services operates primarily in two business Segments.
• Credit Card Issuance: The core of SBI Cards’ business involves issuing credit cards tailored to a diverse customer base, from first-time users to premium customers. This segment offers value-added products ranging from lifestyle and cashback cards to co-branded options with partners across industries like travel, fuel, and retail. The company continues to expand its digital footprint and strengthen partnerships with networks such as RuPay for UPI credit transactions, aiming to adapt to the evolving digital payment landscape.
• Corporate Insurance Agency Services: SBI Cards also serves as a corporate insurance agent, providing policies to cardholders. Although a smaller segment compared to credit card services, it offers a complementary revenue stream by cross-selling insurance products, such as health and accident coverage, tailored to cardholders’ needs.
• These segments allow SBI Cards to capture a broader customer base through a mix of financial and insurance services, supporting its growth strategy in India’s expanding credit market
Key Subsidiaries and Their Information
SBI Cards and Payment Services Limited, a subsidiary of the State Bank of India (SBI), specializes in credit card services across India, serving both individual and corporate clients. Benefiting from SBI’s broad network and strong brand presence, SBI Cards has access to a large customer base, allowing it to deliver customized credit card solutions for a range of needs.
For individual users, SBI Cards offers a variety of retail credit cards, including co-branded cards in partnership with brands like IRCTC and Tata. These co-branded options provide customers with targeted rewards, such as travel benefits and retail discounts, which appeal to various spending preferences.
In the corporate segment, SBI Cards supports businesses with business credit cards designed to manage expenses efficiently. These corporate cards come with features such as customizable credit limits, travel perks, and expense tracking tools, making them highly suitable for companies with frequent business-related spending.
Q2 FY25 Highlights
Total Revenue increased by 8% year-over-year to ₹4,556 crore from ₹4,221 crore in Q2 FY24, indicating a stable expansion in revenue streams, possibly due to higher transaction volumes and credit card adoption.
Profit After Tax (PAT) declined sharply, falling to ₹404 crore from ₹603 crore in Q2 FY24, suggesting higher operational or credit-related costs.
Return on Average Assets (ROAA) decreased to 2.7% from 4.9% in the previous year, while Return on Average Equity (ROAE) dropped to 12.5% from 22.3%, pointing to reduced profitability and efficiency in asset and equity returns.
Capital Adequacy Ratio (CAR) remains robust at 22.1%, with Tier 1 at 16.3%, ensuring compliance with regulatory standards and providing a cushion for credit risk.
Cards-in-Force saw a 10% YoY growth, reaching 1.96 crore as of Q2 FY25 compared to 1.79 crore in Q2 FY24, indicating successful customer acquisition and retention.
Market Share for Cards-in-Force stands at 18.5% (down from 19.2%) and for spending at 15.7% (down from 18.0%), yet SBI Cards holds its position as 2nd in Cards-in-Force and 3rd in spending across the industry.
Credit Card Receivables grew by 23% YoY to ₹55,601 crore in Q2 FY25 from ₹45,078 crore in Q2 FY24, indicating increased credit usage or delayed repayments.
Customer Spending rose by 3% YoY, reaching ₹81,893 crore versus ₹79,164 crore in the previous year, showing stable customer spending despite modest growth influenced by economic conditions.
Financial Summary
INR in Cr.
Q2FY25
Q1FY25
Q2FY24
Q-o-Q(%)
Y-o-Y(%)
Interest Income
2,290
2,243
1,902
2.10%
20.40%
Non-Interest Income (Fees, Commission Income & Others)
Dixon Technologies (India) Ltd. is one of India’s leading electronics manufacturing services (EMS) companies, known for its end-to-end manufacturing capabilities across multiple consumer electronics and appliances segments. Founded in 1993 and headquartered in Noida, Uttar Pradesh, Dixon has grown rapidly to become a significant player in the Indian EMS space, benefiting from strong partnerships with major domestic and global brands like Samsung, Panasonic, Philips, Xiaomi and others. The company’s strategic expansion and competitive manufacturing capabilities make it a key player in the Indian EMS sector.
Industry Outlook
At present, the potential growth of the electronics market is expected to reach USD 3 trillion by 2047; including exports worth approximately USD 100 Billion presents a significant opportunity. The Electronics industry in India is now positioned at an inflexion point with the country planning an Rs 440 billion boost to become an electronics powerhouse. The industry manufacturing capacity will increase to fulfil excess demand.
Segmental Information
Consumer Electronics: This is one of Dixon’s largest segments, focused on manufacturing LED TVs for both domestic and international brands. Dixon has established partnerships with prominent brands and provides a wide range of screen sizes and display technologies.
Mobile & EMS: Dixon provides mobile phone assembly and electronics manufacturing services for both feature phones and smartphones. It is involved in end-to-end manufacturing, from component assembly to quality testing, serving major domestic and international smartphone brands.
Home Appliances: Dixon produces home appliances like washing machines, primarily focused on semi-automatic models. The company has established partnerships with well-known appliance brands and continues to expand its offerings in response to growing demand in the Indian market.
Lighting Products: Dixon manufactures LED bulbs, tube lights, down lighters, and other lighting products. It caters to leading brands in the lighting industry, benefiting from increasing demand for energy-efficient lighting solutions in both residential and commercial spaces.
Quarterly Highlights
Revenue for Q2 FY25 is Rs 11,528 crores, a growth of 133% YoY from Rs 4944 crores.
EBITDA for this quarter is Rs 420 crores, up by 110% YoY from Rs 200 crores in Q2 FY24.
Net Profit of Rs 412 crores, a significant rise of 264% YoY, including a fair value gain of Rs 210 crores from a 6.5% stake in Aditya Infotech Ltd.
Business Highlights
Revenue from mobile segment is Rs 9444 crores and acquired Ismartu on August 13, 2024, contributing approx. Rs 1100 crores in revenue from selling 8 lakhs smartphones in Q2.
Consumer electronics revenue was Rs 1412 crores and refrigerators contributed Rs 188 crores to revenue with 90% capacity utilization.
Home Appliances has revenue of Rs 444 crores with monthly run rate of 30,000 units for automatic washing machines. A new R&D center established in Noida for display devices.
Management is expecting a seasonal impact on sales post-Diwali, but will recover by start of Q4 FY25. And LED TV segment is facing some pricing pressure, with noted decline in overall industry volumes.
The Patanjali Group, founded by Baba Ramdev and Acharya Balkrishna, is a prominent Indian conglomerate known for its focus on natural, Ayurvedic, and wellness-oriented products. Initially centered on Ayurveda and herbal health, the group rapidly expanded into diverse sectors, including FMCG, healthcare, food products, personal care, and education. Key brands like Patanjali Ayurved and Patanjali Foods offer a wide range of products, from food items and supplements to cosmetics and home care products. With a mission to promote traditional Indian medicine and healthy living, the Patanjali Group has become a household name, emphasizing quality, affordability, and a focus on sustainable practices. Incorporated in 1986, Patanjali Foods Limited is a leading FMCG company in India, known for its presence across edible oils, food & FMCG, and wind power generation sectors. Originally known as Ruchi Soya Industries Limited, the company has established a strong portfolio of brands, including Patanjali, Ruchi Gold, and Nutrela, offering products at various price points to meet diverse consumer needs. Patanjali Foods is engaged in processing oil seeds, refining crude oil, and producing a variety of food products, such as biscuits and nutraceuticals. It also has a significant focus on renewable energy with wind power generation operations and maintains an extensive network of manufacturing plants across India.
Industry Outlook
For FY25, the industry outlook for Patanjali Foods appears promising, driven by growth in the FMCG and health foods sectors, a rising demand for natural and organic products, and increasing health consciousness among Indian consumers. The edible oil segment, a major contributor to Patanjali Foods’ revenue, is expected to grow due to increased consumption and demand for healthier oil alternatives. The health and wellness segment, particularly nutraceuticals, is also gaining momentum as consumers prioritize immunity and preventive health.
According to recent market reports, the FMCG sector in India is projected to grow at a compound annual growth rate (CAGR) of around 12-14% through 2025. The edible oils market, specifically, may see a CAGR of 9-10%, while the nutraceutical segment, where Patanjali Foods is expanding, is estimated to grow at a CAGR of 15-17%.
These growth rates align with Patanjali Foods’ strategy to diversify its product portfolio and increase its market share across segments. With its focus on affordable, natural, and Ayurvedic products, Patanjali Foods is well-positioned to benefit from these industry trends in FY25.
Business Segments
Patanjali Foods operates in two main business segments: Edible Oils and Food
& FMCG.
Edible Oils: This segment is the largest contributor, accounting for
approximately three-fourths of Patanjali Foods’ total revenue. In Q2 FY25,
the Edible Oils segment experienced a 10% increase in revenue, reaching
₹5,939 crore, largely supported by stable demand. Branded edible oils played
a significant role, contributing nearly 74% to this segment’s revenue. This
steady demand helped drive the overall revenue for the company to
₹8,154 crore for the quarter, reflecting an overall growth of about 4%
compared to the previous year.
Food & FMCG: The Food and FMCG segment, though smaller, accounted for around 25% of the total revenue in Q2 FY25. However, the segment faced challenges, with a 7% decline in revenue, attributed to sluggish demand in the broader industry. Despite this, staples like rice, pulses, and wheat performed better, with sales reaching ₹1,032 crore. The segment’s EBITDA for Q2 FY25 was ₹234 crore, reflecting some impact from the softer demand for other FMCG products.
Wind power generation: Although smaller in scale, this segment generated revenue of ₹14 crore, showcasing Patanjali Foods’ commitment to sustainable energy by fulfilling 20% of its energy needs through renewable sources.
Key Subsidiaries and Their Information
Patanjali Foods Limited has several key subsidiaries that enhance its operations and product offerings, particularly in the FMCG sector and edible oils. Here are the main subsidiaries as of FY25:
Ruchi Soya Industries Limited: This is one of the largest subsidiaries, focusing on edible oils and food products. It significantly contributes to Patanjali Foods’ revenue through its various brands, including Ruchi Gold and Nutrela. Following its acquisition by Patanjali in 2021, Ruchi Soya has been integral to the company’s operations.
Patanjali Ayurved Limited: This subsidiary plays a crucial role in providing a range of Ayurvedic and herbal products. Patanjali Foods has expanded its FMCG offerings by acquiring the food business from Patanjali Ayurved, which includes a variety of consumer-focused products.
Patanjali Natural Biscuits Private Limited: This subsidiary is involved in the production of biscuits and snacks, further diversifying Patanjali’s product range in the FMCG sector.
Patanjali Wind Energy Private Limited: Engaged in wind power generation, this subsidiary contributes to the company’s sustainability efforts by utilizing renewable energy sources. In Q2 FY25, it generated revenue of ₹14 crore from this segment.
Q2 FY25 Highlights
In Q2 FY25, Patanjali Foods Limited reported robust performance despite a challenging environment in both the Food & FMCG and Edible Oils segments. The company’s revenue from operations reached ₹8,154.19 crore, marking a 4.25% year-on-year (YoY) growth.
Patanjali Foods achieved its highest-ever EBITDA of ₹493.86 crore, reflecting a 17.81% YoY improvement. The EBITDA margin also expanded by 70 basis points to 6.06%.
Gross profit rose significantly from ₹1,021.26 crore to ₹1,292.81 crore, primarily due to favorable pricing scenarios in the market. The PAT increased by 21.38% YoY to ₹308.97 crore, with a corresponding margin improvement of 53 basis points.
There has been a noticeable shift in consumer preferences from traditional General Trade channels to modern trade, e-commerce, and quick commerce, leading to higher inventory levels among traditional partners. The company exported products to 21 countries, generating ₹34.55 crore in revenue from exports during the quarter.
The wind turbine power generation segment contributed ₹14.35 crore in revenue, with the company sourcing approximately 20% of its energy needs from renewable sources.
During the quarter, Patanjali Foods significantly increased its advertising and sales promotion expenses, surpassing ₹130 crore, which brought the total for H1 FY25 to over ₹185 crore. The company launched various marketing campaigns across print, social media, TV, and radio, promoting specific products. Notably, celebrities such as Shilpa Shetty, Shahid Kapoor, and Khesari Lal Yadav were engaged to endorse Nutrela-branded soya chunks, edible oils, and nutraceuticals, respectively.
In addition to celebrity endorsements, Patanjali initiated the Rural Connect Program and Nutrela Operation Thunder to enhance brand visibility and distribution in rural, underserved markets. The brand also collaborated with popular YouTube channels like Rajshri Foods and Get Curried, featuring star chefs who showcased enticing recipes using Nutrela product.
Financial Summary
INR in Cr.
Q2 FY25
Q1FY25
Q2FY24
Q-o-Q Growth
Y-o-Y Growth
Total Revenue
8154
7173
7822
13.68%
4.25%
Selling/ General/ Admin Expenses Total
130
117
91
10.94%
43.59%
Depreciation/ Amortization
56
57
60
-0.90%
-6.07%
Total Operating Expense
7762
6824
7487
13.73%
3.67%
Operating Income
393
349
335
12.63%
17.15%
Profit Before Tax
417
359
335
16.13%
24.42%
Profit After Tax
309
263
255
17.46%
21.23%
Diluted Normalized EPS
8.53
7.26
7.03
17.49%
21.34%
SWOT Analysis
Strengths:
Wide range of products
Strong brand reputation
Extensive reach in both rural and urban areas
Solid financial performance
Weaknesses:
Heavy reliance on edible oils
Limited international presence
High costs of raw materials
Opportunities:
Rising consumer interest in health and wellness products
Growth in online and modern retail channels
Potential to expand into underserved rural markets
Zomato ltd. is a leading Indian online food delivery and restaurant discovery platform with a market capitalization of Rs 200,000+ crore. Founded in 2008, Zomato has grown to become one of India’s most prominent food-tech companies, connecting millions of users with restaurants and delivery services across the country. It has over 17 million monthly active users all over world and 300,000+ delivery personnel. In 2022, Zomato acquired Blinkit as a subsidiary for approx. Rs 4440 crore. It specializes in quick commerce for fast delivering groceries, etc.
Industry Outlook
The Indian e-commerce food delivery industry is poised for strong growth in FY25, driven by increasing consumer demand, digital adoption, and expansion into Tier 2 and Tier 3 cities. Indian food delivery market is expected to grow at a CAGR of 18-20% over the next few years, reaching an estimated ₹1 trillion by FY25. This trend is expected to continue, with more people opting for the convenience of ordering in.
Segmental Information
Food Delivery: It is a food ordering and delivery platform where customers can search and discover local restaurants, order food, and have it delivered reliably and quickly and it is a core segment of this company.
Quick Commerce: It offers a quick delivery services to its customers for various categories of products like stationery, fruits, foods, merchandise, electronics item, etc. in delivery time of 15 minutes. And it has acquired a subsidiary called Blinkit, which handles this segment for Zomato.
Going Out: This segment is a combination of Dining out & ticketing platform where it offers customers to discover a restaurant and reserve it for them and customers can book tickets also for movies or any live shows, etc.
B2B Supply:The B2B business (Hyper pure) is that, supplying quality food ingredients and other products to restaurants and other B2B buyers.
Q2 FY25 Highlights
Bottom line (EBITDA) continued to improve steadily and Quick commerce business is now near a break-even point.
The new District app for going-out business will be live soon in Q3.
Zomato had average monthly of 20.7 million customers, 292,000 restaurant partners and 500000 delivery partners.
Subsidiary- Blinkit
It had revenue of Rs 1156 crore compared to 942 crore in Q2FY24, a growth of 129% YoY.
EBITDA was at break-even level of Rs -8 crore in Q2 FY25 which was Rs -125 crore a year back. Shows a good sign.
GOV for quick commerce business was Rs 6132 crore and orders for Q2 FY25 were 92.9 million and its average order value is Rs 660, as it offer low price products for daily use and fast delivery.
The total stores for Blinkit till Q2 are 791 stores and 152 stores were added during this quarter only.
The GOV per day, per store comes around Rs 981,000 for this quarter.
SWOT Analysis of Zomato
Strengths:
Diverse revenue streams that enhance financial stability.
Robust financial backing from investors, enabling expansion.
Extensive user base, driving consistent engagement.
Weaknesses:
High operating expenses impacting profitability.
Intense competitive pressure from other food delivery services.
Limited international market presence hindering global growth.
Opportunities:
Expansion potential in Tier 2 and Tier 3 cities.
Opportunities for partnerships with cloud kitchens to diversify offerings.
Growing potential for subscription model services to boost customer loyalty.
Threats:
Increasing competition in the food delivery industry.
Challenges in consumer retention amidst evolving market dynamics.
Regulatory risks that could affect operational strategies.
