Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Google
Web www.equitybulls.com
Stock Report

| More

Impact of corporate tax announcement on PNB Housing Finance

Posted On: 2019-09-23 12:07:09

The Ministry of Law and Justice via ordinance on Friday i.e. 20th Sept, 2019 announced a landmark reform in the corporate tax history. The Finance Minister has announced the reduction in basic corporate tax rate for domestic companies to 22% from 30%. The effective tax rate for domestic companies reduced to 25.17% from 34.94% inclusive of surcharge & cess. In addition to this, the new manufacturing companies that start production on or before March 31, 2023 and are incorporated on or after October 1, 2019 will have an option to pay tax at a lower rate of 15% if they do not avail any exemption/ incentive. The effective tax rate for these companies shall be 17.01% inclusive of surcharge & cess. This is a very positive move and is expected to result in enhanced economic activity along with the reduction in effective tax rates.

We had been getting queries with respect to the impact of this change on the Company. To give a perspective for FY18-19, PNB Housing effective tax rate on a consolidated basis was 31.30%. Considering the tax reduction as per the announcement, the expected reduction in the effective tax rate for PNB Housing can be anywhere between 8%-9%.

Speaking on this occasion, Mr. Sanjaya Gupta, Managing Director, PNB Housing Finance Ltd said, "We are pleased with the slew of measures taken by the Government to revive the economy and the sector. This includes measures viz relaxation in the minimum holding period to six months for securitisation, additional liquidity support to NHB for further lending to HFCs, on-lending of housing loans upto INR 20 lakh to be qualified under PSL, relaxation in ECB end use and fund for real estate sector are all positive for the Housing Finance sector. All these measures will boost liquidity in the sector and shall immensely help in enhancing our fund position and further strengthen our ALM. Moreover, the reduction in corporate tax rate will be a big boost to the capital base and help revive the growth and employment generation across all sectors."

Shares of PNB Housing Finance Ltd was last trading in BSE at Rs.669 as compared to the previous close of Rs. 601.45. The total number of shares traded during the day was 29433 in over 2545 trades.

The stock hit an intraday high of Rs. 691.65 and intraday low of 596.1. The net turnover during the day was Rs. 18985434.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com





Other Headlines:

Ashoka Buildcon Q2FY20 EPC Revenue at Rs. 862Crores

Mishra Dhatu Nigam Ltd secures order of Rs. 106 crores

Nilkamal Ltd Board approves interim dividend of Rs. 5 for 2019-20

Snowman Logistics Ltd announces Q2 FY20 results

Mindteck Reports Financial Results for the Quarter Ended September 30, 2019

Cardinal Health Partners with TCS to Transform its IT Operating Model

SpiceJet posts a loss in Q2

ITD Cementation India Ltd Q2 consolidated net profit at Rs. 21.68 crores

Fine Organic Industries Ltd reports consolidated PAT of Rs. 57.03 crores in Q2

Hindustan Tin Works Ltd Q2 net profit jumps to Rs. 4.22 crores

Nandan Denim Ltd Q2 PAT at Rs. 2.20 crores

Amines & Plasticizers Ltd Q2 consolidated net profit soars to Rs. 6.85 crores

Galaxy Surfactants Ltd Q2 FY20 consolidated PAT climbs to Rs. 67.07 crores

Munjal Auto Industries Ltd reports consolidated net profit of Rs. 1.38 crore in Q2

A K Capital Services Ltd consolidated Q2 net profit at Rs. 10.47 crores

Trigyn Technologies Ltd posts consolidated PAT of Rs. 14.63 crores in Q2

Power Mech Projects Ltd Q2 FY20 consolidated net profit at Rs. 35.10 crores

SPL Industries Ltd Q2 net profit rises to Rs. 12.02 crores

Apex Frozen Foods Ltd Q2 net profit at Rs. 21.92 crores

KSE Ltd reports PAT of Rs. 4 crores in Q2

SEAMEC Ltd consolidated Q2 net profit at Rs. 26.82 crores

Nilkamal Ltd consolidated Q2 PAT at Rs. 49.01 crores

Gulshan Polyols Ltd reports net profit of Rs. 5.73 crores in Q2

Aarti Industries Ltd Q2 consolidated PAT at Rs. 147.56 crores

Permanent Magnets Ltd Q2 PAT higher at Rs. 3.71 crores

TD Power Systems Ltd reports consolidated PAT at Rs. 5.74 crores

CMI Ltd reports net profit of Rs. 1.09 crore in Q2

Cosmo Films Ltd Q2 consolidated PAT up at Rs. 28.70 crores

BATA India Ltd consolidated Q2 net profit at Rs. 71.30 crores

Finolex Cables Ltd posts consolidated PAT of Rs. 126.84 crores in Q2 FY20

Shreyans Industries Ltd reports net profit of Rs. 7.81 crores

Haryana Leather Chemicals Ltd posts PAT of Rs. 0.51 crore in Q2

Wanbury Ltd Q2 net profit at Rs. 5.02 crores

Saregama India Ltd consolidated Q2 net profit up at Rs. 19.26 crores

Himadri Speciality Chemical Ltd reports consolidated PAT at Rs. 45.16 crores

Thermax Ltd reports consolidated PAT declines to Rs. 25.70 crores

Lux Industries Ltd consolidated Q2 PAT at Rs. 40.59 crores

Indian Hume Pipe Company Ltd Q2 PAT slides to Rs. 14.20 crores

Techno Electric & Engineering Company Ltd posts consolidated PAT of Rs. 92.22 crores in Q2

Datamatics Q2FY20 revenue at INR 2,967.2 Million; up 6.0% y-o-y

KEC International wins New Orders of Rs. 2,255 crore

Adani Power Limited - Consolidated Results for Q2 and H1 FY 2019-20

Blue Star's Consolidated Q2FY20 revenue grows 21% to Rs 1249.47 crores; net profit grows 94% to Rs 37.94 crores

Adani Green Energy Limited Consolidated Results for Q2 and H1 FY20

Rain Industries Ltd Board declares Interim Dividend of Rs. 1

Punjab & Sind Bank declares Financial Results for Quarter and Half year ended 30.09.2019

Saksoft Ltd board declares interim dividend of Rs. 2 for 2019-20

ARSS Infrastructure Projects Limited JV secures work order of Rs. 75.42 crores

Meera Industries Ltd Board approves interim dividend of Rs. 1

Zydus Cadila registers Total income from Operations of Rs. 3367 Cr, up 14% in Q2







Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2019