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CESC  has informed the BSE today that the net profit has increased 15% to Rs 410 crore in the year ended March 31, 2009 from Rs 355 crore in the previous fiscal. The total income is up 10% at Rs 3,200 crore from Rs 2,904 crore.

CESC  has posted revenues of Rs 741 crore in Q4 FY09 as against Rs 638 crore in the same period last year. Net Profit for the quarter under review came in at Rs 94 crore as compared to Rs 86 crore last year. FY09 revenues stood at Rs 3,031 crore versus Rs 2,775 crore last year. Net profit for the period stood at Rs 410 crore as against Rs 355 crore.

The Hindu Business Line recommends a buy in CESC from a short-term perspective. The charts of CESC show that it has been on a medium-term up trend form its March 2008 low of Rs 360 level. The stock conclusively penetrated the medium-term down trendline (that commenced from the January high of Rs 715) in mid-April and progressed upwards. This up-move has also taken the stock above its50-day moving average. The daily momentum indicator has re-entered the bullish zone form the neutral region and the daily moving average convergence and divergence is featuring in the positive territory. The fact that the stock is sustaining above the medium-term up trendline, is also a positive for the stock. We expect it to rally to our price target level of Rs 552 in the forthcoming trading sessions. Investor with short-term perspective can buy CESC while keeping the stop-loss at Rs 460.

CESC Ltd posted 41 per cent rise in net profit at Rs 86 crore for the fourth quarter ended March 31, 2008 as compared with a profit of Rs 61 crore shown during the same quarter of previous year. Total income for the quarter has increased to Rs 680 crore from Rs 574 crore in the year-ago period. For the year ended March 2008, the company recorded a net profit of Rs 354 crore as compared to Rs 301 crore during previous year. Total revenue has increased to Rs 2,898 crore from Rs 2,577 crore during fiscal year 2007.

The Hindu Business Line Today's Pick: CESC (Rs 577.50) We recommend a sell in CESC at current market price. From the chart of CESC we see that the stock had been on a steady long-term uptrend from June 2007 low of Rs 340 till it touched an all time high of Rs 715 in early January 2008. The stock has ... More