Business News: RBI Framework, Market Surge, Paytm License, Cipla Profit, ITR Deadline, Warner Bros vs NBA, Jio AirFiber Discount, IndiGo MAX 8 Flights

It introduced a revised Prompt Corrective Action framework for urban co-operative banks w.e.f. April 1, 2025, which will replace the earlier existing Supervisory Action Framework. This would align with the objective of strengthening UCBs' financial health through timely supervisory intervention and ensuring that UCBs take corrective actions. These norms form the PCA framework for Scheduled Commercial Banks and Non-Banking Financial Companies in regard to capital, asset quality, and profit-based parameters. This will be covered under the framework of all UCBs in banks, with the exception of small Tier 1 institutions.

On Friday, the domestic equity market witnessed a sharp rally, with BSE Sensex jumping 1.62% to scale 81,332.72 and NSE Nifty to a record high of 24,861.15 and close at 24,834.85. Almost all stocks on the Sensex ended higher, with Bharti Airtel the top gainer at 4.25%. This followed an increase in the US gross domestic product and an improvement in investor sentiment. Analysts attributed the rebound as an indication of the strong economic resilience of India, together with effective corporate earnings, notwithstanding recent global uncertainties.

The Indian government has approved the application of Paytm for a license as a payment aggregator, sending shares of its parent, One97 Communications, 10% higher. This would allow Paytm to seek an evaluation by the Reserve Bank of India for the license. This comes after the removal of a roadblock previously placed due to a proposed Chinese investment. It further said the government has allowed Paytm to invest Rs 50 crore in its payment services unit, critical to resuming normal operations and long-term growth, Reuters reported.

The leading pharma company Cipla has posted a consolidated net profit of Rs 1,178 crore, up 17.4 per cent in Q1 FY24-25, beating market expectations. Its share price rose by 6.1 per cent to Rs 1,590 on the BSE after the earnings announcement. Consolidated income from operations went up by 7 per cent to Rs 6,694 crore while ebitda surged by 13.8 per cent to Rs 1,716 crore. Good financial performance reflected improved operational efficiency and market strength.

The income tax department is likely to extend the deadline for filing ITRs for AY 2024-25 from July 31 to August 31 because more than 2.2 crore taxpayers are yet to file, and technical glitches on the e-filing portal have not been resolved. While 4.6 crore ITRs have already been filed, this is less than the figure for last year. The ITBA has, however, sought an extension till for ironing out glitches and assimilating all taxpayers. Last year, India filed 6.77 crore ITRs till July 31 that increased to 8.18 crore by December 31.

Turner Broadcasting System and Warner Bros. Discovery filed a suit in New York against the NBA, claiming their bid rejection to match the offer in media rights with Amazon for the future breaks their agreed contract. Turner complained that the NBA decision effectively has closed their long-term relationship and devalued its massive investment in NBA content. Rights were handed on by the NBA to ESPN, NBCUniversal and Amazon in a deal worth $77 billion. Perhaps this case simply comes down to legal interpretations surrounding digital vs. traditional TV rights.

Under its Freedom Offer, Reliance Jio is offering a flat 30% off all new AirFiber connections. This will bring down the ₹1,000 installation charge to ₹700 and fix the total amount at ₹2,121. The offer period is from July 26 to August 15, and it covers all new bookings, existing bookings activated on or before August 15, and all plan durations. This comes after a recent price hike by Jio in its prepaid and postpaid plans by up to ₹600 and the removal of unlimited 5G from all its plans that come with less than 2GB of daily data.

IndiGo will wet lease Boeing MAX 8s from Qatar Airways to fly them to Doha, increasing its frequencies by 75 out of a total 82 on the route. The announcement has come off the back of all-time high profits of INR 2278.8 crore for Q1-FY25 and seven consecutive profitable quarters posted by IndiGo. The agreement extends no further than Doha, unlike IndiGo's arrangement with Turkish Airlines. The MAX 8s would have advanced seating and products to enhance the passenger experience since they are the newest members of the Qatar Airways fleet. IndiGo has hit upon a tactical lease in response to its Pratt & Whitney-powered fleet troubles with the A320neo.