Latest news with #OMC
Time of India
4 days ago
- Business
- Time of India
OMC Mining Case: Telangana HC junks AP IAS officer Srilakshmi's criminal revision plea
Hyderabad: Justice K Lakshman of the Telangana high court on Friday dismissed the criminal revision petition filed by senior Andhra Pradesh IAS officer Y Srilakshmi, who is facing allegations of facilitating the illegal mining scam involving mining baron Gali Janardhan Reddy and his company, Obulapuram Mining Company (OMC). CBI, which probed the scam, named Srilakshmi as accused No. 6 in the case. The investigation led to the conviction of Janardhan Reddy and his associates, including then AP mines and geology director VD Rajagopal. However, the trial court acquitted former mines minister P Sabitha Indra Reddy and then industries secretary Kripanandam. Justice Lakshman, in his order, held that the questions relating to mining leases, captive mining, and other factual matters must be examined during trial. He observed that the truthfulness of such contentions could not be adjudicated by the high court in a criminal revision petition, and accordingly, dismissed Srilakshmi's plea. You Can Also Check: Hyderabad AQI | Weather in Hyderabad | Bank Holidays in Hyderabad | Public Holidays in Hyderabad In her plea, Srilakshmi contended that she merely implemented policy decisions taken by the then AP govgt, which had already favoured OMC. She assumed charge as secretary of industries and mines in May 2006, succeeding Kripanandam, and claimed she had not initiated any new action of her own. Her counsel further argued that the term 'captive mining' was not used at the time due to a Union govt directive prohibiting it and therefore she could not be faulted on that count. It was also submitted that section 27 of the Mines and Minerals (Development and Regulation) Act, 1957 provided her legal protection, as it prohibits prosecution for acts done in good faith under the Act. However, the CBI argued that mining leases were granted, and GOs were issued only after her appointment. It accused her of suppressing material facts from the Centre while obtaining permission for the lease in favour of OMC. The agency alleged she took expedited steps to eliminate rival claimants to benefit OMC. The chargesheet named her as a co-conspirator along with Janardhan Reddy, OMC managing director Srinivas Reddy, and Rajagopal. Notably, the high court had earlier discharged Srilakshmi from the case. However, following a challenge by the CBI, the Supreme Court set aside that order, noting that the high court had not heard the agency's arguments. The apex court remanded the matter, directing the high court to hear both parties and dispose of the matter within three months.
New Indian Express
17-07-2025
- Business
- New Indian Express
Srilakshmi IAS misused post, argues CBI in Telangana High Court in Obulapuram mining company case
HYDERABAD: The Central Bureau of Investigation (CBI) on Wednesday told the Telangana High Court that IAS officer Y Srilakshmi, A-6 (Accused No. 6) in the Obulapuram Mining Company (OMC) case, and former secretary of the Industries department, misused her position to favour OMC. The CBI alleged that Srilakshmi, in collusion with then director of Mines VD Rajagopal, demanded large bribes from other applicants for mining licences while extending undue benefits to OMC and its promoters, Gali Janardhan Reddy and BV Srinivas Reddy. Her decisions allegedly enabled financial gains for OMC, bringing her actions under the Prevention of Corruption Act. The agency claimed that when one Shashikumar applied for three prospecting licences, officials demanded bribes instead of processing the applications lawfully. It said Srilakshmi bypassed norms to grant leases for 8.5 and 30.5 hectares to OMC, disregarding 30 earlier applications. Only two applications linked to Janardhan Reddy were considered, while others, including those from Vinayaka Mining Company, were rejected. All rejections were reportedly issued on a single day without allowing the mandatory 15-day response period. On the same day, leases were granted to OMC. The CBI said Srilakshmi rejected applications from Satyavahana Ispat Ltd, established in 1992, for captive mining, but approved leases for Brahmani Industries, allegedly connected to Janardhan Reddy, citing a `150 crore investment. The CBI further submitted that Janardhan Reddy and his associates obtained illegal leases and used them to conduct unauthorised mining elsewhere, earning profits through illegal mineral sales. During Wednesday's hearing, CBI special counsel Srinivas Kapatia said there was enough evidence to establish Srilakshmi's misuse of authority. However, senior advocate K Vivek Reddy, appearing for her, argued that the lease approvals were made before she became Secretary. He pointed out that the CBI court had discharged the then secretary. The Telangana High Court adjourned the matter to Thursday.
Yahoo
16-07-2025
- Business
- Yahoo
Omnicom Group (OMC) Stock Trades Up, Here Is Why
What Happened? Shares of global advertising giant Omnicom Group (NYSE:OMC) jumped 4% in the afternoon session after the company reported second-quarter earnings and revenue that surpassed analyst expectations. The company announced a non-GAAP adjusted earnings per share of $2.05, which was $0.03 higher than the consensus estimate of $2.02. Revenue for the quarter came in at $4.02 billion, beating the anticipated $3.95 billion. This represented a 4.2% increase in revenue compared to the same period last year. Investors were also encouraged by the company's 3.0% organic revenue growth for the quarter. The solid performance was driven by an 8.2% rise in its Advertising & Media division and a 5% increase in Precision Marketing. In a statement, CEO John Wren pointed to the "resilience and agility" of the business despite ongoing economic uncertainty. The company also confirmed it is on track with its proposed acquisition of rival Interpublic, having already received regulatory approval in 13 of the 18 required jurisdictions, including the United States. After the initial pop the shares cooled down to $73.57, up 3.9% from previous close. Is now the time to buy Omnicom Group? Access our full analysis report here, it's free. What Is The Market Telling Us Omnicom Group's shares are not very volatile and have only had 5 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business. The biggest move we wrote about over the last year was 3 months ago when the stock dropped 5.2% after stocks gave back some of the gains from the previous day as the White House clarified the tariffs on imports from China would add up to 145%, while the baseline 10% tariffs remained in place for most countries. This added layer of uncertainty reminded investors that the global trade environment remained volatile, limiting the potential for sustained market gains. Also President Trump said he was willing to accept pain in the short term, and was aware his policies could cause a recession, but he remained more mindful of a more severe case of economic depression (higher unemployment and prolonged downturn). For investors, this suggested that the administration could prioritize long-term structural shifts over near-term economic stability, further increasing policy-driven risk in the markets. Omnicom Group is down 14.9% since the beginning of the year, and at $73.57 per share, it is trading 30.3% below its 52-week high of $105.49 from October 2024. Investors who bought $1,000 worth of Omnicom Group's shares 5 years ago would now be looking at an investment worth $1,308. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
Yahoo
15-07-2025
- Business
- Yahoo
Omnicom (OMC) Reports Q2 Earnings: What Key Metrics Have to Say
Omnicom (OMC) reported $4.02 billion in revenue for the quarter ended June 2025, representing a year-over-year increase of 4.2%. EPS of $2.05 for the same period compares to $1.95 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $3.95 billion, representing a surprise of +1.57%. The company delivered an EPS surprise of +1.49%, with the consensus EPS estimate being $2.02. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Omnicom performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Total Organic Revenue Growth: 3% compared to the 3.3% average estimate based on three analysts. Organic Revenue Growth by Geography- Other North America: 2.4% versus 2.7% estimated by two analysts on average. Organic Revenue Growth - Healthcare: -4.9% versus the two-analyst average estimate of 0.8%. Organic Revenue Growth - Commerce & Branding: -16.9% compared to the -3.6% average estimate based on two analysts. Revenue by Geography- United States: $2.09 billion compared to the $2.09 billion average estimate based on three analysts. Revenue by Geography- United Kingdom: $434 million versus $426.94 million estimated by two analysts on average. Revenue by Geography- Asia Pacific: $458.8 million versus the two-analyst average estimate of $459.25 million. The reported number represents a year-over-year change of +6.3%. Revenue by Geography- Other North America: $116.2 million compared to the $119.12 million average estimate based on two analysts. Revenue- Commerce & Branding: $148.6 million compared to the $183.23 million average estimate based on two analysts. The reported number represents a change of -25.4% year over year. Revenue- Execution & Support: $216.3 million versus $209.1 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +2.3% change. Revenue- Healthcare: $332.6 million compared to the $303.04 million average estimate based on two analysts. The reported number represents a change of -5.8% year over year. Revenue- Public Relations: $372.9 million versus the two-analyst average estimate of $425.11 million. The reported number represents a year-over-year change of -10.8%. View all Key Company Metrics for Omnicom here>>> Shares of Omnicom have returned +2.8% over the past month versus the Zacks S&P 500 composite's +5% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Omnicom Group Inc. (OMC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
15-07-2025
- Business
- Yahoo
Omnicom Group (NYSE:OMC) Exceeds Q2 Expectations
Global advertising giant Omnicom Group (NYSE:OMC) reported Q2 CY2025 results beating Wall Street's revenue expectations , with sales up 4.2% year on year to $4.02 billion. Its non-GAAP profit of $2.05 per share was 0.8% above analysts' consensus estimates. Is now the time to buy Omnicom Group? Find out in our full research report. Revenue: $4.02 billion vs analyst estimates of $3.97 billion (4.2% year-on-year growth, 1.2% beat) Adjusted EPS: $2.05 vs analyst estimates of $2.03 (0.8% beat) Adjusted EBITDA: $613.8 million vs analyst estimates of $632.7 million (15.3% margin, 3% miss) Operating Margin: 10.9%, down from 13.2% in the same quarter last year Organic Revenue rose 3% year on year (5.2% in the same quarter last year) Market Capitalization: $14.17 billion "We delivered solid 3.0% organic revenue growth this quarter even in the face of ongoing macroeconomic and geopolitical uncertainty - underscoring once again the resilience and agility of our business," said John Wren, Chairman and Chief Executive Officer of Omnicom. With a vast network of creative agencies that helped craft some of the most memorable ad campaigns in history, Omnicom Group (NYSE:OMC) is a strategic holding company that provides advertising, marketing, and communications services to many of the world's largest companies. Examining a company's long-term performance can provide clues about its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. With $15.91 billion in revenue over the past 12 months, Omnicom Group is a behemoth in the business services sector and benefits from economies of scale, giving it an edge in distribution. This also enables it to gain more leverage on its fixed costs than smaller competitors and the flexibility to offer lower prices. However, its scale is a double-edged sword because it's harder to find incremental growth when you've penetrated most of the market. To accelerate sales, Omnicom Group likely needs to optimize its pricing or lean into new offerings and international expansion. As you can see below, Omnicom Group's 2.6% annualized revenue growth over the last five years was sluggish. This shows it failed to generate demand in any major way and is a rough starting point for our analysis. Long-term growth is the most important, but within business services, a half-decade historical view may miss new innovations or demand cycles. Omnicom Group's annualized revenue growth of 5.2% over the last two years is above its five-year trend, suggesting some bright spots. We can better understand the company's sales dynamics by analyzing its organic revenue, which strips out one-time events like acquisitions and currency fluctuations that don't accurately reflect its fundamentals. Over the last two years, Omnicom Group's organic revenue averaged 4.4% year-on-year growth. Because this number aligns with its normal revenue growth, we can see the company's core operations (not acquisitions and divestitures) drove most of its results. This quarter, Omnicom Group reported modest year-on-year revenue growth of 4.2% but beat Wall Street's estimates by 1.2%. Looking ahead, sell-side analysts expect revenue to grow 2.6% over the next 12 months, a slight deceleration versus the last two years. This projection is underwhelming and implies its products and services will face some demand challenges. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. Operating margin is a key measure of profitability. Think of it as net income - the bottom line - excluding the impact of taxes and interest on debt, which are less connected to business fundamentals. Omnicom Group has been an efficient company over the last five years. It was one of the more profitable businesses in the business services sector, boasting an average operating margin of 14.5%. Looking at the trend in its profitability, Omnicom Group's operating margin decreased by 1.7 percentage points over the last five years. This raises questions about the company's expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability. In Q2, Omnicom Group generated an operating margin profit margin of 10.9%, down 2.3 percentage points year on year. This contraction shows it was less efficient because its expenses grew faster than its revenue. Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Omnicom Group's EPS grew at a solid 9% compounded annual growth rate over the last five years, higher than its 2.6% annualized revenue growth. However, this alone doesn't tell us much about its business quality because its operating margin didn't improve. Diving into Omnicom Group's quality of earnings can give us a better understanding of its performance. A five-year view shows that Omnicom Group has repurchased its stock, shrinking its share count by 8.7%. This tells us its EPS outperformed its revenue not because of increased operational efficiency but financial engineering, as buybacks boost per share earnings. In Q2, Omnicom Group reported EPS at $2.05, up from $1.95 in the same quarter last year. This print was close to analysts' estimates. Over the next 12 months, Wall Street expects Omnicom Group's full-year EPS of $8.19 to grow 5.9%. It was good to see Omnicom Group narrowly top analysts' revenue and EPS expectations this quarter. On the other hand, its EBITDA missed. Still, this print had some key positives. The stock traded up 2% to $72.25 immediately after reporting. Is Omnicom Group an attractive investment opportunity at the current price? We think that the latest quarter is just one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
