After the hit of the pandemic, India Inc is now worried about the adverse impact of inflation and higher commodity prices on their revenues and margins. The inflation scare is the strongest among manufacturers of consumer goods such as automobiles, consumer durables, and fast-moving capital goods (FMCG). Companies across sectors fear they will not be able to pass on the hike in input costs to their consumers due to weak demand, which, in turn, would lead to a hit on margins and profitability in the forthcoming quarters.
Most expect a 25 bps rate hike today, but want pause.
The rupee breached the 80-mark against the dollar on Tuesday. The steady depreciation in the value of the rupee against the US dollar is likely to prove expensive for corporate India. The listed companies' revenue expenses in foreign currency or imports exceed their export revenues or revenue earnings in forex. In their latest financial year, BSE500 companies, excluding banks and non-banking finance companies and insurance (BFSI), reported combined forex expenses of Rs 12.31 trillion against forex earnings of around Rs 10 trillion.
India Inc's order-books swelled to Rs 37,666 crore (Rs 376.66 billion) in the first quarter of the financial year 2008-2009, up 93 per cent from Rs 19,520 crore (Rs 195.2 billion) for the same period last year. In the fourth quarter of 2007-08, the order-book had increased by 121 per cent to Rs 42,545 crore
"A committee is working on it. We have also asked the MCA (Ministry of Corporate Affairs) to broaden the scope of section 55 of Companies Act 1956 which is now clause 22 of Companies Bill," SEBI Executive Director Usha Narayanan said at an Assocham event in New Delhi.
India Inc is likely to witness a continuing surge in merger and acquisition activities after a record number of M&A deals in the first half of 2006 -- aggregating to more than $25 billion.\n\n
From offering office premises that can be converted into isolation wards to earmarking funds to be used for procuring kits, ventilators as well as personal protective equipment for health care workers, India Inc has put a united front to combat the unprecedented crisis facing the country.
Several fiscal and monetary incentives since December 2008 helped the industry to recover into a growth trajectory. The 10 per cent plus growth in manufacturing, basic goods, mining, electricity has been buoyed by these measures, Confederation of Indian Industry said.
Expressing dissatisfaction over the RBI decision to keep interest rates unchanged, India Inc today said rate cuts were needed to make the industry invest more and drive economic growth.
India Inc reported an uptick in revenue growth in the January-March quarter (Q4) of 2023-24 (FY24), but it came at the cost of a deceleration in earnings growth.
"We created a sense of a team, not individuals. We designed team measurable and not individual measurable. At the end of the day, we created a happy environment," said Gary Kirsten, coach of the World Cup-winning Indian cricket team.
The bulk of the incremental profits will come from oil & gas and automobile sectors.
India Inc's hiring activity witnessed a marginal decline in the month of April, owing to the ongoing appraisal season, but overall industries are upbeat about their hiring sentiment and 2011 is expected to be a landmark year for job creation, job portal Naukri.Com says.
From being a net earner of foreign exchange ten years ago, India Inc turned into a net spender of forex.
Gujarat Chief Minister Narendra Modi today came in for fulsome praise from India Inc with RIL chairman Mukesh Ambani hailing him as a leader with "grand vision" and his younger brother Anil Ambani of ADAG putting him in the league of Mahatma Gandhi and Sardar Patel.
Ratan Tata, an iconic corporate leader, retired as Chairman of the $100-billion Tata Group on Friday after a 50-year run, on his 75th birthday.
The employees, who took part in this study, agreed that monetary transaction at 39.2 per cent is the most prevalent form of corruption.
Results of 138 firms show revenue growth has declined further, but net profits are up
The sample, however, is still small as it includes only six of the 30 Sensex companies - Infosys, Reliance Industries, HDFC Bank, TCS, ITC and Bajaj Auto - that have declared results so far.
The average attrition rate grew at 21 per cent in Indian firms during July-September quarter, a rise of 4 percentage points from the preceding quarter (April-June).
Budget would have cascading impact on inflation and consumer demand.
India Inc said the Foreign Trade Policy would give a significant push to manufactured goods and agriculture- and labour-intensive exports.
India Inc has expressed disappointment over the Reserve Bank of India's decision to keep interest rates unchanged. This, according to various industry associations, would result in huge capital inflows leading to further appreciation of the rupee.
An analysis of 989 companies that account for 52 per cent of the total market capitalisation on the Bombay Stock Exchange shows net profit growth of 2.7 per cent over the previous year was reported mainly due to strong profit numbers registered by players in banking, cement, information technology, pharmaceuticals and fast moving consumer goods.
Industry sources told India Abroad they wouldn't shed any tears if the legislation died in the House.
There has been a sharp improvement in the productivity of most of the companies, thus making the bottomline growth even stronger.
The Year of India in Russia - as 2009 is officially known - has helped India Inc get into a long bear hug with the Russian consumer. They are lapping up everything - from Ratan Tata's marquee cars to Vijay Mallya's whisky.
India Inc preferred to tap other sources of funds - a cheaper option - even though bank funds were available in plenty.
High interest rates have been discouraging fresh investments and dragged industrial production down for nearly two years now.
Green shoots evident, but worries remain.
