The organised retail sector in the country has witnessed an 11 per cent decline in sales in 2008 and the slowdown is likely to continue for the next 12-18 months, says global consultancy firm KPMG.
Rs 22 crore (Rs 220 million). That was the total value of exports of IT software from Andhra Pradesh in 1994-95. IT exports in the state have now crossed Rs 32,500 crore (Rs 325 billion) during 2008-09 and poised to grow up by another 20% during the current financial year.
'We do not see people getting reduced, but because of automation, we will do more work.'
Index heavyweights and financials drag.
'We are in the reverse gear and we are not there anywhere compared to the rest of the world'
Tata Consultancy Services' (TCS') contribution to the overall market capitalisation (mcap) of listed Tata group companies has slipped below 50 per cent for the first time in over a decade. This has happened amid a rally in other Tata stocks, led by smaller companies, even as TCS, the group's largest company by mcap, has lagged. In recent quarters, Tata's listed firms have emerged as leading performers on the bourses, with the group's combined mcap crossing Rs 30 trillion early last week - a first for a private sector conglomerate.
While Emami is still struggling to push growth, given weak rural demand, the sale of the group's stake in AMRI Hospitals should ease investor concerns about stake pledges by promoters. It has also carried a series of stake acquisitions which should enable the expansion of its brand portfolio. The Q2 results are likely to see flat volumes and low revenue growth alongside some gross margin expansion.
'In terms of semiconductors, challenges do remain in the pan industry, but I think we are much better than where we were a year or so back.'
While commercial vehicles are expected to benefit from strong replacement demand, the two-wheeler and tractor segments are expected to gain from a recovery in the rural economy.
An improvement in political relations, anchored in a restoration of peace and tranquillity at the border, could open up opportunities for expanded economic and commercial relations between them, suggests former foreign secretary Ambassador Shyam Saran.
The headline for corporate profit growth has been very encouraging in the July-September quarter (Q2) of 2023-24 (FY24), with the combined net profit of listed companies up by 38 per cent year-on-year. However, the earnings distribution has been very lopsided, with most of the growth coming from public-sector oil-marketing companies (OMCs), banks, non-bank lenders, automobile (auto) companies, and cement producers. By comparison, companies from information technology services, fast-moving consumer goods (FMCG), retail, and consumer durables were disappointed, experiencing a sharp slowdown in net sales growth and a relatively muted increase in reported net profit.
In its latest monetary policy report released recently, RBI had said credit growth is likely to remain modest, reflecting weak demand and risk aversion due to the disruptions caused by the coronavirus pandemic.
'We are engaging in substantial open market sales of both wheat and rice to control food inflation; special measures of market intervention in vegetables, pulses and oil seeds were also taken to cushion the impact.'
Manufacturing activities in India fell to a five-month low in September as new orders rose at a softer pace, which tempered production growth, a monthly survey said on Tuesday. The seasonally adjusted S&P Global India Manufacturing Purchasing Managers' Index (PMI) fell to 57.5 in September, down from 58.6 in August -- the lowest in five months. The September PMI data pointed to an improvement in overall operating conditions for the 27th straight month.
The RBI on Friday said the impact of coronavirus outbreak on the economy will depend on the intensity, spread and duration of the deadly virus even as the central bank refrained from projecting any numbers for growth and inflation amid the widespread uncertainty. While announcing the seventh bi-monthly monetary policy statement for 2019-20, RBI Governor Shaktikanta Das said that in view of the impact of coronavirus pandemic, the growth projections for 4.7 per cent for the fourth quarter of 2019-20 and 5 per cent for the full fiscal are "now at risk".
About 1.2 crore passengers flew in November compared to 1.1 crore in October. While the industry opinion is divided over the sustainability of unprofitable growth, which is primarily led by low fare, some described it as the resilience of air travel against the economic slump.
'Geopolitical risks and their impact on oil prices, if any, are another concern for global markets, particularly for India.'
The two-wheeler segment is, however, still far from its H1FY19 peak of 9.7 million units
India's exports grew by 13.2 per cent in July to $16.24 billion year-on-year, a rate much lower than witnessed in the first three months of this fiscal because of the fading base effect.
'Earnings will be the catalyst for markets to march higher from here on out.'
However, he maintains, that even global factors too are responsible.
Firms seem to have adopted a wait-and-see approach on their plans until public policies become clearer upon the formation of a government.
The sales growth rate has been a 10-quarter low, dragged by slowdown in the key sectors -- capital goods, construction, infrastructure, non ferrous metals, steel and telecom -- that had contributed to India Inc's growth story in the past.
Travels to Gulf accounted for 40% of India's international air traffic in 2016.
Indebted developers are cutting staff as they slow work on existing projects and postpone new ones until they clear a backlog of 700,000 unsold homes
The Reserve Bank of India on Monday said that despite an improvement in the operating environment, performance of the manufacturing sector is expected to be lower in the April-June 2008 quarter (Q1) compared with that in the same period of 2007.
Corporate earnings got a big boost from the fall in commodity and energy prices in July-September 2023 (Q2FY24) despite a slowdown in revenue growth during the quarter. The combined net profits of 3,123 firms that have declared their results so far were up 38 per cent year-on-year (Y-o-Y) to Rs 3.07 trillion in Q2FY24, up from Rs 2.24 trillion a year ago. Earnings were, however, down 3.5 per cent on a sequential basis from Rs 3.18 trillion in April-June (Q1) FY24.
The combined share of customs and excise duties, service tax, and value-added tax in India's gross domestic product reached an all-time high of 10.5%.
Weak PMI gives rise to fears of sub-8 per cent economic growth for the third quarter in a row.
Equity indices made an emphatic comeback on Friday after falling for seven straight sessions after the RBI hiked interest rates by 50 basis points on expected lines and projected inflation coming under control from January next year. A strong recovery in the rupee added to the momentum, traders said. Overcoming a wobbly start, the 30-share BSE Sensex soared 1,016.96 points or 1.80 per cent to settle at 57,426.92. During the day, it rallied 1,312.67 points or 2.32 per cent to 57,722.63.
Noting that external risks to global growth has increased significantly now, the Crisil report quotes its parent S&P's forecast of a recession in the US and in the Eurozone, and a record low growth in China, which is seen crashing to 2.9 per cent now, almost half of what it had said on March 5 when it has pegged the same at 4.8 per cent.
'Since the growth is not fast enough to provide jobs for the young, the fallout will be political and social,' warns T N Ninan.
Annual growth in electricity production last month slowed to 4.6 per cent from 14.7 per cent in April.
Exports declined for the fourth-consecutive month by 10.3 per cent year-on-year to $34.98 billion in May, while the trade deficit widened to a five-month high of $22.12 billion. According to the data released by the commerce ministry on Thursday, key export sectors recording negative growth include petroleum products, gems and jewellery, engineering goods, ready-made garments of all textiles and chemicals. Imports also declined 6.6 per cent, six-month in a row, to $57.1 billion against $61.13 billion in the same month last year, the data showed.
Stating that an economic recession gripped global economy following the lockdowns due to COVID-19 pandemic, Fitch Ratings on Friday said the initial disruptions to regional manufacturing supply chains in China have now broadened to include local discretionary spending and exports.
NITI Aayog has not said what the reasons were for having achieved or not having achieved what was sought to be achieved, or what lessons can be learned for the future, points out Aakar Patel.
Industry production grew by 10.4 per cent in August against a mere 1.7 per cent in the same month a year ago, as manufacturing, mining and electricity sectors recorded double digit growth.
India's corporate sector, including public sector enterprises (PSEs), continues to go slow on investments and capital expenditure (capex). According to data from Motilal Oswal Financial Services (MOFSL), corporate investments declined for the second consecutive quarter in the April-June period (first quarter, or Q1) of 2023-24 (FY24). After a contraction of 0.5 per cent year-on-year (Y-o-Y) in the 2022-23 (FY23) January-March quarter, corporate investments likely fell 6.2 per cent Y-o-Y in Q1FY24, write Nikhil Gupta and Tanisha Ladhaa of MOFSL in their recent report on corporate investments.
Riding on strong June-quarter numbers and positive brokerage outlook, the stock of retail major Trent hit a fresh all-time high on Monday (August 14). The stock has gained 14 per cent in five trading sessions. Continuing the trend of strong revenue growth over the last few quarters, the company posted 53.5 per cent year-on-year (Y-o-Y) growth in top line to Rs 2,536 crore in the June quarter (first quarter of financial year 2023-24 or Q1FY24).
Corporate indebtedness is now twice what it was before the global financial crisis; banks' bad loans ratio is 3.5 times higher.
