Low base drives up Company India’s Q1 revenues 17% on y-o-y foundation; consumer-oriented sectors do effectively, says Icra

Mumbai: India Inc reported a 17.1 p.c progress in revenues for the June quarter on a decrease base within...

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Low base drives up Corporate India's Q1 revenues 17% on y-o-y basis; consumer-oriented sectors do well, says Icra

Mumbai: India Inc reported a 17.1 p.c progress in revenues for the June quarter on a decrease base within the year-ago interval, a report stated Thursday.

“Indian company sector’s mixture revenues have grown by 17.1 p.c in the course of the first quarter (Q1FY19), on a year-on-year foundation,” home score company Icra Scores stated
in a observe.

The company stated it analysed 660 firms as a part of the analysis and added that 26 of the 32 sectors it analysed have proven a income progress. It stated consumer-oriented sectors like auto, quick
transferring shopper items, shopper durables, eating places and airways, and commodity-linked sectors like cement, iron and metal and oil and gasoline proceed to do effectively, whereas sectors like
capital items, prescription drugs, media and fertilisers have additionally witnessed robust income progress.

Representational picture. Reuters

“This progress has been achieved on low-base, adversely impacted by GST implementation in Q1 FY 2018 in addition to, wholesome consumption-driven demand in addition to pick-up in infrastructure spending,” its group head for company sector rankings Shamsher Dewan stated. He, nevertheless, added that as in comparison with the previous March quarter, the gross sales declined 2.four per cent on seasonal components.

Sectors that witnessed first rate margin enchancment had been metals and mining (together with iron and metal) because of uptick in commodity costs and; the patron meals sector, supported by decrease enter prices like milk and sugar, the company stated. Client items, paints, FMCG and auto-expanded their margins as they partially absorbed uncooked supplies worth hikes to mitigate the impression, it added.

Airways, tiles and ceramics and cement sector witnessed important erosion in margins because of rising gasoline costs, whereas components like subdued realisations (sugar), constitution charges (delivery), decline in APRUs and rise in community prices (telecom) too exerted stress on earnings of firms, it stated.

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