Breaking News

You are here » Indian-Commodity  :  Economy  :  Revenues of Indian corporates jump 22% in Q1FY19

07-Aug2018

Revenues of Indian corporates jump 22% in Q1FY19

Rating agency ICRA in its latest report highlighted that revenues of Indian corporates have jumped 22% in the first quarter of current financial year (Q1FY19) as compared to same quarter in previous year. The increase in revenues has been attributed to the strong growth in both consumer-based industries and commodity sectors. Consumer-based industries include consumer goods, and auto; and commodity sectors such cement, iron, steel, and oil and gas.

As per report, in the first quarter, the two sectors which have done well are pharmaceuticals and information technology (IT).  In the First quarter results of current financial year Pharmaceuticals sector showed a growth of 20.8% supported by strong performance in the domestic markets. The IT sector reported a healthy growth of 12.9% over the corresponding period last year on account of their strong performance in their digital offerings and partial recovery in the financial services sector.

ICRA noted that 'The strong revenue growth has ensured that companies were able to protect their EBTIDA margins (overall flat) to a larger extent on both Y-o-Y (year-on-year) and Q-o-Q (quarter-on-quarter) basis, reflecting that they have managed to offset the increase in raw material and fuel price through price hikes, operating leverage and cost reduction'.

Though, EBTIDA margins for a few industries such as airlines and cement have been under pressure. The EBTIDA margin of the airline industry was under pressure on account of rising fuel prices, weaker rupee and competitive pressures. EBTIDA margin of the cement sector was negatively impacted by a rise in raw materials' prices and freight rates.


Related News

View all news

Bank credit surges 12.7% in fortnight ended August 3

The Reserve Bank of India (RBI) in its latest data has showed that Bank credit surged by 12.70 percent to Rs 86,79,741 crore in the fortnight to August 3,2018. In the year-ago fortnight, bank advances......

P-notes investment declines to over 9-year low of Rs 80,341 crore at July-end

Continuing declining trend, the share of foreign portfolio investments (FPI) in domestic capital markets through participatory notes (P-notes) has declined to over nine-year low of Rs 80,341 crore at the......

Weakening rupee may be positive for certain segments in short term

The weakening Indian currency may be positive for certain segments in the short term but global buyers may start asking for discounts if the unit would stay near the 70 mark. Indian Silk Export Promotion......

Top News

View all news

Shriram City Union Finance planning to raise up to Rs 500 crore

Shriram City Union Finance is planning to raise funds up to Rs 500 crore. The company intends to issue and allot on private placement basis 5,000 number of secured non-convertible redeemable debentures......

TCS features as star performer in Digital Workplace Services by Everest Group

Tata Consultancy Services (TCS) has been recognized as a leader and Star Performer for the second year in a row in the Everest Group PEAK Matrix for Worldwide Digital Workplace Services. In an assessment......

Tribhovandas Bhimji Zaveri opening 38th store in Uttar Pradesh

Tribhovandas Bhimji Zaveri is opening its 38th store at G-31 & G-32 consisting of Basement Ground Floor & First Floor Noida, in state of Uttar Pradesh on August 18, 2018.Earlier, the company......