The Reserve Bank of India or RBI data mentioned that the annual sales growth rate of listed private non-financial companies moderated to 4.7 per cent in FY2023-24 from 19.8 per cent in FY2022-23, reflecting a post-pandemic recovery slowdown.
These companies reported double-digit profit growth and improved margins overall during the fiscal year ending March 31, 2024. The analysis, based on financial results from 3,281 listed non-government non-financial firms, highlighted varying sectoral performances.
Sales in manufacturing, IT, and non-IT services sectors increased by 3.5 per cent, 5.5 per cent, and 7.9 per cent respectively in FY24, compared to higher growth rates of 18 per cent, 19.4 per cent, and 33.5 per cent in the previous year.
Buoyant sales were observed in automobiles, electrical machinery, and pharmaceuticals, but the manufacturing sector faced challenges primarily from chemicals and petroleum industries.
Listed private non-financial companies recorded a significant annual profit growth of 18 per cent in FY24, contrasting with a marginal decline of -0.2 per cent in FY23. Operating profit margins improved across major sectors, reaching 14.4 per cent, 22.4 per cent, and 22.7 per cent for manufacturing, non-IT services, and IT companies respectively.
Despite stable raw material costs, staff expenses rose by 10.8 per cent, 6.6 per cent, and 15.6 per cent (year-on-year) for manufacturing, IT, and non-IT services companies during FY2023-24.
This data underlines the evolving performance dynamics within Bharat’s private corporate sector as economic conditions continue to stabilise post-pandemic.
