Indian households spend two-third of what they earn

Fuel, cosmetic & toiletries major spend categories apart from food

by Ritika Gupta

Indians are known for their saving habits and yet they spent 64.3 per cent of what they earned in the September 2015 quarter. This translated into a consumption expenditure of INR 7.2 trillion. Of this, nearly INR 3.74 trillion or 52 per cent went into food. This did not include food eaten in restaurants. Eating out added another INR 0.15 trillion to the food bill.

Within food, cereals & pulses accounted for 29 per cent, vegetables & fruits for 15 per cent, milk for 14.4 per cent, meat/eggs/fish for 9.4 per cent, edible oils for 6.7 per cent, potatoes & onions for 4.9 per cent, sugar and spices for 3.4-3.7 per cent each, tea, biscuit, salty snacks, milk products and ghee for 1.5 per cent each, mithai and bread for 1 per cent each. The other food items accounted for less than 4 per cent of the total food expenditure.

With a share of 14.4 per cent in total consumption, power & fuel is second-largest expense category. Indian households spent a little more than INR 1 trillion on power & fuel. Of this, petrol & diesel accounted for 40 per cent, cooking fuel for 33 per cent and electricity charges for 27 per cent.

Cosmetics & toiletries accounted for INR 0.51 trillion, around 7.1 per cent of the total consumption expenditure. Households spent INR 0.25 trillion on basic hygiene items, half of the total expenditure in this category. Basic hygiene items include dental care items, bathing soap, shampoo, detergent bars/ liquids and scourers. The other half is constituted by expenses on parlor/salon/spa, hair oil, powder, creams, deodorants, other cosmetics, etc.

CMIE STATISTICS
Unemployment Rate (30-DAY MVG. AVG.)
Per cent
7.1 +1.9
Consumer Sentiments Index
Base September-December 2015
59.0 0.0
Consumer Expectations Index
Base September-December 2015
60.4 0.0
Current Economic Conditions Index
Base September-December 2015
57.0 0.0
Quarterly CapEx Aggregates
(Rs.trillion) Mar 21 Jun 21 Sep 21 Dec 21
New projects 2.36 2.74 2.25 2.51
Completed projects 1.17 0.74 1.18 1.52
Stalled projects 0.28 0.33 0.03 0.03
Revived projects 0.23 0.12 0.28 0.39
Implementation stalled projects 0.34 0.38 0.25 0.66
Updated on: 18 Jan 2022 8:28PM
Quarterly Financials of Listed Companies
(% change) Mar 21 Jun 21 Sep 21 Dec 21
All listed Companies
 Income 15.1 39.2 27.9 15.7
 Expenses 7.4 38.6 27.3 17.2
 Net profit 337.8 142.5 52.6 9.3
 PAT margin (%) 8.8 9.0 9.6 19.5
 Count of Cos. 4,401 4,495 4,545 122
Non-financial Companies
 Income 17.8 56.1 36.1 18.0
 Expenses 10.7 57.1 36.6 21.6
 Net profit 222.4 199.3 59.5 3.5
 PAT margin (%) 9.0 8.5 8.8 18.2
 Net fixed assets 2.3 4.9
 Current assets 4.3 11.0
 Current liabilities 1.2 0.9
 Borrowings -4.5 12.2
 Reserves & surplus 11.7 12.4
 Count of Cos. 3,247 3,301 3,304 89
Numbers are net of P&E
Updated on: 18 Jan 2022 8:28PM
Annual Financials of All Companies
(% change) FY19 FY20 FY21
All Companies
 Income 13.4 0.6 -1.5
 Expenses 13.8 0.4 -4.1
 Net profit 12.7 -6.9 62.0
 PAT margin (%) 2.0 2.1 5.7
 Assets 9.9 8.8 10.7
 Net worth 8.2 4.5 13.3
 RONW (%) 3.6 3.5 8.2
 Count of Cos. 32,530 31,471 11,634
Non-financial Companies
 Income 14.2 -1.2 -3.0
 Expenses 14.3 -0.9 -5.3
 Net profit 22.1 -21.1 49.3
 PAT margin (%) 2.8 2.3 5.3
 Net fixed assets 6.0 11.2 1.5
 Net worth 7.8 2.2 11.0
 RONW (%) 6.3 4.9 9.1
 Debt / Equity (times) 1.0 1.1 0.8
 Interest cover (times) 2.2 1.9 2.8
 Net working capital cycle (days) 74 81 80
 Count of Cos. 25,943 25,015 8,657
Numbers are net of P&E
Updated on: 18 Jan 2022 2:48PM