India Inc to step up capex

India Inc is looking to step up its capital expenditure (capex) and investment plans, as per a report in Economic Times. Industry leaders and analysts opine that a slew of factors such as accommodative monetary policy and lower interest rates, reduced corporate tax rates and government incentives such as Production-Linked Incentive (PLI) scheme, global liquidity and an upward commodities cycle are driving optimism among companies. Sitting on healthy cash reserves and aided by stronger balance-sheets post Covid, corporates are planning to invest in order to capture available opportunities of increased government spending, divestment, consumer demand revival and export market.

References
1. https://economictimes.indiatimes.com/news/economy/indicators/flush-with-cash-indian-companies-eye-capex-investment-push/articleshow/87196050.cms
CMIE STATISTICS
Unemployment Rate (30-DAY MVG. AVG.)
Per cent
7.0 +0.7
Consumer Sentiments Index
Base September-December 2015
59.8 -0.3
Consumer Expectations Index
Base September-December 2015
61.8 -0.5
Current Economic Conditions Index
Base September-December 2015
56.6 0.0
Quarterly CapEx Aggregates
(Rs.trillion) Dec 20 Mar 21 Jun 21 Sep 21
New projects 1.50 2.25 2.64 2.09
Completed projects 0.87 1.17 0.72 1.09
Stalled projects 0.30 0.26 0.32 0.03
Revived projects 0.15 0.22 0.12 0.27
Implementation stalled projects 0.20 0.34 0.25 0.22
Updated on: 01 Dec 2021 8:28PM
Quarterly Financials of Listed Companies
(% change) Dec 20 Mar 21 Jun 21 Sep 21
All listed Companies
 Income 1.6 15.1 39.3 27.8
 Expenses 0.1 7.4 38.9 27.2
 Net profit 58.1 330.5 134.8 53.0
 PAT margin (%) 8.4 8.8 9.0 9.7
 Count of Cos. 4,460 4,384 4,471 4,487
Non-financial Companies
 Income 0.2 17.7 56.3 35.8
 Expenses -0.7 10.6 57.4 36.3
 Net profit 51.8 221.2 199.9 59.5
 PAT margin (%) 8.8 9.0 8.5 8.8
 Net fixed assets 2.2 13.9
 Current assets 4.4 17.5
 Current liabilities 0.8 6.8
 Borrowings -4.3 21.5
 Reserves & surplus 11.7 18.8
 Count of Cos. 3,282 3,244 3,296 3,281
Numbers are net of P&E
Updated on: 01 Dec 2021 8:28PM
Annual Financials of All Companies
(% change) FY19 FY20 FY21
All Companies
 Income 13.3 0.4 -1.3
 Expenses 13.6 0.4 -3.8
 Net profit 15.2 -10.7 50.4
 PAT margin (%) 2.1 2.1 6.5
 Assets 9.8 8.7 11.4
 Net worth 8.5 4.6 13.2
 RONW (%) 3.7 3.5 8.6
 Count of Cos. 32,313 31,235 8,302
Non-financial Companies
 Income 14.0 -1.4 -3.1
 Expenses 14.2 -1.1 -5.2
 Net profit 21.7 -20.8 40.5
 PAT margin (%) 2.9 2.4 6.0
 Net fixed assets 5.7 10.7 2.0
 Net worth 7.9 2.4 11.0
 RONW (%) 6.4 5.0 9.6
 Debt / Equity (times) 1.0 1.1 0.7
 Interest cover (times) 2.3 1.9 3.2
 Net working capital cycle (days) 74 81 78
 Count of Cos. 25,815 24,885 6,091
Numbers are net of P&E
Updated on: 28 Nov 2021 2:41PM