Today, the Reserve Bank released on its website (https://dbie.rbi.org.in/DBIE/dbie.rbi?site=statistics#!2_44) data relating to the finances of non-government non-financial (NGNF) public limited companies for 2017-18, based on audited annual balance sheets and profit and loss accounts of 16,130 such companies accounting for 48.7 per cent of total paid-up capital (PUC) as on March 31, 2018. Explanatory notes to the statements are given in the Annex.

Highlights

Sales

• Overall sales growth improved in 2017-18, led by manufacturing which, in turn, was steered by the sub-sectors of iron and steel; motor vehicles; chemicals and cement (Statement 1 and 11).

• In the services sector, computer services witnessed an acceleration in sales growth.

• The construction sector witnessed contraction in sales growth for the second successive year.

Expenses

• Input cost pressures were observed in 2017-18 across all sectors due to a surge in expenditure on raw materials (Statement 1 and 11).

Operating profit

• Operating profit growth moderated, largely led by the services sector and within it, wholesale and retail trade; accommodation and food services; and computer services (Statement 11).

• Operating profit margin of the manufacturing sector improved in 2017-18 (Statement 12).

Profit after tax

• Net profit growth decelerated at the aggregate level, mainly due to heavy losses incurred by the services sector (Statement 1 and 11).

GVA

• GVA growth of the manufacturing sector accelerated in 2017-18, while for the services sector, it recorded deceleration (Statement 11).

Borrowings

• The growth in aggregated borrowings decelerated in 2017-18, but the growth in borrowings from banks accelerated (Statement 1).

• The mining and quarrying sector witnessed contraction in borrowings growth for the second successive year.

Investment

• Equity instruments/shares were preferred as a mode of investment by corporates and accounted for around 82 percent of total long term investment in 2017-18 (Statement 4).

• In the short term, mutual funds and debentures/bonds were preferred modes of investment.

Leverage

• Leverage (measured by the debt to equity ratio) of the mining and quarrying and manufacturing sectors improved in 2017-18.

• While the interest coverage ratio of the services sector deteriorated, the manufacturing sector exhibited substantial improvement (Statement 12).

Notes:

1. Data for the finances of non-government non-financial (NGNF) public limited companies for 2016-17 is also released along with this data release.

2. Primary source of data is Ministry of Corporate Affairs (MCA).

Shailaja Singh
Deputy General Manager

Press Release: 2018-2019/2612