New investment announcements at 19-quarter low in Q2FY18

Project commissioning drops to Rs.512.1 billion

by Natasha Nadkar

According to the data released by CMIE’s CapEx service, new investment proposals worth Rs.844.7 billion were announced in the second quarter of FY18. This is the lowest level of investment announcements seen in a quarter since December 2012. Project announcements to set up new capacities have declined from 741 projects during quarter ended September 2016 to 403 proposals announced in September 2017 quarter.

Commissioning of projects during July-September 2017 quarter fell by 77 per cent on y-o-y basis. 329 projects with investment worth Rs.512.1 billion were commissioned. The year ago September quarter witnessed completion of projects with investments worth Rs.2.2 trillion. 96 projects worth Rs.638.1 billion were scrapped between July and September 2017.

Project investments (Rs.trillion)
Quarter ended New Completed Stalled Revived
Sep 16 2.38 2.23 0.38 0.91
Dec 16 1.49 0.95 0.03 0.18
Mar 17 3.00 1.91 0.17 0.62
Jun 17 1.71 1.12 0.92 0.29
Sep 17 0.85 0.51 0.24 0.14

References
1. https://economicoutlook.cmie.com/kommon/bin/sr.php?kall=wshreport&tabcode=001101005000000000&repnum=2&frequency=Q&colno=1
2. https://economicoutlook.cmie.com/kommon/bin/sr.php?kall=wshreport&tabcode=001101005000000000&repnum=7&frequency=Q&colno=2
CMIE STATISTICS
Unemployment Rate
Per cent
4.6 -0.0
Consumer Sentiments Index
Base September-December 2015
96.3 +0.7
Consumer Expectations Index
Base September-December 2015
95.7 +0.9
Current Economic Conditions Index
Base September-December 2015
97.3 +0.5
Quarterly CapeEx Aggregates
(Rs.trillion) Dec 16 Mar 17 Jun 17 Sep 17
New projects 2.33 3.83 2.07 1.03
Completed projects 1.01 1.94 1.16 1.00
Stalled projects 1.14 0.73 2.67 0.67
Revived projects 0.18 0.67 0.30 0.29
Implementation stalled projects 0.83 0.33 0.68 0.62
Updated on: 15 Dec 2017 8:20PM
Quarterly Financials of Listed Companies
(% change) Dec 16 Mar 17 Jun 17 Sep 17
All listed Companies
 Income 6.2 10.2 9.8 8.2
 Expenses 6.3 11.9 10.0 9.4
 Net profit 40.2 16.0 -19.6 -18.1
 PAT margin (%) 6.0 6.0 5.3 5.6
 Count of Cos. 4,509 4,444 4,325 4,156
Non-financial Companies
 Income 5.9 11.8 10.4 8.1
 Expenses 7.2 15.6 10.6 8.0
 Net profit 24.5 -2.3 -25.0 -5.4
 PAT margin (%) 6.2 6.2 5.2 6.4
 Net fixed assets 6.9 9.3
 Current assets 2.7 80.1
 Current liabilities 8.8 10.2
 Borrowings 4.8 10.5
 Reserves & surplus 6.3 5.3
 Count of Cos. 3,484 3,440 3,358 3,226
Numbers are net of P&E
Updated on: 15 Dec 2017 8:20PM
Annual Financials of All Companies
(% change) FY14 FY15 FY16 FY17
All Companies
 Income 10.0 5.2 1.1 6.7
 Expenses 9.9 5.2 1.2 6.9
 Net profit -2.3 1.4 -13.1 20.6
 PAT margin (%) 3.2 3.2 2.9 6.4
 Assets 12.3 9.4 9.7 8.6
 Net worth 9.6 8.7 10.6 7.9
 RONW (%) 6.2 6.1 5.1 9.2
 Count of Cos. 24,045 23,818 20,791 4,756
Non-financial Companies
 Income 9.7 4.3 0.1 6.7
 Expenses 9.3 4.5 -0.6 7.5
 Net profit -2.7 -5.8 11.6 14.6
 PAT margin (%) 2.2 2.1 2.6 6.3
 Net fixed assets 11.6 13.3 15.5 7.3
 Net worth 8.1 7.1 11.0 6.3
 RONW (%) 5.1 4.9 5.4 10.3
 Debt / Equity (times) 1.1 1.1 1.1 0.7
 Interest cover (times) 2.0 1.9 2.0 3.4
 Net working capital cycle (days) 69 67 66 49
 Count of Cos. 19,288 19,270 17,281 3,624
Numbers are net of P&E
Updated on: 04 Dec 2017 11:59AM

Data added for HPI at Assessment prices and HPI at Market prices