Govt considers delisting loss-making CPSCs

Finds it difficult to meet SEBI's public shareholding norm by August 2018

by Manasi Swamy

The government is considering to delist 3-4 loss-making central public centre enterprises (CPSCs) and exit from these through strategic sale, a senior government official informed Economic Times. According to the official, it is difficult for these companies to meet the minimum 25 per cent public float norm laid down by the SEBI by August 2018 as there is not much trading in the shares of these companies. The government currently holds 90 per cent or more stake in loss-making companies Fertilizers and Chemical Travancore (FACT) and HMT. Besides, its has already decided to exit from non-strategic, state-run companies - Dredging Corporation of India, Pawan Hans, HLL Life Care, Central Electronics and Scooters India.

References
1. https://economictimes.indiatimes.com/news/economy/finance/disinvestment-delisting-of-some-sick-cpses-likely-for-better-valuation/articleshow/62894621.cms
CMIE STATISTICS
Unemployment Rate
Per cent
5.7 +0.1
Consumer Sentiments Index
Base September-December 2015
92.8 -0.4
Consumer Expectations Index
Base September-December 2015
91.9 -0.3
Current Economic Conditions Index
Base September-December 2015
94.1 -0.5
Quarterly CapeEx Aggregates
(Rs.trillion) Mar 17 Jun 17 Sep 17 Dec 17
New projects 4.07 2.13 1.22 1.08
Completed projects 1.96 0.86 1.05 0.92
Stalled projects 0.74 2.67 0.67 0.93
Revived projects 0.86 0.30 0.29 0.23
Implementation stalled projects 0.33 0.69 0.73 0.58
Updated on: 18 Feb 2018 12:20PM
Quarterly Financials of Listed Companies
(% change) Mar 17 Jun 17 Sep 17 Dec 17
All listed Companies
 Income 10.2 9.7 7.9 12.1
 Expenses 11.9 10.0 9.0 12.9
 Net profit 16.4 -19.8 -16.8 -10.4
 PAT margin (%) 6.0 5.3 5.7 5.2
 Count of Cos. 4,469 4,454 4,426 3,985
Non-financial Companies
 Income 11.8 10.3 7.7 13.0
 Expenses 15.6 10.6 7.5 11.8
 Net profit -2.2 -25.2 -4.2 15.7
 PAT margin (%) 6.1 5.2 6.4 6.8
 Net fixed assets 6.9 9.2
 Current assets 2.7 78.8
 Current liabilities 8.9 11.0
 Borrowings 4.9 10.5
 Reserves & surplus 6.1 5.2
 Count of Cos. 3,453 3,439 3,408 3,095
Numbers are net of P&E
Updated on: 18 Feb 2018 12:20PM
Annual Financials of All Companies
(% change) FY14 FY15 FY16 FY17
All Companies
 Income 10.0 5.4 1.4 6.7
 Expenses 9.9 5.5 1.6 7.1
 Net profit -2.5 0.9 -12.9 18.8
 PAT margin (%) 3.1 3.1 2.8 5.6
 Assets 12.3 9.5 9.8 8.4
 Net worth 9.6 8.6 10.8 7.5
 RONW (%) 6.1 6.0 5.0 8.2
 Count of Cos. 24,506 24,447 22,230 10,161
Non-financial Companies
 Income 9.7 4.6 0.5 6.6
 Expenses 9.4 4.7 -0.1 7.7
 Net profit -3.1 -6.9 12.6 11.7
 PAT margin (%) 2.2 2.1 2.5 5.2
 Net fixed assets 11.7 13.2 15.4 7.5
 Net worth 8.2 7.1 11.2 5.5
 RONW (%) 5.1 4.8 5.3 8.9
 Debt / Equity (times) 1.1 1.1 1.1 0.8
 Interest cover (times) 2.0 1.9 1.9 2.8
 Net working capital cycle (days) 69 67 66 52
 Count of Cos. 19,752 19,893 18,615 7,888
Numbers are net of P&E
Updated on: 04 Feb 2018 9:54AM

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