Rate cuts by RBI ease corporate debt burden, sectoral gains uneven: BoB Report
However, the report also noted that the benefits are not equally distributed, and that several key industries affected the overall trend in a disproportionate way.
According to the report, net sales of a sample of 2545 companies increased by 4.9 percent in the first quarter of the 2026 fiscal year (2nd FY26).
In the same period last year, sales increased by 10.6 percent. Expenditure increase, 25 percent in the first quarter of 25 compared to 4.3 percent compared to remained modest. Interest costs, in the first quarter of 26 compared to 23.8 percent, 9.6 percent in the quarter of the 26 financial growth.
Since February 2025, the Central Bank has reduced its repo ratio 100 basis points. In the report, companies’ profit growth remained stable at a rate of 11 percent.
Pointing to the irregular effect, the report emphasized that this is especially true for the segment of crude oil and BFSI (banking, financial services and insurance). According to the report for the non -BFSI segment, the growth in net sales was recorded as 3.6 percent in the quarter FY26, and in the quarter, the reduction of net sales, net sales costs and reducing interest costs and reducing interest costs.
For the old. In the report, BFSI companies added that Pat growth was 13.3 percent in the first quarter and that it was 5.7 percent in the first quarter of 25.
However, in the report, he added that these results were distorted by a single large company in the crude oil sector.
The report also stated that when these sectors are excluded, net sales growth for non -BFSI segment 4.7 percent (7.2 percent in the first quarter FY25), PAT growth was 8.3 percent in the same period last year.
In the report, the management interpretation of the companies continued to recover and that the appearance remained largely positive.
The report said that a normal monsoon would support demand improvement in festive demand, low inflation, low interest rates and income tax advantages. Infrastructure and relevant sectors will continue to benefit from the government’s capital expenditures.
The export -oriented sectors are reasonable well wandered in a challenging outdoor environment and are well positioned to face future difficulties.
According to the report, service -related industries also continue to publish a stable growth performance.
“This shows that we can expect a gradual recovery in the next few quarters,” the report said in the report.
