Covid-19 is having an unprecedented impact on financials of corporate sector putting a serious question mark on survival of many of them. Other than the cash required to pay salaries etc, companies need to generate sufficient cash to pay interest and loan installments. As per Kamath Panel report, as much as Rs 37.7 lakh crore … Continue reading Corporate Debt Restructuring – Understanding the Issues Involved
Covid- 19 is having another side effect in the form of sharp slump in crude oil demand. The demand crash and lack of timely cut in production has created a situation never seen before – WTI Oil futures turning negative! While the market players have come to an agreement to cut production, prices are down … Continue reading Understanding the Dynamics of Crude Oil Market
Public sector enterprises (PSEs) invariably face criticism as loss making behemoth and for their inefficiency. While there are PSEs which have sunk significant amount of public money, there are also a large number of PSEs which are running very efficiently. These PSEs are making substantial profits even after meeting number of government mandated norms. Here … Continue reading Public Sector Enterprises – An Overview
The face of Corporate India has changed dramatically in the last 30 years since the economic liberalization began. Liberalization exposed the then established firms to competition, changing corporate mindset of taking markets for granted. Failure to adept to these changes led to what the Economic Survey has called ‘creative destruction’. Here is a look at … Continue reading Corporate India – The ‘Creative Destruction’ since Liberalization.
Automobile sector continues to be in the throes of a slowdown quite unprecedented in terms of its magnitude. While aggregate sales data for Feb’20 is not yet available, individual company data shows decline of as much as 40%. Even though part of the decline is due to impending transition to BS-VI, there are deeper reasons … Continue reading Automobile Industry – Challenges Abound…
The cabinet decision earlier this week to deregulate coal mining and remove the end use restriction is a water-shed event for the sector. Coal mining is possibly the only regulated sector and it is difficult to understand why this decision took such a long time. Here is a look at the sector and the implications … Continue reading Coal Mining – Freed, At Last..!
Indian pharmaceutical industry is among some of the industries going through deep-rooted structural changes. It is, probably next to food industry, in terms of its sensitivity to socio-political structure and has been subjected to greater price control over last few years. Going a step further, the government has now proposed putting a ceiling on margins … Continue reading Industry Analysis – Pharmaceuticals
Corporate sector saw many important developments during the year. A large number of them involved downfall of a company/ its promoter but an important success, ArcelorMittal getting control of Essar Steel after a long and hard-fought battle and entry into the Indian market. Major companies/ promoters to see their decline are Reliance ADAG, ZEE media, … Continue reading The Year That Was – Corporate & Industry
Telecom sector is in the throes of a crisis with the recent Supreme Court judgment on AGR. The ruling implies an additional burden of about Rs 60,000 crore on top two companies. While the entry of Jio was itself a big blow, the judgment has further compounded the matter. So, what is AGR and what … Continue reading Telecom Sector – Tracking the Developments
Recap – As per MOSPI survey, there are a total of 2.37 lakh factories in the country with Rs 44.7 lakh crore of capital invested (2017-18). Gross value added (GVA) by these factories was Rs 14.7 lakh crore from their operations. For a country like India, most suitable industries would be those which employ more … Continue reading Annual Survey of Industries – Part II