India Inc’s Q3 revenue growth likely to hit five-year high of 9%: Crisil Ratings

11 Jan 2018 Evaluate

Ahead of the corporate earnings season, Credit ratings agency, Crisil Ratings in its latest report has said that India Inc’s top-line (revenue) growth is likely to hit a five-year high of 9 percent in Q3 (October-December) 2017-18. However, it noted that profits will continue to contract, on the back of rising commodity prices. Besides, it said that the aggregate revenue of companies in key sectors is also expected to grow 9 percent over same period last year on higher realisations in steel, aluminium, cement and crude oil-linked sectors, and a pick-up in consumption-driven sectors such as auto and aviation.

The rating agency said that the revenue growth, which comes after a broadbased improvement in the previous second quarter that was taken as a prelude to a cyclical upturn, is ahead of inflation by a meaningful margin now. For the listed companies, it expects a revenue increase of 8-9 percent in FY18. It also stated export linked sectors such as information technology and pharmaceuticals will disappoint, together with telecom where the incumbents are forced to slash tarriffs due to aggressive play by the newcomer Reliance Jio. Besides, Crisil Ratings mentioned that stronger performance of consumer-oriented sectors is expected to be the primary driver of growth in the second half of this fiscal with Goods and Services Tax (GST) teething troubles abating and trade channels reverting to normalcy. It highlighted that the consumption-linked sectors excluding telecom had reported a 15 percent revenue growth in the second quarter.

As per the report, for the first two quarters, companies have reported a revenue growth of 6 percent despite the impact of the GST implementation, and added that if not for the reverses in telecom, the revenue growth would have come at 10 percent. From a profitability perspective, it believes that there can be a contraction of up to 1.30 percent in the pre-tax profits. Adding further, it indicated that EBIDTA margin fell for 8 of 21 sectors in the second quarter of this fiscal, and also expects that this trend will continue. The report further said that a contraction of 1-1.30 percent in aggregate EBIDTA margin in the third quarter would intensify pressures because there’s little latitude to control cost amid rising commodity prices. It concludes that telecom services, pharma, sugar and housing sectors will see the sharpest fall in margins.

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Fiduciary-first advisory model.
As SEBI-registered IAs, we are legally and ethically bound to act in the best interests of our clients. We do not sell or distribute any financial products. This ensures our guidance is 100% unbiased and conflict-free.
Deep fundamental research + robust valuation discipline.
Built on more than 15 years of equity research, our framework combines quality assessment, intrinsic value estimation, and a sensible margin-of-safety approach.
Process—not predictions.
We don’t rely on guesswork or market timing. Instead, we focus on asset allocation, risk management, and long-term compounding.
Technology + Human Intelligence.
We believe a combination of both is essential for investing success. We constantly innovate and upgrade in-house tools, financial X-rays, and portfolio analytics so that our team of analysts and advisors are equipped with the best.
Partner with Clients.
We follow a DIWM (Do-It-With-Me) approach where we partner clients in setting goals, financial planning, educating on our investing process and share decision-enabling resources transparently with our clients who retain control on execution.

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

Investing in stocks, mutual funds, debt, and gold
Quality-at-Reasonable-Price way of investing in stocks
Constructing Direct Stock Portfolios with Core, Booster, and Amplifier stocks
A Mutual Fund Portfolio that delivers consistent out-performance and meaningful diversification (low overlap)
Periodic review and rebalancing
Clear Buy-Sell-Hold, and Position-sizing frameworks

Name of the IA registered with SEBI:	The Alchemists Ark Pvt. Ltd.
Logo:
Trade/Brand Name of IA:	MoneyWorks4Me Investment Advisers
Brand Logo:
SEBI Registration Number:	INA000013323 Validity – May 16, 2019 – Perpetual
Registration:	Non-Individual
BSE Enlistment No:	1187
Address:	B-101, Signet Corner Building, Balewadi Phata, Baner, Pune, Maharashtra 411045
Compliance officer Details:	Name: Shrikant Jagtap Email: shrikant.jagtap@moneyworks4me.com Telephone: +919860359463 Address: Same as IA
Grievance Officer Details:	Name: Mukta Vaze Email: mukta.vaze@moneyworks4me.com Telephone: +91 98609 19463 Address: Same as IA
Principal Officer Details:	Name: Atharva Bhide Email: atharva.bhide@moneyworks4me.com Telephone: +91 91758 99463 Address: Same as IA
Standard Warning:	Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Disclaimer:	Registration granted by SEBI, enlistment with exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.