Why India Inc's rising profit share in GDP will be tough to sustain in FY27
New Delhi, June 9 -- As the curtain falls on quarterly corporate earnings alongside the release of the latest gross domestic product (GDP) numbers, new data points provide a comprehensive health checkup of the Indian economy.
Corporate profitability has steadily risen, with the ratio of India Inc.'s profit after tax to GDP climbing from 3.4% in FY23 to 4.3% in FY26. This metric measures the aggregate net profits of BSE 500 companies-benchmarked as a proxy for the wider market-against the economy's nominal output under the new GDP series, which has been tracked since FY23.
India's economic momentum accelerated in FY26, with real GDP growth climbing to 7.7% (up from 7.1% in FY25) and gross value added (GVA) rising to 7.9% from 7.3% the pr...
Click here to read full article from source
To read the full article or to get the complete feed from this publication, please
Contact Us.