Q2 results review: Corporate earnings decline, a first in two years

Net sales growth weakest in a year, too; BFSI sector emerges an outlier

India Inc continued to grapple with muted revenue growth in the September 2024 quarter (Q2FY25) and witnessed a decline in margins and profits. The headwinds were especially severe for non-financial companies, while banking, financial services, and insurance (BFSI) firms significantly outpaced the rest of the corporate sector.

 

The total profit of 1,353 listed companies that have released their Q2FY25 results thus far dropped by 0.6 per cent year-on-year (Y-o-Y) — the first cumulative earnings decline in eight quarters. For comparison, these firms posted a robust 47.4 per cent Y-o-Y increase in net profit in Q2FY24 and a smaller but positive