Investing in bank, auto, healthcare, metal or IT stocks? Check how different sectors of Nifty 500 fared in Q1 2025
Data from a Bank of Baroda report shows that the aggregate sales and net profit of 3,000 companies grew at 7.7% and 3.5%, respectively, on a year-on-year (y-o-y) basis. These numbers witnessed a growth rate of 2.3% and 37.1%, respectively, in the corresponding quarter of the previous year.
Most of the growth has been contributed by the banking and financial services sector. The sector has benefitted from an uptick in business upcycle and registered a robust performance on all financial metrics. Excluding this, the sales growth of 2,539 companies softened to 5.2%, whereas the net profit registered a decline of 3.1%. “The continued drag on sales growth is alarming as it signals weak domestic demand,” the report states.
The benchmark Bloomberg Commodity Index, which tracks the global prices of oil, natural gas, copper, zinc and other commodities, grew by 1.5% between 31 March and 30 June this year. In terms of y-o-y growth based on the average index values, the index was flat (-0.08%) between the June 2023 and June 2024 quarters.
Looking at the performance of the Nifty 500 index companies, despite the overall weak trend, the majority of the companies improved their y-o-y EBITDA margins. Out of 392 (ex-financial) companies, 55%, or 217, improved operating profit margins.
However, the beat-to-miss ratio turned unfavourable. There are 196 companies in the Nifty 500 index for which earnings estimates (for the June quarter) were compiled by Reuters-Refinitiv for at least two analysts. Out of these, 56%, or 109,
