Companies in India release their September quarter earnings around the Diwali festival, the high season for domestic consumption. The short-lived rout in Chinese stocks that followed President Xi Jinping’s ascendancy to a precedent-breaking third term came as a wake-up call. And when it comes to implementing a China+1 strategy, who has a deeper labor pool than India?The stock market is taking notice of the order flow. Nor will the stock market. However, the real lever that could swing things in favor of the second-most-populous nation lies with CEOs of Fortune 500 companies.
Anuj Tewari, CFO at Yulu, discussed with ETCFO the funding environment, the company’s future fundraising plans, and growth outlook. The company was looking for an electric mobility player and new geography, and Yulu resonated well with its plan. The business doubled not because of the scale, but due to better utilization of assets.Anuj Tewari: Yulu’s requirement for mobility is not linked to any business. So, Yulu, in the next phase of the evolution of its capital structure, will be going to add development or green loans. Today, investors are likely to allocate money to only sustainable business models and we should emerge winners out of this.Anuj Tewari: Yulu is sustainable not only environmentally but economically also.2 months ago ET CFO
Anglo-Dutch FMCG major Unilever on Thursday said it has witnessed "strong growth" in the Indian market in the July-September quarter of FY23. "India showed strong growth with double-digit pricing and positive volumes, supported by innovations and continued strength of its premium portfolio. China grew low single-digit as the market growth reflected some lockdown effects and remained more muted than in previous years," said Unilever.Unilever's detergent brand Surf Excel is "driving high growth in India fabric cleaning" segment, it said.Indonesia delivered price-driven, while Vietnam, the Philippines and Thailand delivered double-digit growth. "We have delivered growth in each of our five business groups, led by a strong performance from our 'billion+ Euro' brands, growing 14 per cent in the quarter. HUL 's total income increased 16.44 per cent during the quarter under review to Rs 15,253 crore.3 months ago ET CFO
India’s annual economic growth is forecast to slow to about 6% for a few years, according to economists including from Goldman Sachs Group Inc. and Barclays Plc.. And they say that’s not such a bad thing. Gross domestic product expansion at about 6% is a sweet spot for Asia’s third-largest economy to steer inflation back to the Reserve Bank of India’s target, and also to narrow budget and current account deficits, said Rahul Bajoria of Barclays. GDP probably rose 6.2% in the three months to September from a year ago, slowing from 13.51% in April-June, according to a Bloomberg survey of economists before Wednesday’s data.A slower growth in India would also be consistent with a much deeper global slowdown, said Saugata Bhattacharya, chief economist of Axis Bank Ltd . “The reduced demand will help control the current account deficit and enable a steeper glide path of inflation.”Economists in a Bloomberg survey forecast India to expand at 7% this fiscal year ending March, before slowing to 6.1% the year after. “Given the current levels of inflation, trade deficit and fiscal deficit , it would be better to consolidate for now rather than push for extra growth by stimulating domestic demand.”1 month ago ET CFO
“It is important that the inflation expectations are anchored closer to the policy target.”While the debate on India’s inflation centers around the headline consumer price inflation, it is the core measure that has troubled policymakers for years. Despite raising its main policy rate by 190 basis points this year, the RBI failed in its mandate to keep the retail number within its targeted 2%-6% range for nine straight months. More worryingly, the core measure has stayed above 6% for at least a year.“The food and fuel inflation are driven by the supply conditions and inelastic demand,” Bhide said. However, after the war shock, prioritizing inflation in policy became important. “I do not think it would have been necessary to act earlier”.3 months ago ET CFO
Georges Elhedery | HSBCGeorges Elhedery was promoted to finance chief of HSBC. Toal was most recently chief financial officer of e-commerce retailer Saatva. He spent over 16 years with women’s retailer New York & Company, where he held positions including chief operating officer, chief financial officer, chief accounting officer, and treasurer, culminating in his role as chief executive officer from 2020 to 2021. Earlier roles include CFO of freight forwarding company Flexport and vice president of finance for Walmart’s e-commerce business. Nooney is a 26-year veteran of the company and is currently its vice president corporate controller and treasurer.3 months ago CFO Magazine
Eleven percent said the economy is already in recession, according to the NABE survey. Companies are hiking prices, the survey of 55 NABE members found, as a decline in consumer spending erodes profit margins. Survey respondents identified rising interest rates and increasing cost pressures as the leading downside risks to the business outlook. A recent report by Fitch Ratings predicts the U.S. economy will slide into recession by Q2 2023, for example, while some NABE respondents believe a downturn has already started. Nearly a quarter of survey respondents (24%) reported a gap in unskilled labor at the firms, while 44% reported a shortage in skilled labor, according to the survey.3 months ago CFO Dive
According to a Bloomberg report last week, Instacart has cut its valuation almost in half since March, to $13 billion. The Renaissance IPO Index has returned 51% for the year as of Thursday’s close. The market highly anticipated Intel’s self-driving unit Mobileye to price its IPO this week, but that didn’t happen. The deal that was supposed to reopen the IPO window was the IPO of AIG’s retirement services business, Corebridge Financial. A report from Renaissance noted two historical IPO slowdowns in the past 20 years.3 months ago CFO Magazine