Profit, sales, costs: signs of improvement, says IIM-A survey of Indian business

By A Representative
The Indian Institute of Management-Ahmedabad's (IIM-A's) latest Business Inflation Expectations Survey (BIES) has said that the cost perceptions data clearly indicates easing of cost pressures. "Around 53% of the participating firms in the survey perceive significant (over 6%) cost increase, down significantly from 65% reported in the earlier round of the survey", it notes.
Suggesting signs of improvement in business expectations, the survey states, "The percentage of firms perceiving over 10% cost increase y-o-y has further declined. Over 24% of the firms in July 2022 round of the survey perceive that costs have increased very significantly (over 10%) – down sharply from 36% recorded in April 2022."

Based on responses of around 1,100 companies, the survey says, "Firms’ sales expectations show signs of improved optimism. Percentage of firms reporting ‘somewhat less than normal’ sales has declined further to 26% in July 2022 from 28% reported in June 2022", adding, "Around 15% of the firms in July 2022 report that sales are ‘somewhat greater than normal’, up from 11% reported in June 2022."
Conducted by the Misra Centre for Financial Markets and Economy at the IIM-A, it continues, "Profit expectations show signs of improved optimism, adding, "About 1/4th of the participating firms in the survey perceive profit margins to be about normal – sharply up 16% reported in the earlier round of the survey."

BIES claims to provide ways to examine the amount of slack in the economy by polling a panel of business leaders about their inflation expectations in the short and medium term. A monthly survey, it asks questions about year-ahead cost expectations and the factors influencing price changes, such as profit, sales levels, etc.
Claiming to be unique as it goes straight to businesses -- the price setters -- rather than to consumers or households, to understand their expectations of the price level changes, the survey says, "One major advantage of BIES is that one can get a probabilistic assessment of inflation expectations and thus get a measure of uncertainty."

The survey asserts, one year ahead business inflation expectations in July 2022 have "further declined by 34 bps to 4.83% from 5.17% reported in June 2022. Business inflation expectations have dropped below 5% after 17 months." However, the uncertainty of business inflation expectations in July 2022 "has remained around 2%, same as reported during February-June 2022."

Comments

Anonymous said…

nice

October 10, 2022

From algorithms to exploitation: New report exposes plight of India's gig workers

By Jag Jivan The recent report, "State of Finance in India Report 2024-25," released by a coalition including the Centre for Financial Accountability, Focus on the Global South, and other organizations, paints a stark picture of India's burgeoning digital economy, particularly highlighting the exploitation faced by gig workers on platform-based services.

'Condonation of war crimes against women and children’: IPSN on Trump’s Gaza Board

By A Representative The India-Palestine Solidarity Network (IPSN) has strongly condemned the announcement of a proposed “Board of Peace” for Gaza and Palestine by former US President Donald J. Trump, calling it an initiative that “condones war crimes against children and women” and “rubs salt in Palestinian wounds.”

India’s road to sustainability: Why alternative fuels matter beyond electric vehicles

By Suyash Gupta* India’s worsening air quality makes the shift towards clean mobility urgent. However, while electric vehicles (EVs) are central to India’s strategy, they alone cannot address the country’s diverse pollution and energy challenges.

Jayanthi Natarajan "never stood by tribals' rights" in MNC Vedanta's move to mine Niyamigiri Hills in Odisha

By A Representative The Odisha Chapter of the Campaign for Survival and Dignity (CSD), which played a vital role in the struggle for the enactment of historic Forest Rights Act, 2006 has blamed former Union environment minister Jaynaynthi Natarjan for failing to play any vital role to defend the tribals' rights in the forest areas during her tenure under the former UPA government. Countering her recent statement that she rejected environmental clearance to Vendanta, the top UK-based NMC, despite tremendous pressure from her colleagues in Cabinet and huge criticism from industry, and the claim that her decision was “upheld by the Supreme Court”, the CSD said this is simply not true, and actually she "disrespected" FRA.

Over 40% of gig workers earn below ₹15,000 a month: Economic Survey

By A Representative The Finance Minister, Nirmala Sitharaman, while reviewing the Economic Survey in Parliament on Tuesday, highlighted the rapid growth of gig and platform workers in India. According to the Survey, the number of gig workers has increased from 7.7 million to around 12 million, marking a growth of about 55 percent. Their share in the overall workforce is projected to rise from 2 percent to 6.7 percent, with gig workers expected to contribute approximately ₹2.35 lakh crore to the GDP by 2030. The Survey also noted that over 40 percent of gig workers earn less than ₹15,000 per month.

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

Stands 'exposed': Cavalier attitude towards rushed construction of Char Dham project

By Bharat Dogra* The nation heaved a big sigh of relief when the 41 workers trapped in the under-construction Silkyara-Barkot tunnel (Uttarkashi district of Uttarakhand) were finally rescued on November 28 after a 17-day rescue effort. All those involved in the rescue effort deserve a big thanks of the entire country. The government deserves appreciation for providing all-round support.

Budget 2026 focuses on pharma and medical tourism, overlooks public health needs: JSAI

By A Representative Jan Swasthya Abhiyan India (JSAI) has criticised the Union Budget 2026, stating that it overlooks core public health needs while prioritising the pharmaceutical industry, private healthcare, medical tourism, public-private partnerships, and exports related to AYUSH systems. In a press note issued from New Delhi, the public health network said that primary healthcare services and public health infrastructure continue to remain underfunded despite repeated policy assurances.

Death behind locked doors in East Kolkata: A fire that exposed systemic neglect

By Atanu Roy* It was Sunday at midnight. Around 30 migrant workers were in deep sleep after a hard day’s work. A devastating fire engulfed the godown where they were sleeping. There was no escape route for the workers, as the door was locked and no firefighting system was installed. Rules of the land were violated as usual. The fire continued for days, despite the sincere efforts of fire brigade personnel. The bodies were charred in the intense heat and were beyond identification, not fit for immediate forensic examination. As a result, nobody knows the exact death toll; estimates are hovering around 21 as of now.

Search This Blog