India’s Top 500 Companies 2019

INDIA’S TOP 500 COMPANIES 2019 86 Presently, Top 500 companies contribute to more than 18.5% of the nation’s GVA, and have a consequential impact on the Indian economy. The 2019 edition of the India’s Top 500 Companies publication features 301 companies classified under manufacturing/industry, which collectively accounted for around 55-70% of the aggregate value of total income, net profit and aggregate market capitalisation of the universe of Top 500 Companies. Service sector companies (151 companies) accounted for nearly 30-40% of the aforementioned parameters. On the other hand, 48 companies from agro-based sectors contributed to merely 2-4% of the aggregates. Source: Data collected from various sources including NSSO 73rd round, 5th & 6th Economic Census, MOSPI, Ministry of Corporate Affairs, RBI and D&B Analysis. Note: All figures are rounded off/ approximated. *includes other government activities such as railways, post offices etc. All Data is for FY16; data for Top 500 is for FY18. CONTRIBUTION OF TOP 500 COMPANIES TO INDIA’S GDP The Top 500 firms alone contribute 1 out of every 5 Rupees to India’s GDP 100% = US$ 2.6 tn 20% 80% No. of Entities 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 500 5500 27 million 81 million 19% 10% 35% 16% 80% = + + + 2.5 % Contribution to GDP Total GDP Crop, Public administration & defence* Economic entities Six out of top 10 Sectors Post Double-Digit Growth in Total Income in FY18 In FY18, India’s Top 500 Companies reported a 9.2% growth in the aggregate total income. However, the aggregate net profit declined by 4.2%. The decline in the aggregate profits can largely be attributed to the writing off of NPAs by the Banking Sector, which is the second largest sector in the universe of Top 500 companies in terms of total income. The top 10 sectors in terms of total income accounted for about 67.2% of the aggregate total income of the Top 500 Companies; during FY18, their collective total income reflected a 10.8% growth. Of these, the two largest sectors, namely Oil – Refining &Marketing and Banking (collectively accounting for 40.8% of aggregate total income) posted 9-13% growth. The Iron & Steel sector posted a more than 16.8% rise in income in FY18. The growth is backed by the rising investments, strong demand from infrastructure sector and initiatives by the government such as the introduction of National Steel Policy 2017. Six of the 10 sectors witnessed a double-digit growth in total income in FY18. Growth of the Software & BPM and Power sectors hovered at 6-9% in FY18. while the Pharmaceuticals sector posted a decline in the total income during the year. Dun & Bradstreet