CRISIL – Research Pulse, Sep 2024

Corporate India is forecasted to see a healthy revenue growth of 9-10% in fiscal 2025, primarily driven by consumer discretionary products and services sectors with a boost from domestic demand. The consumer staples segment is also expected to see improved revenues due to a rebound in rural demand. However, commodity-based sectors may face pressure on their revenue streams. EBITDA margins are projected to expand between 19-20%, thanks to easing commodity prices relieving input cost burdens. Commercial vehicle sales are predicted to decline slightly, with MHCV sales seeing a larger drop compared to LCVs which will be supported by replacement volume. The passenger vehicle industry is expected to grow by 6-8% in fiscal 2024, driven by demand for existing and newly launched UV models, along with improved dealer networks and eased semiconductor shortages. Additionally, margin expansion is anticipated due to softening raw material prices and a better product mix.