Profits of PSUs fell in 2015

Except power generation, PSUs in other sectors reported a fall in profits or a rise in losses during 2014-15 compared with the previous year

GN Bureau | October 22, 2016


#PSUs   #fall in profit   #rise in losses  

 For the first time in five years, the profits of India’s state-owned companies dropped, by about 20 percent in 2015. According to the government data 77 public-sector undertakings (PSUs) reported losses and contribution to the exchequer dropped Rs 20,000 crore over the previous year.

The drop in profits – from Rs 1.28 lakh crore to Rs 1.03 lakh crore – over 2013-'14 comes in the backdrop of prime minister Narendra Modi’s 2016 Independence-day declaration that a “new culture” had helped Air India and telecom company Bharat Sachar Nigam Limited improve performance.
 
As many as 235 PSUs surveyed by the ministry of heavy industries and public enterprises have seen drop in profits in a year that India’s economy grew 7.3 percent over 4.7 percent in 2013-14.
 
Except power generation, PSUs in other sectors reported a fall in profits or a rise in losses during 2014-15 compared with the previous year.
Contribution to the exchequer 
 
The government’s companies contributed Rs 20,000 crore less to the public exchequer in 2014-15 than they did the previous year, when they generated Rs 2.2 lakh crore. Even the top profit-making PSUs – companies such as ONGC, Coal India Ltd, Indian Oil and NTPC – saw a 13 percent dip in profits.
 
A leading reason for the decline in profits was the global slowdown and weakening of international oil prices, leading to a 29 percent fall in export earnings and affecting manufacturing companies.
 

Comments

 

Other News

Ransomware 2.0 hits India, Europe

Barely a month after the global Wannacry cyber hack, a new variant of ransomware malware has locked systems across several European countries and India. Petya, as cyber researchers call it, uses vulnerability in the Microsoft’s Windows system, and encrypts the computer files. It is understo

Threat still there to Niyamgiri: Green Nobel winner Prafulla Samantra

Prafulla Samantra, a social activist from Odisha has bagged the Goldman Environmental Prize, described as the Green Nobel Prize, for his long struggle to save the Niyamgiri hills from bauxite mining. He received the award in San Francisco in April 2017. He had fought the Niyamgiri issue right up to the Sup

What kind of ally should India consider the US?

What kind of ally should India consider the US?

US action on Hizb chief dampens Kashmiri separatists’ spirits

The USA declaring Hizbul Mujahideen chief Syed Salahuddin as a specially designated global terrorist may not take the sting out of terrorists’ plans in Kashmir immediately but it has given a huge setback to Kashmiri separatists who had always hoped for American intervention in the Indo-Pak standoff o

Music is universal. It has no language: Vani Jairam

Vani Jairam’s childhood dream of becoming a playback singer was realised when veteran film music composer Vasant Desai gave her the opportunity to sing Bole Re Papi Hara and two other songs in the movie Guddi. After that, the multilingual singer went on to sing for eminent music per

Should there be death penalty for those involved in lynching?

Should there be death penalty for those involved in lynching?





Video

मुंबई बम ब्लास्ट के आरोपी की मौत

Current Issue

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter