Domestic Mining and Construction Equipment Industry May Decline in FY 2024-25, Know Why – India TV Hindi

    Domestic mining and construction equipment industry may decline - India TV Paisa

Image: File Domestic mining and construction materials industries may decline.

The domestic mining and construction equipment industry may face pressure in the current financial year. Rating agency ICRA reported this on Thursday. According to the rating agency, a slowdown in new projects amid the Lok Sabha elections and the impact of monsoon on construction activity could lead to a slowdown in the domestic mining and construction equipment (MCE) industry in the current fiscal year 2024-25.

How much can be reduced?

Rating agency ICRA on Thursday said ICRA expects a decline of 12-15 per cent (i.e. 1.14-1.18 lakh units) on an annualized basis in FY 2024-25. Strong growth of 26 percent in FY 2022-23 and 24 percent in FY 2023-24 was recorded for two consecutive years.

Lack of projects will be the reason for this.

ICRA Area Head (Corporate Ratings) Ritu Goswami said the sell-off in the first half was due to disruption in project activity in two consecutive quarters between the Lok Sabha elections and monsoon-related impact on construction activity in the second quarter. is likely to decrease. The financial year 2024-25 is in doubt.

According to the statement, “The model code of conduct will remain in force for the April-May 2024 parliamentary elections (until the declaration of results on June 4, 2024), which will lead to the implementation of the new rules in the fourth quarter. FY 2023- 24 and the first quarter of the financial year 2024-25.” Projects will slow down.” It said, “Also, the total revenue of the companies surveyed by ICRA is expected. 9 to 12 percent in FY 2024-25 and a decline of 100-150 basis points in ‘operating margin’.

Latest business news.

Leave a Comment