Automobile, Cement sector leads the way in Q4 amidst margin pressures

Ambuja-Cement-maruti-suzukiBanking on factors like low interest rates and high sales, companies like Ambuja Cement and Maruti Suzuki are clearly leading the pack as far as the results for the Q4 are concerned.

Notably, both the giants have grown at the fastest pace in 18 months, with net profits doubling from a year earlier levels. However, the margin pressures and high input costs are a cause of concern for the automobile and the cement sector going forward.

On the other, companies like consumer goods makers such as Godrej Consumer are struggling to clock higher revenues because of factors like rise in prices with the backing of low disposable incomes.

An analysis of the results announced so far excluding the ones in the financial and oil sectors, clearly shows that the revenue figures rose by around 35% which is the highest after the September 2008 quarter that saw the fall of Lehman Brothers.

However, the rising inflation still remains as a concern as far as the growth of the Indian economy is concerned. But the results have been standing up to the expectations till now and experts expect the scenario to continue even in the coming weeks.