RBI Reports 13.9% Sales Growth in Private Corporate Sector Q4

The Reserve Bank of India (RBI) reported a 13.9% year-on-year sales growth for listed private non-financial companies in Q4 2025-26, up from 10.1% in the previous quarter. This data, based on financial results of 3,266 companies, highlights growth across manufacturing, IT, and non-IT services sectors.

Manufacturing companies saw a 14.5% sales growth, driven by industries like automobiles, electrical machinery, and non-ferrous metals. IT companies recorded a 9.9% growth, while non-IT services companies experienced a significant 20.3% increase, supported by wholesale and retail trade.

However, rising raw material costs impacted manufacturing companies, with expenses increasing by 18.3% year-on-year. The raw material-to-sales ratio rose to 58.5% in Q4, reflecting input cost pressures. Staff costs in manufacturing grew at a slower 9.8%, while non-IT services staff costs rose by 8.9%.

Operating profit growth for manufacturing companies moderated to 9.4%, while IT and non-IT services companies saw improvements at 14.1% and 6.5%, respectively. Interest coverage ratios improved for manufacturing firms but remained stable for non-IT services.

The RBI's data provides a detailed view of the private corporate sector's performance, offering insights into sectoral trends and financial health amid global uncertainties.

Key Points
- Private non-financial companies saw 13.9% sales growth in Q4 2025-26.
- Manufacturing sector sales grew 14.5%, led by key industries.
- IT companies recorded 9.9% sales growth; non-IT services grew 20.3%.
- Raw material costs for manufacturers rose 18.3%, increasing cost pressures.
- Operating profit growth moderated for manufacturers but improved for IT.

FAQ

What was the sales growth for private companies in Q4 2025-26?
The sales growth was 13.9% year-on-year, up from 10.1% in the previous quarter.

Which sectors drove the manufacturing sales growth?
Automobiles, electrical machinery, and non-ferrous metals led the growth.