India Inc Strikes Back

It was a good year for Corporate India. Soaring profits, good top line growth and an exciting show on the bourses. THE YEAR 2003 witnessed t...

It was a good year for Corporate India. Soaring profits, good top line growth and an exciting show on the bourses. THE YEAR 2003 witnessed the resurgence of the industrial sector. Corporates have now lined up investments worth Rs 50,000 crore in 2004. So don8217;t get surprised if you hear a lot from them next year.

Performance par excellence

Corporates are expected to report a 25-40 per cent rise in profits for the year 2003-04. On the other hand, sales and other income are also set to rise by nearly 11 per cent. Reliance Industries continued to dominate corporate India with their hand in almost every pie related to core sector.

It8217;s mine

He is the Big B of the Indian business. The 36-year old Kumar Mangalam Birla, son of late Aditya Vikram Birla took over Larsen 038; Toubro8217;s cement unit is the mega deal of the year. The acquisition is expected to cost the Birlas around Rs 2,200 crore. You can expect some more surprises from the young birla next year.

Not a way to exit

The Britannia board, controlled by Nusli Wadia, sacked its managing director Sunil Alagh for allegedly siphoning off almost Rs 1 crore from the company. The Wadias accused Alagh of living a lavish lifestyle at the company8217;s expense. Alagh did not fight back. DS Brar, managing director of Ranbaxy, was also shown the door but it was more honourable than Alagh8217;s.

We8217;re back

Automobile, steel, petrochemical and textile were the success stories of the year. They showed a fabulous growth during the year and came out a years long recession. 35-year old Prasant Ruia, son of Shashi Ruia of Essar Steel, took over as the managing director of the company.

Still in red

Private sector insurance companies, cellular companies and aviation companies are still making huge losses in spite of the government relaxing norms. Cellular phone companies alone have accumulated losses of Rs 10,000 crore. Next year only the fittest will survive while the rest will be out.

Car Wars

Car companies celebrated the arrival of the new consumer who is on a shopping spree. Car sales jumped almost 40 per cent 8212;thanks to cheap loans, heavy discounts and sleek models. Telco was the turnaround company of the year with its Indigo model selling as good as its Indica model.

Stuck forever

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Dabhol Power Company is a shining example of inefficiency, lack of planning and corruption. The plant continued to remain closed for the third year in a row when Maharashtra continues to remain power deficit of almost 2,000 mw. Will 2004 see DPC producing power again? Don8217;t bet a single penny.