Top 10 Profit Making Listed Companies FY21-22

Introduction: In an uncertain economic environment marred by high inflation rate; anticipated interest rate hike; 3rd wave of pandemic; FPIs withdrawing funds from capital markets; higher crude oil prices; bond yields moving up; Russia-Ukraine war etc. - the top 10 profit making listed Indian companies fared very well in FY21-22, and also during the liquidity driven equity markets. The positive indicators were inoculation of Indian adult populace through indigenously produced vaccines, forex reserves crossing USD 600 billion mark, free food-grain supplies to 800 million people, commencement of defence exports, infrastructure growth, fiscal deficit remaining well below double digit mark, among others.

Let's take a look at the following data, which shows top 5 companies in terms of market cap are from private sector, whereas two are PSUs and the other one is PSB. On the other hand, top 2 profit making companies are from private sector, whereas 3rd, 6th and 7th ranks are held by ONGC, SBI and IOC, respectively. On perusal of the profit growth registered by these 10 companies, it is noticed that Tata Steel and ONGC led the pack with 410% and 258% NP growth over previous year, respectively, whereas IOC registered 16% growth over last year. In other words, the %age net profit growth range has been wider for these top 10 companies, ranging from 16% to 410% during FY21-22.

(Rs in Crore)

Name of the Company	Turnover / Sales FY20-21	Turnover / Sales FY21-22	Net Profit FY20-21	Net Profit FY21-22	Equity Capital as on 31.03.2022	​Earnings per Share EPS as on 31.03.2022	Market capitalisation as on 26.05.2022
​Reliance Industries Ltd	466,307	699,962	49,128	60,705	6,765	89.7	1,750,293
Tata Steel Ltd	156,477	243,959	8,190	41,749	1,221	332.4	128,449
ONGC Ltd	75,284	116,860	11,246	40,306	6,290	32.0	191,090
TCS Ltd	167,311	195,772	32,562	38,449	366	105.1	1,181,361
HDFC Bank Ltd	146,063	157,263	31,117	36,961	555	66.7	758,692
State Bank of India	308,647	316,021	20,410	31,676	892	35.5	418,564
Indian Oil Corporation Ltd	363,950	589,336	21,638	25,102	9,181	27.3	107,604
Vedanta Ltd	91,442	135,332	15,033	23,709	372	50.7	116,432
ICICI Bank Ltd	98,087	104,892	16,193	23,339	1,390	33.6	506,478
Infosys Ltd	88,379	107,164	18,048	21,235	2,103	50.5	599,119

Another interesting information is the listing year of each of these 10 companies. Tata Steel, RIL, Infosys, ONGC, SBI, HDFC Bank, IOC, ICICI Bank, Vedanta and TCS got listed on respective stock exchanges in 1937, 1977, 1993, 1994, 1994, 1995, 1996, 1998, 2003 and 2004, respectively. The parent company of ICICI Bank was Industrial Credit and Investment Corporation of India Ltd (ICICI Ltd), which got listed in 1980s and subsequently reverse merged with ICICI Bank in the year 2001. Last but not the least, each of these ten companies have registered growth in top line during FY21-22 over previous year. IOC recorded a sales growth of 62% followed by Tata Steel, ONGC, RIL, and Vedanta with 56%, 55%, 50%, 48% sales growth, respectively. The higher sales growth of Oil extraction or Oil marketing companies, namely, IOC, ONGC, and RIL could be attributed to higher crude oil prices.

Please keep watching this space for more updates on the Capital Markets!