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- Profitable Nifty50 companies experienced a remarkable 27% increase in their combined profit after tax (PAT) in FY24, reaching Rs 8.14 lakh crore, up from Rs 6.39 lakh crore in the previous year. The top 10 companies contributed nearly 60% of the total profit for Nifty50 stocks.
- India Inc. delivered a strong performance in the financial year 2023-24 (FY24), with the combined PAT for the top 50 companies in the Nifty50 index soaring 27% to Rs 8.14 lakh crore, compared to Rs 6.39 lakh crore in FY23. Nearly all companies in the Nifty50 saw profits, with only one company reporting a loss during the year. The top 10 companies alone were responsible for almost 60% of the total profits. Here’s an overview of India’s top 10 most profitable companies in FY24 and how their stocks performed over the past year.
1. Reliance Industries:
- Reliance Industries, led by billionaire Mukesh Ambani, has claimed the top spot as India’s highest-earning publicly listed company for the financial year 2023-24 (FY24), reporting an annual profit after tax (PAT) of Rs 78,633 crore. This marks a 7% increase from Rs 73,646 crore in FY23. Reliance remains India’s most valuable company, with a current market capitalisation (m-cap) of Rs 20.71 lakh crore as of June 27, 2024. Over the past year, investors have enjoyed a 23% return on Reliance stock.
2. State Bank of India:
- State Bank of India (SBI), India’s largest public sector bank, has secured the second position as the most profitable company with an annual profit after tax (PAT) of Rs 68,138 crore in FY24. This marks a 20% increase from Rs 56,558 crore in the previous fiscal year. As of June 27, 2024, SBI boasts a market capitalisation (m-cap) of Rs 7.53 lakh crore. Over the past 12 months, investors have seen a remarkable 49% increase in the value of SBI’s stock.
3. HDFC Bank:
- This private bank achieved a remarkable 42% increase in its annual profit, reaching Rs 65,446 crore in FY24. With a current market capitalisation of Rs 12.91 lakh crore, the bank’s stock has delivered a modest 2% return over the past year.
4. Oil & Natural Gas Corporation:
- This government-owned company in the petroleum sector experienced an outstanding 61% growth in profits, reaching a PAT of Rs 54,705 crore in FY24. Over the past year, its stock has surged by 70%, reflecting an impressive market capitalisation of Rs 3.37 lakh crore.
5. Tata Consultancy Services:
- TCS, the flagship company of the Tata group, ranks fifth among India’s most profitable companies. Its profits increased by 9%, reaching Rs 46,099 crore in FY24. Over the past year, TCS stock has delivered a robust 23% return, reflecting its current market capitalisation of Rs 14.23 lakh crore.
6. ICICI Bank:
- Ranking sixth, the company recorded a PAT of Rs 45,006 crore, marking a 31% increase from Rs 34,463 crore in FY23. As the second-largest private lender, it boasts a market capitalisation of Rs 8.58 lakh crore, with its stock rising by 31% over the past year.
7. Indian Oil Corporation:
- This petroleum sector PSU reported a profit of Rs 41,615 crore in FY24, reflecting a 284% increase from Rs 10,842 crore in the previous year. The stock’s market capitalisation stands at Rs 2.31 lakh crore, delivering an impressive 83% return over the past 12 months.
Conclusion
- These companies have demonstrated strong profitability, with tech giants like Apple, Microsoft, and Alphabet leading the pack. Their stock performances over the past year have been consistently solid, reflecting their robust financial health and dominant market positions. For example, Nvidia’s stock experienced an extraordinary return of over 200%, fueled by advancements in AI and GPU technology. Companies in the financial and energy sectors, such as JPMorgan Chase and Exxon Mobil, also posted significant returns, showcasing the resilience and adaptability of various industries amid economic challenges.
- Investors should view these companies’ strong profitability and impressive stock performance as clear indicators of their ability to navigate economic fluctuations and deliver long-term value.
