Finances of Non-Government Non-Financial Private Limited Companies, 2024-25

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Today, the Reserve Bank released the data relating to financial performance of non-government non-financial (NGNF) private limited companies during 2024-25 (https://data.rbi.org.in/#/dbie/reports/Statistics/Corporate%20Sector/Non-Government%20Non-Financial%20Private%20Limited%20Companies) based on audited annual accounts of select 15,919 companies reported in the Indian Accounting Standards (Ind-AS) format for three accounting years from 2022-23 to 2024-25, received from the Ministry of Corporate Affairs, Government of India, which is the primary source of these data.

Total paid-up capital (PUC) of these companies amounted to ₹8,44,198 crore as at end March 20251, which covered 40.3 per cent of the total PUC of NGNF private limited companies.

Highlights

Sales

• Net sales of NGNF private limited companies increased by 11.4 per cent in 2024-25 as compared to 11.7 per cent in the previous year (Statement 1).

• Services sector recorded 13.5 per cent growth in net sales during 2024-25, driven by “Trade - wholesale & retail”, “Real Estate” and “Transport and Storage services” sub-sectors. Sales growth in manufacturing sector moderated marginally to 9.2 per cent in 2024-25 from 9.4 per cent in the previous year (Statement 7).

• The ratios of net sales to both gross fixed assets and total net assets decreased in 2024-25 (Statement 2).

Expenditure

• At the aggregate level, operating expenses increased relatively at higher rate in 2024-25 as compared to the previous year driven by manufacturing expenses and remuneration to employees (Statement 1).

• Remuneration to employees increased for services sector while it moderated for manufacturing sector (Statement 7).

Profit

• Operating profit and profit after tax continued to show double digit growth in 2024-25 on the top of high growth in the preceding year (Statement 1).

• Net profit margin and return on equity (profit after tax to net worth) improved during 2024-25 mainly due to services sector (Statements 2 and 8).

Leverage

• The leverage (measured in terms of debt-to-equity ratio) of the sample companies declined at aggregate level as well as across major sectors during 2024-25 (Statements 2 and 8).

• Interest coverage ratio2 (ICR) improved to 3.2 in 2024-25 from 3.0 in the previous year, indicating enhanced debt-servicing capacity (Statement 2).

• Industry-wise, ICR of services sector improved whereas it was marginally lower for manufacturing sector (Statement 8).

Sources and Uses of Fund

• During 2024-25, the share of external sources of funds in total funds increased to 53.6 per from 52.3 per cent in previous year largely due to current liability (Statement 5A).

Investment

• Gross capital formation (which includes fixed assets and inventories) accounted for 48.2 per cent of total fund usage, up from 45.3 per cent in the previous year (Statement 2).

• Current investments in current assets increased during 2024-25 as compared to the previous year (Statement 5B).

Explanatory notes to the statements are given in the Annex.

Ajit Prasad          
Deputy General Manager
(Communications)    

Press Release: 2026-2027/80

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1 The previous data release in the series was published on February 24, 2025. It covered 11,317 companies for the years 2021-22 to 2023-24, with total PUC of ₹6,55,009 crore (32.2 per cent of total PUC of NGNF private limited companies) at end-March 2024.

2 ICR (ratio of earnings before interest and tax to interest expenses) is a measure of debt servicing capacity of a company. The minimum value for a viable ICR is 1

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