The profitability of consumer goods companies has tailed off owing to a rally in commodity prices and lower or slower than expected recovery in demand from the Covid-19 shock last financial year.

       The combined profit share of companies in sectors such as auto, fast-moving consumer goods (FMCG), consumer durables, fashion, and quick-service restaurants declined to a 10-year low of 7.7 per cent (among the companies under review) in the first half of FY22 against a pre-pandemic high of 15.4 per cent in H2FY18. The analysis is based on the half-yearly numbers of 4,166 listed companies, ...