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India Inc may face cost pressure

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Amriteshwar Mathur Mumbai
India Inc may face cost pressure
Amriteshwar Mathur / Mumbai April 10, 2006
Analysts expect operating, net profit to be lower than sales growth in Q4.

All eyes are now on the fourth- quarter results of Indian companies, which will start flowing in this week. The Sensex is near its all-time high and corporate performance this quarter will decide whether stock prices are too high.

As far as market expectations are concerned, analysts estimate this quarter to be better than the previous two quarters for India Inc in terms of top line growth due to robust demand.

But cost pressures could result in lower growth in operating and net profit, both of which are expected to be lower than net sales growth.

For the March 2006 quarter, analysts

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First Published: Apr 10 2006 | 12:14 AM IST

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