India Inc's financial performance in 2011 when compared over 2010 (snapshot below), reveals some interesting facts and figures. Though there was a growth in topline by 22% the bottom line just advanced by 9.7% thanks to interest cost which increased by more than 30%. Interest rates have clearly hurt the companies in 2011 and is expected to hurt even more in financial year 2012. Hence at InvestorZclub, we believe that we might not see an EPS growth of more than 8% in FY12. As a result we might see a dull year in terms of returns from equity investments.
* Data collected for 3300+ companies