Latest news with #FlashIndiaManufacturingPMI
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Business Standard
9 hours ago
- Business
- Business Standard
Private sector business activity rises to 14-month high in June: PMI data
India's private sector output grew at its fastest pace in 14 months in June, helped by faster increases in total new business intakes and international sales, showed a private survey on Monday. HSBC's flash India Composite Purchasing Managers' Index (PMI), compiled by S&P Global, rose to 61, up from a downward revised figure of 59.3 in May. The index, which measures monthly change in the combined output of manufacturing and services, has been above the 50-mark that separates growth from contraction for the 47th consecutive month. 'Manufacturers led the upturn in business activity, though growth also picked up pace in the service economy. Rates of increase were at two- and ten-month highs, respectively. According to panellists, output was boosted by favourable demand trends, efficiency gains and tech investment,' said the survey. The HSBC Flash India Manufacturing PMI rose to 58.4 in June from 57.6 in May. The latest figure – a weighted average of new orders, output, employment, suppliers' delivery times and stocks of purchases indices –signalled the best improvement in operating conditions since April 2024. 'New business placed with goods producers and service providers increased at the end of the first fiscal quarter, with the faster upturn among the former. At the composite level, the rate of expansion was the strongest seen since July 2024,' said the survey. Pranjul Bhandari, chief India economist at HSBC, said the flash PMI for May indicates strong growth in June as new export orders continued to fuel private sector business activity, especially in manufacturing. 'Meanwhile, the combination of robust global demand and rising backlogs prompted manufacturers to increase hiring. Employment growth is also healthy in the services sector despite slightly weakening on a sequential basis from May to June. Finally, input and output prices continued to rise for both manufacturing and services firms, but rates of increase showed signs of softening,' added Bhandari. Flash PMI records 75 per cent to 85 per cent of the 800 responses from services and manufacturing firms each month. The final manufacturing PMI figure for June will be released on July 1, while the services and composite PMI figures will be released on July 3. 'June data showed an intensification of capacity pressures among Indian companies. Outstanding business volumes rose at a modest pace that was faster than in May and a tick above its long-run average. Moreover, the current sequence of rising backlogs was extended to three-and-a-half years. Rates of accumulation were broadly similar among manufacturing firms and their services counterparts,' the survey read. On the employment front, the survey noted that the combination of demand strength and rising backlogs prompted Indian companies to recruit additional staff in June as anecdotal evidence indicated that both full- and part-time employees were hired for permanent and temporary positions. The employment growth reached a series peak in the manufacturing industry, while service providers signalled a slower upturn in job creation than in May.
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Business Standard
22-05-2025
- Business
- Business Standard
Private sector business activity rises to 13-month high in May: PMI data
India's private sector output grew at its fastest pace in 13 months in May, helped by a sharp rise in services that prompted the sector to employ more people, said a private survey on Thursday. HSBC's flash India Composite Purchasing Managers' Index (PMI), compiled by S&P Global, rose to 61.2, up from a downward revised figure of 59.7 in April. The index, which measures monthly change in the combined output of manufacturing and services, has been above the 50 mark that separates growth from contraction for the 46th consecutive month. "The increase was the most pronounced since April 2024. There was a mild loss of growth momentum in the manufacturing industry but service providers reported the fastest rise in output in 14 months," said the survey. The HSBC Flash India Manufacturing PMI was at 58.3 in May, little changed from April's reading of 58.2. The latest figure – a weighted average of new orders, output, employment, suppliers' delivery times and stocks of purchases indices –was consistent with a sharp improvement in the health of the sector. 'While goods producers indicated the slowest increase in output for three months during May, service providers reported the fastest rise since March 2024. At the composite level, the latest upturn was the quickest in just over a year. Monitored companies attributed growth to buoyant demand, investment in technology and expanded capacities,' said the survey. Pranjul Bhandari, chief India economist at HSBC, said the flash PMI for May indicates another month of strong economic performance as growth in production and new orders among manufacturing firms remains robust, despite a marginal cooling from the rates of increase observed in April. 'Notably, there is a firm pick up in employment, especially in the service sector, suggesting healthy job creation accompanies the expansion of both India's manufacturing and service sectors," she said. Flash PMI records 75 per cent to 85 per cent of the 800 responses from services and manufacturing firms each month. The final manufacturing PMI figure for May will be released on June 2; services and composite PMI figures will be released on June 4. 'May data showcased reduced pressure on the operating capacities of Indian private sector companies, as outstanding business volumes rose at the slowest pace since September 2024. Service providers noted the weakest increase in backlogs for eight months and goods producers signalled no change since April,' said the survey. Composite PMI Output Index Flash Final Jan 2024 61 61.2 Feb 61.5 60.6 March 61.3 61.8 April 62.2 61.5 May 61.7 60.5 June 60.9 60.9 July 61.4 60.7 Aug 60.5 60.7 Sep 59.3 58.3 October 58.6 59.1 November 59.5 58.6 December 60.7 59.2 January 2025 57.9 57.7 February 60.6 58.8 March 58.6 59.5 April 60 59.7 May 61.2 Source: HSBC
Business Standard
22-05-2025
- Business
- Business Standard
India's private sector PMI grows to 61.2 in May
Private sector growth in India moved up a gear during May, boosted by an acceleration in the service economy. Strong influxes of new business, both from domestic and international markets, induced quicker expansions in business activity and employment. There was also an improvement in business confidence for the first time since January. In terms of inflation, the HSBC flash PMI data revealed the fastest increases in input costs and output charges since late 2024. At 61.2 in May, up from 59.7 in April, the HSBC Flash India Composite Output Index a seasonally adjusted index that measures the month-on-month change in the combined output of India's manufacturing and service sectors showcased a sharp rate of expansion in private sector activity. The increase was the most pronounced since April 2024. There was a mild loss of growth momentum in the manufacturing industry but service providers reported the fastest rise in output in 14 months. The HSBC Flash India Manufacturing PMI was littlechanged from April's reading of 58.2. At 58.3 in May, the latest figure was consistent with a sharp improvement in the health of the sector. While goods producers indicated the slowest increase in output for three months during May, service providers reported the fastest rise since March 2024. Order books were supported by strengthening international demand for Indian goods and services, with the private sector registering the fastest rate of increase in exports in a year. Underlying data indicated that ongoing job creation enabled companies to stay on top of their workloads in May. Prices charged for Indian goods and services rose at a quicker rate in May, with the aggregate rate of inflation at a six-month high. There was an upgrade in expectations among private sector firms in May, after confidence had slipped to an eight month low in April.
Hans India
22-05-2025
- Business
- Hans India
Business activity in India surges to 13-month high in May: HSBC Composite PMI
The HSBC Flash India Composite Output Index – which measures the month-on-month change in the combined output of India's manufacturing and service sectors – on Thursday reported robust business activity in May in the country, climbing to a 13-month high of 61.2, compared with 59.7 in the previous month. At 61.2 in May, the HSBC Index showcased a sharp rate of expansion in private sector activity. 'The increase was the most pronounced since April 2024. There was a mild loss of growth momentum in the manufacturing industry but service providers reported the fastest rise in output in 14 months,' according to a HSBC Flash India PMI note. The HSBC Flash India Manufacturing PMI was little changed from April's reading of 58.2. At 58.3 in May, the latest figure was consistent with a sharp improvement in the health of the sector. Private sector growth in India moved up a gear during May, boosted by an acceleration in the service economy. Strong influxes of new business, both from domestic and international markets, induced quicker expansions in business activity and employment. There was also an improvement in business confidence for the first time since January, said the HSBC. "India's flash PMI indicate another month of strong economic performance. Growth in production and new orders among manufacturing firms remains robust, despite a marginal cooling from the rates of increase observed in April,' said Pranjul Bhandari, Chief India Economist at HSBC. Notably, there is a firm pick-up in the employment, especially in the service sector, suggesting healthy job creation accompanies the expansion of both India's manufacturing and service sectors, Bhandari added. While goods producers indicated the slowest increase in output for three months during May, service providers reported the fastest rise since March 2024. At the composite level, the latest upturn was the quickest in just over a year. Monitored companies attributed growth to buoyant demand, investment in technology and expanded capacities, according to the note. 'Underlying data indicated that ongoing job creation enabled companies to stay on top of their workloads in May. Not only did employment continued to increase, but growth also hit a fresh series record (since December 2005). Anecdotal evidence showed that full- and part-time staff had been recruited on permanent and temporary bases,' said the HSBC report.
