PwC: The coronavirus pandemic followed by stringent lockdowns in several phases has thrashed the global and Indian economy and different theories anticipate different recovery time and period. As per the report titled ”COVID-19: Path to Recovery,” prepared by PwC India, around 80-82 percent of the Indian companies expect to recover and return to the pre-pandemic revenue run rate by the month of June next year.
The report is prepared on the basis of a survey of 225 CXOs across industries and the report says after the pandemic companies are focusing on crisis management, operational efficiency, and innovation.
The report evaluated the impact of the pandemic, the challenges of the pandemic, and the new working model required by the companies.
The report classified the following sectors among the sectors which faced significant loss in the revenue collection amid the pandemic:-
- Real estate
- Media and Entertainment
Reason for disruption – Collapsed demand-supply-chain along with limited liquidity in the market.
The report classified the following sectors among the sectors that managed to survive this crisis and faced a lower or no loss in the revenue collection amid the pandemic:-
- Information technology,
- Utilities (electricity, sewerage, water, and gas)
- consumer essentials (alcohol, beverages, food, home, personal care, and tobacco)
Reason for resilience – Adaptation with changing market and proper crisis management.
The report further added that 73 percent of the companies are expecting a lower revenue collection in 2020-21, however, nearly 15 percent of these companies are expecting an extended decline in the next fiscal.
Meanwhile, 77 percent of the companies are expecting a positive acceleration in the next fiscal.
PwC India partner, Krishan, explained in his report that amid this COVID-19 induced hard business condition, digital enablement in the business has become an important tool for staying in the competition. Meanwhile, a series of collaboration is the demand of the situation.