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Mandatory quarterly results? No, says India Inc

January 23, 2007
Source:PTI

A majority of the top corporate leaders of India Inc are against the Security and Exchange Board of India's norms for companies to declare quarterly performance and favour announcing it only twice a year, industry chamber Assocham  said on Tuesday.

A survey showed as much as 95 per cent of CEOs and MDs were against Sebi's mandatory guidelines the company's to declare their quarterly performance, Assocham said in a statement.

The eco pulse survey by Assocham revealed that the corporate heads are were of the opinion that Sebi in consultation with Company Law Department should make amends in their current statute so that corporates, both public and private, were required to make their performance public only twice a year.

Most of the respondents were of the view that with limited human resource at their disposal, it was extremely difficult to paint a true picture of their performance to shareholders.

The pressure for declaration of corporates quarterly results was so much that even the top management spent a lot of time in projecting their profits and losses to suit their requirements and maintain their credibility, the survey said.

Almost 80 per of the respondents felt the public and private sector corporates should have got together under one umbrella and opposed the move for making declaration of quarterly results when this was made mandatory a couple of years ago, it added.

Source: PTI
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