Brickworks Forecasts Strong Performance for FMCG and Healthcare Sectors in FY27

Recent insights from Brickwork Ratings indicate that India’s consumer goods and healthcare sectors are poised for robust performance in the current fiscal year, driven by favorable economic conditions such as tax reductions and increasing consumer appetite. The consumer goods sector is projected to achieve a compound annual growth rate (CAGR) of 17.3% from 2025 to 2030, attributed to factors including enhanced credit access, reductions in Goods and Services Tax (GST), and demand revival in tier-II and tier-III cities. Furthermore, the trend towards premiumization is expected to catalyze revenue expansion within this segment.

Healthcare services also display promising growth, bolstered by strong interest and debt coverage ratios. As medical tourism is anticipated to reach a market size of approximately $13 billion, the sector’s expansion is further augmented by initiatives such as the Ayushman Bharat programme—recently extended to seniors aged 70 and above. The confluence of these factors is likely to create a conducive environment for heightened investment and operational efficiencies in healthcare, despite overarching economic challenges.

Brickwork Ratings assessed 25 sectors and assigned a stable outlook to 22, underscoring the general resilience of the Indian economy in the face of geopolitical uncertainties. Power distribution emerged as the singular sector facing negative outlook due to unsustainable debt levels, which manifest as weak credit profiles and persistent fiscal gaps caused by delayed tariff adjustments. However, improvements in distribution loss reduction and collection efficiencies among certain Discoms may offer pathways to mitigate these challenges.

The overall outlook remains stable across the majority of sectors, supported by ongoing domestic demand, sustained government capital investments, and sound balance sheet management. The improvement in operating margins and predictable cash flows are likely to foster a favorable environment for investments. Wealthova investors might consider focusing on consumer goods and healthcare segments, as these areas are expected to exhibit significant growth potential and resilience in the upcoming fiscal landscape.

Source: The Economic Times

(Expert Note: This report was prepared by the Wealthova team.)