Editor's Note

Rear-view driving

Check out our list of India's fastest growing companies

How fast is fast — that’s a question that had us perplexed when we were trying to shortlist criteria for drawing up a list of fast growing companies. That is because, for a company, fast is deceptively subjective. It depends on what base it is growing from, which business it is in, which parts of the world it is operating in, where it is in the supply chain, is there enabling policy at play? Some companies may experience stellar growth simply because they happen to be in a business enjoying headwinds while some could struggle to sustain normal growth despite an efficient management doing all it can.

Our shortlist of Fastest growing companies is not as bulletproof as we would want it to be. That is because, as the fabled investment disclaimer goes — past performance is not necessarily indicative of future results. But in lieu of a time machine, it is only past data and guesstimates that you can work on to foresee the future. Having barred banking and finance companies from the chosen sample set, and after applying filters for size and profitability, we found 40 companies that grew at roughly double the growth rate of the economy over the past five years.

You can have a closer look at the list and also at some companies that have managed high return ratios — Fastest 40. If you are scanning for companies to invest in, it does make for a good starting point. Besides, we have featured four interesting companies from different sectors that figure in our list. 

In other stories, we have a quick take on the Pantaloon buy-out. Rather than getting rid of non-performing formats from his stable, Kishore Biyani has sold his best performing asset. Is that an astute or desperate move from India’s retail king? Read Birla or Biyani, Who Is Smarter?