Business
More than 55,000 UK firms in severe distress, research shows
More than 55,000 UK companies are in serious financial distress and in danger of collapse without improvement over the coming year, according to research.
Experts have warned that the upcoming autumn Budget “must deliver urgent support to avoid a wave of failures”, particularly among small businesses.
The latest quarterly Red Flag Alert report by Begbies Traynor has revealed a 78% jump in the number of firms in “critical” financial distress to 55,530 in the third quarter of 2025, compared with a year earlier.
It said this also represented a 12.6% jump against the quarter to June, showing a sharply worsening situation for more than 6,000 businesses.
Consumer-facing businesses have come under particular threat in recent months, as they face pressure from rising labour costs and an uptick in inflation.
The data showed there was a 96.7% jump in leisure and cultural firms in a “critical” situations, with a 92.5% rise in hotels and accommodation, and 85.6% rise for retailers.
Begbies Traynor also found that the number of firms in “significant” financial distress increased by 14.8% year-on-year to 726,594 for the latest quarter.
It comes amid fears that the Chancellor Rachel Reeves could turn to tax increases to help address the fiscal black hole in the UK’s state finances.
Julie Palmer, partner at Begbies Traynor, said the woes of many UK businesses “shows the UK economy is in real trouble”.
She added: “With over 55,000 companies now in serious financial distress, the upcoming Budget must deliver urgent support to avoid a wave of failures, especially among SMEs already operating on a knife edge.
“Unfortunately for UK businesses, inflation is going nowhere, putting further pressure on companies at a time when wage, tax, and financing costs are already high.
“Many firms have no room to manoeuvre, and instead of investing for growth, are scaling back just to survive – the opposite of what the economy needs, if it’s going to recover and grow.”
Business
Sensex Gains 2,072 Points, Nifty Above 25,700; US-India Trade Deal Among Key Factors Behind Rally
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Indian benchmark indices staged a powerful rally, with the Nifty and Sensex surging up to 4.7% and 4.4% respectively; Know key reasons
Nifty50
Indian benchmark indices staged a powerful rally, with the Nifty and Sensex surging up to 4.7% and 4.4%, respectively, marking one of their strongest single-day advances. The sharp upswing followed the announcement of a long-awaited India–US trade agreement, which helped ease tariff-related worries that had weighed on domestic equities for months.
The benchmark BSE Sensex ended 2072.67 points higher or 2.54% to end at 83,739.13. The Nifty 50 climbed 639.15 points, or 2.55%, to end at 25,727.55 during the session.
Earlier in the day, the BSE Sensex jumped 5.1% during the session to hit an intraday peak of 85,871.73. Meanwhile, the Nifty 50 advanced by 1,252 points, or 5%, climbing to 26,341.2 as buying intensified across the board.
The sharp move also led to a massive rise in investor wealth. The combined market capitalisation of BSE-listed companies increased to Rs 467.35 lakh crore from ₹455 lakh crore in the previous session, translating into a gain of more than Rs 12.5 lakh crore in a single day as participation broadened across sectors.
Highlighting the reasons that are fueling the Indian stock market today, Santosh Meena, Head of Research at Swastika Investmart, said, “The Indian stock market today is in a bull trend due to the announcement of the India-US trade deal. The much-awaited trade deal has the potential to significantly improve sentiment across markets and among FIIs. After a strong gap-up opening during the Opening Bell, the possibility of the Nifty 50 index hitting fresh all-time highs in the near term cannot be ruled out. The Indian rupee is also expected to strengthen meaningfully.”
On segments that may benefit in upcoming sessions after the India-US trade deal, Santosh Meena of Swastika Investmart, said, “Export-oriented sectors are likely to be the key beneficiaries—textiles and apparel, gems & jewellery, leather, marine/seafood (shrimp), auto ancillaries, engineering goods, speciality chemicals, and select electronics and consumer goods. Pharma and IT/services may also witness an indirect sentiment boost.”
What’s driving the rally
India–US trade deal
After prolonged negotiations, India and the US sealed a trade agreement under which Washington cut reciprocal tariffs on Indian goods to 18% from 50%. In return, India will reduce tariffs and non-tariff barriers on American products. The breakthrough removes a major uncertainty that had kept foreign investors cautious and contributed to Indian equities’ underperformance. Through January, the Nifty had slumped over 1,000 points at its worst, even as foreign portfolio investors sold heavily.
Rupee strength adds comfort
A stronger rupee also supported sentiment, easing some pressure from global volatility. The currency opened at 90.40 against the dollar versus its previous close. Analysts believe the combined effect of the India–US deal, progress on the EU trade front and a growth-focused Budget could lift sentiment and revive risk appetite across markets.
FII short covering
Short covering by foreign institutional investors amplified the rebound. With bearish positions estimated to be close to 90%, traders rushed to unwind shorts as indices rebounded from oversold levels and the Nifty reclaimed the 26,000 mark. Anand James, Chief Market Strategist at Geojit Investments, said a sustained move above 25,000 opens the door to 25,800 and possibly 26,200, though failure to hold above 25,800 could trigger consolidation toward the 25,430–25,340 zone.
Heavyweights power gains
Large-cap stocks led from the front. Reliance Industries climbed nearly 4%, while Adani Ports surged about 8%, giving strong momentum to the benchmarks. HDFC Bank, L&T, Bajaj Finance, ICICI Bank, Infosys and Eternal gained up to 5%. Optimism around the Union Budget 2026’s capital expenditure push further strengthened expectations of better order flows.
Buzz for strong quarterly numbers
On how the India-US trade deal may benefit the Indian stock market in the medium to long term, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, “The India-US deal is expected to benefit export-oriented companies, especially the auto, IT, textile, pharma, gems and jewellery. So, companies from these segments are expected to report strong quarterly numbers in the upcoming quarters.” She said that the market would try to discount that buzz much before the companies start reporting such robust quarterly numbers.
Supportive global cues
Global markets also offered tailwinds. The Dow Jones rose roughly 515 points (1.05%), the S&P 500 gained 0.5%, and the Nasdaq advanced about 0.6%. Asian equities rallied, with Japan’s Nikkei jumping around 3% and South Korea’s Kospi soaring over 5%. Hong Kong’s Hang Seng and China’s CSI 300 posted modest gains, while Australia’s S&P/ASX 200 climbed 1.3% after the Reserve Bank of Australia raised its policy rate by 25 basis points to 3.85%, its first hike since November 2023.
Stocks to buy after India-US trade deal
On stocks to buy in the wake of the India-US trade deal and the reduction of Trump’s tariffs on India, Anuj Gupta, a SEBI-registered market expert, recommended 21 stocks to buy today from the auto, IT, pharma, textile, and defence sectors.
Pharma: Aurobindo Pharma, Cipla, and Glenmark Pharmaceuticals.
Defence: BEL, HAL, and Cochin Shipyard.
IT: TechM, HCL Tech, Wipro, and Infosys.
Textile: Trident and Welspun Living.
Auto and Auto Ancillary: Eicher Motors, Tata Motors, TVS Motor, Bajaj Auto, JBM Auto, Bosch, Amara Raja, and Exide Industries.
February 03, 2026, 11:30 IST
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Business
Hyundai Motor India’s Q3 profit rises 6.3% to Rs 1,234 crore
Mumbai: Hyundai Motor India Limited on Monday reported a solid performance in the third quarter (Q3) of FY26, with its consolidated net profit rising 6.3 per cent year-on-year to Rs 1,234.4 crore. The growth was supported by steady demand in the domestic market, strong export numbers and higher sales during the festive season, the company said in its stock exchange filing.
Revenue from operations during the quarter increased 8 percent compared to last year to Rs 17,973.5 crore. Operating performance also improved, with EBITDA rising 7.6 percent year-on-year to Rs 2,018.3 crore. The EBITDA margin stood at 11.2 percent, remaining broadly stable compared to the same period last financial year.
The company said domestic demand during the quarter benefited from GST 2.0-related advantages and festive-season momentum.
Wholesale volumes rose 5 per cent sequentially, supported by strong retail sales across key models.
Exports played an important role in overall growth, with export volumes jumping 21 per cent year-on-year in the December quarter.
Exports contributed around 25 per cent to Hyundai Motor India’s total sales during the period.
On the product front, the Creta once again emerged as a key growth driver. The SUV reclaimed its position as India’s best-selling SUV and achieved its highest-ever annual sales of more than 2 lakh units in calendar year 2025.
The newly launched Venue also saw healthy demand, with nearly 80,000 bookings so far. The company said first-time buyers accounted for 48 per cent of the total bookings for the model.
For the nine months ended December 31, 2025, Hyundai Motor India reported EBITDA of Rs 6,632.5 crore, marking a year-on-year growth of 3.3 per cent.
EBITDA margins expanded to 12.8 per cent despite higher costs related to capacity stabilisation and commodity prices. Net profit for the nine-month period rose to Rs 4,175.9 crore.
Commenting on the results, Managing Director and CEO Tarun Garg said the company delivered healthy growth in volumes, revenue and profitability during the quarter.
He added that an improved sales mix and disciplined cost management helped support margins on a year-to-date basis.
Garg also highlighted strong sales in January 2026 as a positive sign for the rest of the financial year.
Business
India-US trade deal: Hope and uncertainty as Trump cuts tariffs
Indian industry has welcomed lower tariffs, but experts caution against celebration until details are clearer.
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