The gap has grown since the pandemic. Expansion of fixed assets declined from an average 11% per year in FY17-FY19 to 7.5% in FY24-FY26, while net profit increased 10% in the third quarter and 27% in the fourth quarter of FY26. Analysts link the restraint to tariff uncertainty and the West Asia conflict, although advances in trade deals might boost spending. Net fixed assets now represent only 34% of total assets, compared with 43% in 2012, as capacity utilization stays near 75%, similar to pre-pandemic figures.
