Bengaluru home to second highest number of India’s most valuable companies: Hurun

Bengaluru: Bengaluru is home to the second highest number of India’s most valuable companies, after Mumbai, stated a report by Axis Bank and Hurun India released on Tuesday.

As per the Hurun 500 list, Bengaluru has 45 companies in total in the list, with 21 of them being startups. IT services provider Infosys was listed as the city’s most valuable company, followed by its peer Wipro and Titan Company. Meanwhile, the most valuable start-up in the list is Bengaluru-based Zepto, which has grown 269% on a year-on-year (YoY) basis, the report stated.

Some of the other city-based start-ups in the list include Zerodha, Razorpay and Dailyhunt, with their total valuation being Rs 1.94 lakh crore. The cumulative value of companies from Karnataka stood at Rs 25.9 lakh crore, a 13% jump, since the inception of the list in 2021.

Software and services emerged as the leading sector with seven companies from the state, followed by healthcare and financial services and real estate with six and five companies in the list, respectively. As per the list, companies from Karnataka employ a total of 1.3 million people, a 29% increase since 2021.

On a pan-India level, Reliance grabbed the top spot for the fourth consecutive year followed by TCS and HDFC Bank. Additionally, Motilal Oswal Financial Services emerged as the fastest-growing company with an annual growth value of 297%, followed closely by Inox Wind and Zepto, both nearly tripling their valuations over the year. 

The companies in the list employ 8.4 million individuals and pay Rs 2.2 lakh crore in taxes. The startups on the list collectively registered a net increase in value of Rs 1.09 lakh crore, led by Zepto, OYO, and Zerodha. Meanwhile, Bharti Airtel debuted in the top 5 with a Rs 9.74 lakh crore valuation, a 75% increase, climbing two spots. 

For inclusion in the Hurun India 500 list, companies must have a minimum value of Rs 9,580 crore, equivalent to $1.1 billion, as of 13 December 2024. For unlisted companies, Hurun Research’s valuation is based on a comparison with their listed peers using prevailing industry multiples such as price to earnings, price to sales, enterprise value (EV) to sales, and EV to earnings before interest, taxes, depreciation and amortisation (EBITDA). Financial information is from the latest annual reports or audited financial statements.

The financial services and healthcare sectors dominate the list, with 63 and 59 companies, respectively, followed by industrial products with 52. The list features companies from 43 cities, with Mumbai (154), Bengaluru, and New Delhi (37) leading, contributing 235 entrants in total. For a change, Haryana moved up two spots from last year and overtook Delhi to break into the Top 3 states for the first time in this list. 

Among the 82 newly listed entrants were Waaree Energies which had had a stellar listing on bourses last year, followed by SRF, and Premier Energies. Meanwhile the unlisted new entrants feature Adani Realty, Aparna Constructions, and Shahi Exports. These new entrants have a combined value of Rs 18.8 lakh crore, which is more than double of last year’s total.