Business
India’s Corporate Earnings Show Broad-Based Growth In Q1 FY26, Says Motilal Oswal
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‘Q1 earnings, perceived as the ‘Crossover quarter’, marked a transition from the subdued low-single-digit earnings growth of FY25 to sustainable double-digit growth,’ says MOFSL.
MOFSL expects Nifty-50 EPS growth to recover to nearly 9% in FY26 (from just 1% in FY25), aided by supportive macro conditions.
Corporate India entered FY26 on a stronger footing, according to a report by Motilal Oswal Financial Services (MOFSL), which called the June 2025 quarter (Q1FY26) the “Crossover Quarter”. According to the brokerage, earnings transitioned from the muted single-digit growth of FY25 to a more sustainable double-digit trajectory, driven by better sectoral breadth and resilience in financials, energy, and telecom.
“Corporate earnings for 1QFY26, perceived as the ‘Crossover quarter’, marked a transition from the subdued low-single-digit earnings growth of FY25 to a sustainable double-digit growth trajectory. A key highlight of the quarter was better sectoral breadth of earnings growth. Of the 25 sectors under our coverage, 16 delivered double-digit growth, eight reported single-digit growth, and only one sector experienced a decline in PAT,” Motilal Oswal said in the report titled ‘India Strategy’.
Broad-Based Earnings Growth
Out of 25 sectors under MOFSL’s coverage, 16 reported double-digit profit growth, eight recorded single-digit gains, and only one posted a decline. Aggregate earnings of the companies tracked by Motilal Oswal rose 11% YoY, ahead of estimates. Excluding financials, profits rose 13% YoY, while excluding global commodities (metals and oil & gas), growth stood at 9% YoY.
Oil & Gas (+27% YoY), telecom (loss-to-profit), NBFCs (+14%), PSU banks (+7%), technology (+7%), cement (+51%), and healthcare (+11%) contributed nearly 77% of incremental profit accretion. Automobiles (-3%) weighed on performance.
Nifty-50 Stretches Single-Digit Streak
Nifty-50 earnings rose 8% YoY in Q1, the fifth straight quarter of single-digit profit growth since the pandemic. Reliance Industries, Bharti Airtel, SBI, HDFC Bank, and ICICI Bank alone accounted for 77% of incremental earnings, while Coal India, Tata Motors, ONGC, HUL, Nestle, and others dragged overall growth, according to the brokerage.
Market-Cap Segment Trends
“large-caps (87 companies) posted an earnings growth of 10% YoY – similar to the overall universe. Mid-caps (92 companies) have extended their streak of the past two quarters and yet again delivered a strong earnings growth of 24% YoY (vs. our est. of 20%),” Motilal Oswal stated.
Large-caps: Earnings grew 10% YoY, in line with estimates.
Mid-caps: Continued to outperform, rising 24% YoY versus expectations of 20%, with 17 of 22 sectors delivering double-digit profit growth.
Small-caps: Lagged significantly, with earnings falling 11% YoY against expectations of flat growth. Nearly half of the small-cap coverage universe missed estimates.
Earnings Outlook
For FY26, MOFSL projects its coverage universe to clock 12% profit growth, led by financials (+8%), metals (+19%), and oil & gas (+9%). Mid-caps are expected to deliver 21% growth, compared with 10% for large-caps and 34% for small-caps.
However, the brokerage noted that earnings downgrades continued to outpace upgrades, with the Nifty FY26 EPS estimate cut by 1.2% to Rs 1,108, primarily due to weaker forecasts for ONGC, Reliance Industries, Axis Bank, Power Grid, and HDFC Bank.
Sectoral Highlights
Banks: In-line results but with margin pressure, especially at private lenders.
Autos: Mixed quarter; OEMs posted modest growth, while ancillaries outperformed.
Consumer: Demand recovery intact, revenue up 8.3% YoY.
Oil & Gas: Profits surged but missed estimates due to OMC underperformance.
Technology: Weak revenue momentum amid macro headwinds.
Metals: Robust operating performance lifted profits 59% YoY.
MOFSL expects Nifty-50 EPS growth to recover to nearly 9% in FY26 (from just 1% in FY25), aided by supportive macro conditions. While market volatility may persist due to global tariff concerns, the brokerage believes India remains well-placed for modest gains, with mid-caps offering relatively better earnings visibility.
The report maintained an overweight stance on BFSI, consumer discretionary, industrials, healthcare, and telecom, while staying underweight on oil & gas, cement, real estate, and metals.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
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NEW DELHI: People with job cards assigned under Mahatma Gandhi National Rural Guarantee Scheme will be able to get work without disruption when transition takes place to new rural employment framework under Viksit Bharat-Guarantee for Rozgar and Aajeevika Mission (Gramin) Act.Even though exact timeframe is not known yet, rural development ministry officials said the VB-G RAM G scheme will come into force in the coming financial year after the Centre frames and notifies the rules. After govt notifies the Act’s commencement date, states will get six months to make their schemes to enable implementation of the law.To ensure there is no disruption and job guarantee is upheld during transition from MGNREGA, it has been proposed to enable workers to use the same job cards issued under MGNREGA with Aadhaar-based eKYC.The officials said that as of now, around 75% of job cards have been verified with eKYC under the ongoing scheme. Moreover, ongoing projects under MGNREGA, if incomplete when the transition happens to the new scheme, would stay on course.Meanwhile, work is on to frame rules, lay out regulations on normative allocations, fund flow plan, IT framework, a national-level steering panel and social audits.Under the new law, focus will be on transparency to weed out leakages and duplicacy of work,the social audit system will be strengthened, and technology leveraged to create systems to establish work progress, timely wage payment and accountability through ‘e-measurement’ books, sources said. Demand for work will have to be entered on a digital platform. Officials made it clear the new law in no way interferes with demand-driven character of the scheme.
Business
Gurugram Attracts Rs 86,588 Crore In Real Estate Investments In 2025 As RERA Clears 131 Projects
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Alongside rising investments, Gurugram RERA strengthened regulatory oversight to safeguard homebuyer and investor interests
Gurgaon Real Estate (Representative Image)
Gurugram emerged as one of India’s top real estate investment destinations in 2025, with projects worth Rs 86,588 crore receiving regulatory approvals during the year, according to data from the Gurugram Real Estate Regulatory Authority (Gurugram RERA).
Market observers said the numbers reflect strong investor confidence in the NCR’s largest commercial and residential hub.
Gurugram RERA registered 131 projects in calendar year 2025, representing development potential of 35,455 units across housing and commercial segments.
A striking feature of the data was the dominance of large-ticket projects. Just 28 major developments accounted for investments worth Rs 59,360 crore, highlighting the growing influence of institutional capital and large developers in shaping Gurugram’s property market.
Residential assets continued to attract the bulk of investment interest. Of the total units approved, 31,455 were residential, underscoring sustained end-user demand and long-term confidence in the city’s housing fundamentals.
According to Authority data, the residential mix included 17,405 group housing units, 5,720 mixed land use units, 4,040 residential floor units, 2,122 affordable group housing units, 1,954 units under the Deen Dayal housing scheme, and 214 residential plotted colony units.
Market observers said this diversified supply pipeline indicates capital deployment across both premium and mass segments, helping reduce concentration risk and deepen market resilience.
On the commercial side, Gurugram RERA approved about 4,000 commercial units, of which 168 were dedicated to IT parks, reinforcing Gurugram’s position as a preferred hub for technology firms and Global Capability Centres.
Analysts noted that the combination of office-led employment growth and residential expansion continues to make Gurugram attractive for long-term capital deployment.
Industry experts said the scale of investments approved in 2025 highlights Gurugram’s ability to attract capital despite global uncertainty, supported by infrastructure growth, a strong corporate base and an improving regulatory environment.
“With a large pipeline of approved projects and sustained interest from developers and institutional investors, Gurugram is expected to remain a key real estate investment destination in the coming years,” a Gurugram-based real estate expert said.
Tighter regulatory checks
Alongside rising investments, Gurugram RERA strengthened regulatory oversight to enhance transparency and safeguard homebuyer and investor interests.
“These steps included stricter scrutiny of developer submissions, mandatory site inspections by domain experts, and public consultation through mandatory notices before project registration,” an Authority official said.
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January 16, 2026, 07:44 IST
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National Startup Day highlights India’s thriving startup ecosystem, celebrating innovation, entrepreneurship and job creation driven by founders, unicorns and Startup India mission
National Startup Day 2026 honours Indian startups, entrepreneurs and innovators driving economic growth and job creation.
National Startup Day 2026: India’s startup ecosystem has evolved into one of the world’s most vibrant and promising innovation hubs. To recognise the contribution of entrepreneurs, founders and startups transforming ideas into impactful solutions, National Startup Day is observed every year on January 16 across the country.
Launched by Prime Minister Narendra Modi in 2022, the day celebrates visionary entrepreneurs who play a crucial role in economic growth, employment generation and technological advancement.
National Startup Day serves as a reminder that innovation, backed by determination and policy support, can reshape society and create global impact.
National Startup Day 2026 Theme
The official theme for National Startup Day 2026 is yet to be announced. However, the core focus areas are expected to revolve around:
- Innovation and emerging technologies
- Entrepreneurship and leadership
- Self-reliance (Atmanirbhar Bharat)
- Startup India Mission
- Youth empowerment
- Job creation
How Startups Are Shaping India’s Future
India currently ranks as the third-largest startup ecosystem globally, with over 1.59 lakh startups recognised by the Department for Promotion of Industry and Internal Trade (DPIIT) as of early 2025. Backed by 100+ unicorns, the ecosystem continues to grow rapidly.
Metro cities such as Bengaluru, Hyderabad, Mumbai and Delhi-NCR lead this expansion, while Tier-2 and Tier-3 cities are emerging as new innovation centres, adding diversity and scale to India’s entrepreneurial journey.
Startups across fintech, edtech, health-tech, e-commerce and deep-tech are addressing real-world challenges and gaining global recognition. Technologies like artificial intelligence, blockchain and IoT are increasingly driving innovation, according to Startup India ecosystem reports.
Industry-Wise Startup Impact
DPIIT-recognised startups have generated over 16.6 lakh direct jobs across sectors as of October 31, 2024, strengthening India’s employment landscape.
- IT Services: 2.04 lakh jobs
- Healthcare & Life Sciences: 1.47 lakh jobs
- Commercial & Professional Services: 94,000 jobs
Through the Startup India initiative, the government continues to focus on skill development, funding access, ecosystem collaboration and global outreach.
Key Initiatives Under Startup India
- Capacity building and mentorship
- Outreach and awareness programmes
- Ecosystem development events
- International exposure and global linkages
- Collaboration between startups, corporates and institutions.
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January 16, 2026, 07:00 IST
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