loader2
Login Open ICICI 3-in-1 Account
  • Text Size
  • Text to Speech
  • Color Contrast
  • Pause Animations

Open ICICI
3-in-1 Account

Manage your Savings, Demat and Trading Account conveniently at one place

+91

BLOG

Corporate Earnings Q1FY27: Earnings Resilience Continues; Mid & Small Caps Extend Outperformance

ICICIdirect Research 07 Aug 2026 DISCLAIMER

Despite geopolitical uncertainties and the resultant spike in key commodity prices, particularly crude oil and metals, India Inc. has delivered resilient earnings, with corporate performance broadly surpassing expectations.
Among the 42 Nifty 50 companies that have reported Q1FY27 results so far, aggregate revenue and adjusted PAT have grown 19% YoY and 13% YoY, respectively—comfortably ahead of the Street's expectation of 5–8% YoY earnings growth for the index.
The broader earnings trend continues to favor mid- and small-cap companies, with profit growth exceeding 30% YoY (adjusting for OMCs, which operated under unprecedented circumstances while absorbing the impact of geopolitical disruptions on retail fuel prices).
For the listed universe (excluding OMCs), aggregate PAT has grown 25% YoY. Including OMCs, the corresponding PAT growth stands at 13% YoY
With the earnings season tracking ahead of expectations, we see no material risk to our FY26–28E Nifty earnings CAGR estimate of 16%. Accordingly, we maintain our Nifty target of 28,000, based on a 20x P/E multiple on FY28E earnings.

Download ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere

Download ICICI Direct app

Invest, Track, and Manage your Portfolio Anytime, Anywhere