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Nifty earnings to gain traction, seen growing at a healthy 15% on y-o-y basis in q4fy23

14 Apr 2023|
2 min read |
by ICICI Securities Team

Earnings season for Q4FY23 kicked off this week. Estimates for Nifty 50 stocks for the upcoming quarterly results indicate double digit growth on YoY basis.

Nifty50 Stocks- Quarterly estimates for Q4FY23E

*Axis Bank and Tata Motors adjusted for one offs 

TCS and Infosys have announced their numbers which were a bit disappointing on overall basis.

Infosys: Revenue and PAT stood at Rs 37,441 cr and Rs 6,128 cr respectively.

TCS: Revenue and PAT stood at Rs 59,162 cr and Rs 11,392 cr respectively.

Nifty50 Sectors- Quarterly estimates for Q4FY23E

*Axis Bank and Tata Motors adjusted for one offs

  • On weightage average Basis, Nifty Earnings in Q4FY23 is expected to be healthy double digit on YoY basis and high single digit on QoQ basis.
  • On the topline front we expect we expect Nifty topline to grow 5.4% YoY with key drivers for topline growth being BFSI space (topline up 25% YoY amidst healthy credit growth), IT domain (up 18% YoY amid healthy order booking and INR depreciation benefits) and Auto Sector (up 29% YoY amid healthy volume prints at JLR). Topline growth is tad muted amidst deflationary scenario in commodity space namely the Oil & Gas (topline down 5% YoY) as well as Metals.
  • On the bottom-line front, Nifty PAT is seen growing healthy 15% on YoY basis in Q4FY23. Bottomline growth for the Index will be driven by Auto Space (up 95% YoY amid growth in volumes primarily Tata Motos), BFSI (up 27% YoY amid elevated NIM’s and lower credit costs), Pharmaceuticals (up 31% YoY amid traction in branded generics and US speciality) and Telecom domain (up 22% YoY amid healthy ARPU growth)  
Source: ICICIdirect Research

Disclaimer: ICICI Securities Ltd.( I-Sec). Registered office of I-Sec is at ICICI Securities Ltd. - ICICI Centre, H. T. Parekh Marg, Churchgate, Mumbai - 400020, India, Tel No : 022 - 2288 2460, 022 - 2288 2470.  The contents herein above shall not be considered as an invitation or persuasion to trade or invest.  Investments in securities market are subject to market risks, read all the related documents carefully before investing. I-Sec and affiliates accept no liabilities for any loss or damage of any kind arising out of any actions taken in reliance thereon. The contents are solely for informational and educational purpose.

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