Corporate India’s earnings expected to grow faster in Q3 FY26

Corporate India’s earnings are expected to grow at a slightly faster rate in the third quarter of fiscal 2026 against the same period last year, according to analysts’ research.

The earnings for the companies that Kotak Institutional Research (KIE) covers is expected to grow at a pace of 8.8% in the third quarter of fiscal 2026, as against the same period previous year.

Excluding oil marketing companies, the profit of which include government subsidies and volatility of margins, the total profit after tax is expected to grow at 5% for companies in that coverage. This is only slightly better than the overall Nifty 50 PAT growth in the previous quarter that came in at nearly 6%.

Motilal Oswal’s team is more optimistic. It is expected to grow at 16%, which is the fastest in eight quarters and excluding OMCs, the companies in MOFSL are expected to grow at 13% on the year-on-year basis. 

“This quarter should have the full-blown effect of the GST2.0 cuts that were implemented on September 22, 2025. This will be keenly observed for its impact across sectors – even as companies in a few sectors still contend that some transition-related teething issues spilled over into Oct’25,” according to the MOFSL report.