Very steady growth likely in industrial pack; improving margin in FMCG: Shibani Sircar Kurian

economictimes.indiatimes.com:

Shibani Sircar Kurian, Senior EVP, Fund Manager & Head -Equity Research, Kotak Mahindra Asset Management, says “most of the earnings that have come are largely from financials and IT companies. The IT sector has seen a muted set of numbers but that was again more or less in line with estimates. For financials, the numbers and the overall earnings trend continues to be fairly robust.

While there was expectation of margin decline from the peak that we saw in the last quarter, margin decline has not been as stark as was initially feared.”As far as the earnings season has panned out till now, what is your key takeaway? Is it just the financials which are showing outperformance because other than that, there has not been a massive re-rating anywhere that we have seen?So, yes, it is still early days in the quarterly earnings season. What we have seen is that at a headline Nifty level, numbers have been pretty much in line with estimates. Of course, what we are also seeing across companies is that margin expansion is now playing out with input costs coming off.

As you rightly pointed out, most of the earnings that have come are largely financials and the IT sector. The IT sector has seen a muted set of numbers but that was again more or less in line with estimates. For financials, the numbers and the overall earnings trend continues to be fairly robust.