Aggregate net profit at 21 Nifty companies that have so far reported their December quarter results has risen at a faster pace than in the preceding two quarters. Profits posted by this set of companies grew by an average 11.5% year-on-year in the three months ended December, up from 9.3% in the preceding quarter and 1.9% in the June quarter.
Also See Q3 Earnings (Graphic)
The profit increase came against the backdrop of expectations that the December quarter would be much worse for Indian companies, with commodity prices declining, large auto manufacturers cutting production and the overall economy slowing.
However, the companies that will be most affected by the economic downturn haven’t yet reported their financial results, and when they do, the extent of the slowdown may become clear.
Graphics by Sandeep Bhatnagar / Mint