Indian stocks enter Monday, October 26, 2026, with investors weighing stronger bank earnings against a reduced revenue outlook from Infosys and unresolved bond-payment decisions at YES Bank. The updates follow a fourth consecutive session of market declines, with the Nifty falling 2.36% to close at 22,600.
Key Takeaways
- Infosys lowered its FY27 revenue growth guidance despite reporting higher quarterly profit.
- Several banks posted stronger earnings, while YES Bank continued evaluating its AT1 bond options.
- Acquisition agreements, a proposed Raymond name change and regulatory updates add to the earnings-driven agenda.
Table of Contents
- Indian stocks: IT profits and guidance diverge
- Bank earnings rise, with differing asset-quality trends
- YES Bank has not announced an AT1 coupon decision
- Senco agreement and Raymond proposal await further steps
- BPCL returns to profit as other results vary
- Lupin inspection and SEPC project cancellations
- Conclusion
Indian stocks: IT profits and guidance diverge
Infosys reported consolidated net profit of ₹7,823 crore for the September quarter, or Q2 FY27, up 6% from ₹7,364 crore a year earlier. However, the company cut its full-year constant-currency revenue growth guidance to 1–2% from 1.5–3%. The distinction matters: quarterly profit improved, but management reduced its expectations for annual revenue growth.
Coforge reported Q2 FY27 net profit of ₹588.1 crore, up 56.5% year on year and 13.4% sequentially. The results included a full-quarter contribution from its $2.35 billion acquisition of engineering services company Encora.
Coforge's Encora acquisition completion announcement, issued on April 23, 2026, established that consolidation of Encora's financial results would begin on May 1. That timing provides context for the acquired business's contribution to the September quarter; the completion announcement itself predates the latest earnings.
| Item | Details |
|---|---|
| Apollo Micro Systems | Q2 revenue rose 72.2% year on year to ₹388 crore; net profit increased 55.6% to ₹48.4 crore. |
| Dr Reddy's Laboratories | Q2 revenue fell 1.5% year on year to ₹8,671 crore; net profit declined 36% to ₹913.4 crore. |
| Torrent Pharmaceuticals | Q2 revenue increased 50.8% year on year to ₹4,979 crore; net profit fell 9.6% to ₹534 crore. |
| Netweb Technologies | Q2 revenue rose 61.5% sequentially to ₹1,323 crore; net profit increased 60.6% to ₹137 crore. |
| Oracle Financial Services Software | Q2 revenue fell 39% sequentially to ₹1,907 crore; net profit declined 50.38% to ₹702 crore. |
| SBI Funds Management | Q2 revenue increased 3.4% sequentially to ₹1,193 crore; net profit fell 20.3% to ₹701.2 crore. |
Bank earnings rise, with differing asset-quality trends
Kotak Mahindra Bank reported Q2 FY27 net profit of ₹4,212 crore, up 29.5% year on year. Net interest income increased 15.7% to ₹8,459 crore, while operating profit rose 21.1% to ₹6,382.2 crore.
IDFC First Bank's quarterly net profit increased to ₹1,044.6 crore from ₹352.3 crore a year earlier. Net interest income rose 21% to ₹6,184.5 crore, and the bank reported a sequential improvement in asset quality.
AU Small Finance Bank posted a 53% increase in net profit to ₹857.7 crore. Its gross non-performing asset ratio improved to 1.99% from 2.10% in the preceding quarter, but its net ratio rose to 0.81% from 0.76%. Bank of India reported a 25.3% profit increase to ₹3,202 crore, alongside sequential declines in both gross and net bad-loan ratios.
YES Bank has not announced an AT1 coupon decision
YES Bank said it was evaluating the Supreme Court judgment concerning its Additional Tier 1 bonds and assessing available options. The lender said the bond terms give it discretion over coupon payments and confirmed receiving queries from some bondholders.
The 9% AT1 bonds issued under the October 17, 2017 information memorandum had a coupon payment date of October 18, 2026. The bank said it would communicate its decision on exercising coupon discretion after completing its evaluation. It also said branch operations and digital customer services remained uninterrupted.
Senco agreement and Raymond proposal await further steps
Senco Gold signed transaction agreements on October 25 to acquire a 68% equity stake in August Jewellery Private Limited, which operates the Melorra brand. The ₹68 crore investment is to be made in multiple tranches and remains subject to specified conditions precedent.
Raymond's board approved a proposal on October 24 to rename the company Raymond Aerospace, Defence & Engineering Limited. The change is not yet final: it requires a shareholder special resolution and approvals from the Central Government, stock exchanges and other relevant authorities.
VRL Logistics announced a buyback of up to 87.5 lakh shares at ₹320 each, for a maximum outlay of ₹280 crore. The buyback is scheduled to open on October 27 and close on November 2.
BPCL returns to profit as other results vary
Bharat Petroleum Corporation reported Q2 net profit of ₹4,993 crore, compared with a ₹3,962 crore loss in the preceding quarter. Earnings before interest, taxes, depreciation and amortization reached ₹8,971 crore, reversing an EBITDA loss of ₹4,077 crore.
Other quarterly updates showed differing directions across revenue and profit. The comparison basis is important: several companies reported year-on-year changes, while Netweb Technologies, Oracle Financial Services Software and SBI Funds Management figures below compare with the preceding quarter.
Lupin inspection and SEPC project cancellations
The US Food and Drug Administration completed an inspection of Lupin's Goa manufacturing facility on October 23, issuing a Form 483 with one observation. Lupin said it would address the observation and respond within the stipulated timeframe.
SEPC received communications rescinding agreements for seven ongoing rural water-supply projects in Jharkhand. The company said it was engaging with the relevant departments and evaluating remedies, dispute-resolution mechanisms and legal arbitration.
Separately, Arvind inaugurated a garment manufacturing facility in Varanasi, Uttar Pradesh, built with an investment of approximately ₹150 crore. The company said the facility has revenue potential of ₹250 crore and is expected to employ more than 1,000 people, predominantly women.
Conclusion
The next scheduled earnings updates on October 26 include Paytm, Tata Consumer Products, Mankind Pharma and REC. Beyond those results, YES Bank's coupon decision and the approvals required for announced corporate transactions remain unresolved items to watch.
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