New Delhi, Nov. 25 -- India Inc is poised for a healthy revenue growth of 8-10 per cent year-on-year (YoY) in the third quarter of financial year (FY) 2026, marking continued stability after the 9.2 per cent rise in the previous quarter. The outlook, as per rating agency ICRA, points to firm rural demand and expectations of a revival in urban demand as the key drivers.

The ICRA release states that softer input costs, including crude oil and coal, are likely to ease pressure on companies. This is expected to help operating profit margins improve by 50-100 basis points on Year-on Year (YoY) basis. With this, credit metrics may show slight strengthening, with the interest coverage ratio estimated at 5.3-5.5 times in Q3 FY2026, up from 5.0 t...