New Delhi, Feb. 23 -- India Inc.'s December quarter (Q3FY26) earnings surprised positively on some counts. For instance, on an aggregate basis, the Nifty 500 index companies delivered strong double-digit profit-after-tax growth of 19% in Q3 (adjusted for extraordinary items), the highest in eight quarters, showed an analysis by Motilal Oswal Financial Services. The top 10 incremental profit contributors, primarily from the oil & gas, metals, financial, and telecom sectors, together contributed around 50% of the incremental year-on-year earnings growth.

Aggregate sales for the Nifty 500 universe grew 11%, the highest in 11 quarters, mainly led by the benefits of goods and services tax (GST) cuts flowing through select sectors. That couple...