Mumbai, June 16 -- Rating agency ICRA forecasts India Inc's operating profit margins (OPM) at 18.2-18.5 per cent in Q1 FY2026, following the sequential recovery over the past few quarters.
This, coupled with a moderation in interest costs, owing to the recent repo rate cuts aggregating to 100 bps, will result in an improvement in the interest coverage ratio for India Inc to around 5.1-5.2 times in Q1 FY2026, against 5.0 times in Q4 FY2025.
Commenting on the trends, Kinjal Shah, ICRA Ltd senior vice president said on Monday: "Given the uncertain global environment, ICRA expects the private capital expenditure (capex) cycle to remain measured. However, certain sunrise sectors such as electronics, semiconductors and niche segments within t...