Nifty 50 companies set for strongest revenue growth in 3 years, but margins to come under pressure

Nifty 50 companies are projected to post their strongest revenue growth in nearly three years at around 17% year-on-year for Q1 FY27, driven by higher commodity prices, selective price hikes and a favourable base. However, profit growth is expected to remain subdued at about 9%, with EBITDA margins set to contract by 120-172 basis points due to elevated crude oil prices inflating input costs. BFSI is expected to lead the earnings show while pharmaceuticals, paints, autos, chemicals, airlines and cement face sharp margin pressure.