With the earnings season in full swing, several major companies, including Adani Power Ltd, Adani Green Energy Ltd, IndusInd Bank Ltd, and Eternal Ltd (parent of Zomato and Blinkit), are set to report their June quarter (Q1FY27) financial results today. Market analysts have released their forecasts, outlining key expectations for their performance.
Adani Power Q1 Outlook
Antique Stock Broking projects Adani Power's revenue to increase by 11% year-over-year (YoY) in Q1FY27. However, net profit (PAT) is anticipated to remain largely flat, with a modest 0.5% YoY rise. This expected stability in profit comes despite stronger operational performance, which analysts attribute to elevated depreciation costs stemming from recent acquisitions and ongoing capacity expansion projects.
The company's standalone generation saw an 11% YoY increase during the quarter, boosted by a surge in demand driven by heatwaves and favorable merchant prices. Adani Power maintains strong long-term earnings visibility, with 72% (30.2 GW out of 41.8 GW) of its total capacity under contract and merchant exposure reduced to just 5% of its operational capacity.
Adani Green Energy Projections
Emkay analysts estimate a substantial increase in Adani Green Energy's power sales, forecasting a 25% YoY rise and a 31% quarter-over-quarter (QoQ) growth for Q1FY27. This growth is primarily supported by capacity expansion, which saw the company's operational capacity grow to 20.1 GW from 19.3 GW between quarter-ends, alongside sequential improvements in Capacity Utilization Factors (CUFs).
Merchant tariff rates also improved, leading to an expected 3% QoQ improvement in overall book realization to Rs 3.2/kWh. Consolidated EBITDA is projected to climb 32% YoY and 39% QoQ, reaching Rs 4,010 crore. Adjusted PAT is expected to see a significant 46% YoY increase, hitting Rs 1,060 crore.
Eternal Ltd. Earnings Preview
Eternal, the parent company of popular food delivery platform Zomato and quick commerce service Blinkit, is expected to report a multi-fold jump in Q1 profit from a low base in the year-ago quarter, which saw a 90% plunge. Kotak Institutional Equities forecasts an 18% YoY growth in food delivery net order value (NOV) and a robust 88% YoY growth in Blinkit's NOV.
Blinkit's rapid growth is driven by aggressive store additions, with Kotak projecting 2,468 dark stores by the end of Q1FY27, implying 225 new additions during the quarter. Favorable seasonality, demand from the Indian Premier League (IPL), and inflation are also contributing factors. Kotak models a 30 basis points QoQ contraction in contribution margin for the food delivery business (to 9.9% of NOV) and 5.2% EBITDA margin. For Blinkit, a 5.5% contribution margin and 0.6% EBITDA margin are anticipated. The brokerage expects Eternal to post an adjusted EBITDA of Rs 550 crore and a net profit of Rs 281.60 crore, a significant increase over Rs 25 crore in Q1FY26, with sales soaring 189.70% YoY to Rs 20,761 crore.
IndusInd Bank Q1 Forecast
Motilal Oswal Financial Services (MOFSL) estimates IndusInd Bank will report an 11.1% YoY rise in net profit, reaching Rs 670.80 crore. This increase is expected despite a 4.3% YoY drop in Net Interest Income (NII), projected at Rs 4,438.70 crore. MOFSL anticipates lower slippages for the bank in Q1, with upgrades and recoveries likely to maintain stable asset quality ratios.
Net Interest Margin (NIM) is expected to improve by 2 basis points QoQ to 3.41% from 3.39% in Q4. The brokerage also foresees marginal operational expenditure growth and believes the bank's target of 1% Return on Assets (RoA) by FY27-end will be driven by a decline in credit costs and ongoing cost optimization efforts.