Tech Mahindra, Cyient DLM, ICICI Lombard General Insurance Q2 Results Today — Earnings Estimates

Tech Mahindra Ltd., Cyient DLM Ltd. and ICICI Lombard General Insurance Co. are among the top names that will announce their earnings for the second quarter of the current financial year on Tuesday

Tech Mahindra is likely to clock a 12.7% rise in net profit at Rs 1,285 crore and a near 3% rise in revenue to Rs 13,777 crore for the quarter ended September, according to a survey of analysts' estimates done by Bloomberg.

Cyient DLM Ltd. will also be reporting its results for the quarter on Tuesday. The company is likely to report a net profit of Rs 7.49 crore and revenue of Rs 278.4 crore, according to estimates.

Here are the earnings estimates of major companies that are scheduled to announce their results on Tuesday:

• Revenue seen 3% higher at Rs 13,778 crore versus Rs 13,351 crore

• Profit seen 13% higher at Rs 1,285 crore versus 1,141 crore

• EBIT seen 9% higher at Rs 1,609 crore versus Rs 1,477 crore

• EBIT margin seen at 11.67% versus 11.06%

Brokerages expect revenue growth between 0.7% and 0.8% in constant currency terms, driven by steady deal ramp-ups and stable performance in the communications vertical. Analysts see sequential growth supported by improved execution of large deals and traction in enterprise, banking and retail segments, though the telecom business is expected to remain flat.

India's banks are expected to report softer earnings for the September quarter, as narrowing net interest margins and weak trading gains weigh on profitability. Analysts, however, see stability in core earnings and expect commentary to turn more constructive on growth and asset quality.

Loan growth remained strong across most lenders during the quarter, supported by higher deposit mobilisation and an improvement in loan-to-deposit ratios. However, analysts expect profitability to be hit by margin pressure following the Reserve Bank of India's earlier repo-rate cuts and reduced treasury income.