Overall Results Landscape

As of 14 February 2026, a total of 3,582 companies have declared their quarterly results for the December 2025 period. The proportion of companies reporting positive earnings has seen a slight improvement compared to the previous quarter, rising to 46.0% from 44.0% in September 2025. This marks a gradual recovery from the June 2025 quarter’s 42.0%, though it remains below the 47.0% recorded in March 2025.

This trend suggests a cautious optimism among corporates, with nearly half of the companies managing to beat or meet expectations despite ongoing macroeconomic headwinds and sector-specific challenges.

Market Capitalisation Breakdown

Analysing results by market cap reveals a distinct pattern. Mid cap companies have led the charge with 52.0% reporting positive results, outperforming both large caps at 43.0% and small caps at 45.0%. This outperformance by mid caps may reflect their greater agility and exposure to growth sectors, as well as more favourable operating conditions relative to their larger and smaller counterparts.

Large caps, often seen as market bellwethers, have delivered a more subdued performance, with less than half reporting positive earnings. Small caps, while slightly better than large caps, have not matched the mid cap segment’s momentum, indicating a mixed environment for smaller enterprises.

Sectoral and Stock Highlights

Among large caps, Muthoot Finance from the Non-Banking Financial Company (NBFC) sector stood out with robust earnings, reflecting sustained demand for credit and prudent risk management. The NBFC sector continues to be a key contributor to earnings growth, supported by improving asset quality and stable interest margins.

In the mid cap space, FSN E-Commerce emerged as a top performer within the E-Retail/E-Commerce sector, benefiting from increased consumer spending and digital adoption. This sector’s growth trajectory remains strong, driven by expanding internet penetration and evolving consumer preferences.

Among small caps, Mahindra Life in the Realty sector posted encouraging results, signalling a gradual revival in real estate demand and improved sales momentum.

Exceptional Performers Among Micro and Small Caps

The micro cap segment has witnessed some extraordinary performances, with Jindal Poly Investment & Finance Company Ltd and Trescon from the NBFC and Realty sectors respectively, posting stellar results. Jindal Poly Investment & Finance Company Ltd, in particular, has demonstrated an outstanding financial turnaround in the December 2025 quarter.

Jindal Poly Inve’s net sales surged to ₹961.80 crores, reflecting an astonishing growth of 12,230.77% year-on-year. Profit before tax (excluding other income) soared to ₹839.56 crores, up 2,360.61%, while net profit after tax reached ₹702.05 crores, a remarkable 2,000.1% increase. Operating profit margins were near perfect at 99.99%, underscoring operational efficiency. Earnings per share (EPS) also hit a record high of ₹667.98.

This exceptional performance has shifted market sentiment from mildly bullish to bullish as of 6 February 2026, with the company’s score improving dramatically from 1 to 39 over the past three months. Such results highlight the potential for micro caps to deliver outsized returns, albeit with higher volatility.

Upcoming Earnings to Watch

Investors should keep an eye on the upcoming results of notable companies such as VLS Finance Ltd (due 15 February 2026), Sejal Glass Ltd (16 February 2026), and ABB India Ltd (19 February 2026). These companies operate in diverse sectors and their earnings will provide further clarity on sectoral trends and market sentiment heading into the new fiscal year.

Aggregate Profit Growth and Market Implications

While the overall proportion of positive results has improved modestly, aggregate profit growth remains uneven across sectors and market caps. Mid caps are currently the primary drivers of earnings expansion, supported by sectors such as e-commerce, NBFCs, and select industrials. Large caps face headwinds from global economic uncertainties and margin pressures, while small caps are navigating a mixed environment with pockets of strength in realty and capital markets.

For investors, this earnings season underscores the importance of selective stock picking and sectoral allocation. Companies demonstrating consistent multi-quarter growth and operational resilience are likely to outperform in the medium term. Meanwhile, caution is warranted in segments where earnings remain volatile or below expectations.

Conclusion

The December 2025 quarterly results season paints a nuanced picture of India’s corporate earnings landscape. Mid caps have emerged as the bright spots, delivering superior positive result ratios and profit growth, while large and small caps show more tempered performances. Exceptional micro cap performers like Jindal Poly Investment & Finance Company Ltd highlight the potential for significant gains in niche segments.

As the market digests these results, investors should focus on companies with strong fundamentals, sustainable earnings growth, and favourable sectoral tailwinds to navigate the evolving economic environment effectively.

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