Earnings pressure to persist even in September quarter, says Gautam Duggad

IT looks very interesting to us as it is one of the more sensibly-priced sectors, says Duggad

The June quarter performance of India Inc was subdued with majority of the companies seeing their earnings getting downgraded, said Gautam Duggad, head of research, institutional equities, Motilal Oswal Financial Services. Given the macro economic backdrop, corporate earnings will remain under pressure in the September quarter as well, Duggad tells Sundar Sethuraman. Edited excerpts:

Corporate earnings were disappointing in the June quarter. What are your expectations for the next quarter?

Earnings were subdued in the June quarter with Nifty earnings growth coming in at 5 per cent compared to our expectations of 12 per cent growth. Instances of earnings downgrade increased with