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    BUSINESS & TRADE                                                          JULY 24, 2026    |  The Indian Eye 32

                        How Q1 Earnings Reflect India’s

              Shift Toward Domestic Growth, Digital

                              Finance and AI-Led Changes

            OUR BUREAU                                                                                            The company highlighted growing
                                                                                                                  demand for Engineering Intelligence
            New Delhi / Mumbai
                                                                                                                  solutions that integrate artificial intel-
                  he first wave of corporate earn-                                                                ligence into manufacturing, product
                  ings for the April-June quarter                                                                 development and industrial systems.
            Tof FY2026-27 paints a picture                                                                            LTTS also pointed to increasing
            of an Indian economy that continues                                                                   collaboration with global technology
            to grow through multiple engines                                                                      companies, including a partnership
            rather than relying on a single sector.                                                               with Anthropic, while continuing to
            Strong performances by Jio Financial                                                                  expand its intellectual property port-
            Services and state-run BSNL, cou-                                                                     folio through AI-related innovations.
            pled with resilient results from tech-                                                                Its management said investments un-
            nology  firms  Wipro  and  L&T  Tech-                                                                 der its long-term growth strategy were
            nology Services (LTTS), highlight the                                                                 translating  into  stronger  profitability
            increasing role of digital finance, tele-                                                             and larger client engagements.
            com infrastructure and artificial intel-                                                                  Taken together, the earnings
            ligence in driving economic expansion.                                                                point to three important themes shap-
                The results also underline a                                                                      ing India’s economy.
            broader trend emerging across Cor-  Among the standout performers is Mukesh Ambani’s Jio Financial Services Ltd (JFSL), which   First, domestic consumption and
            porate India: domestic demand re-  reported a 156 per cent year-on-year jump in consolidated profit after tax to Rs 830 crore for   financial inclusion continue to create
            mains  robust,  financial  inclusion  is                 the first quarter (File photo)               significant  opportunities  for  banks,
            deepening, digital services continue                                                                  lenders and digital financial platforms.
            to expand rapidly, and companies   wealth management and insurance   infrastructure is also benefiting from   Second, rising enterprise demand
            are positioning themselves to benefit   beyond  traditional  urban  markets.  India’s expanding digital economy.  and infrastructure investments are
            from the next phase of AI-led produc-  Jio’s joint ventures with BlackRock in   Technology services, however,  supporting telecom and digital con-
            tivity gains.                     asset management and Allianz in in-  presented a more nuanced picture.  nectivity. Third, artificial intelligence
                Among the standout performers   surance point to growing demand for   Wipro reported a modest 0.6 per   is  rapidly  becoming  a  central  invest-
            was Jio Financial Services Ltd (JFSL),  investment products and financial pro-  cent annual increase in net income   ment theme across technology and
            which  reported  a  156  per  cent  year-  tection as household incomes rise and   despite a sequential decline, reflecting   engineering companies, even as tradi-
            on-year  jump  in  consolidated  profit   formal financial participation widens.  continued softness in global technolo-  tional IT services face a more cautious
            after tax to Rs 830 crore for the first   Managing Director and CEO   gy spending. Yet the company’s results   global environment.
            quarter. Total income, excluding divi-  Hitesh Sethia said the company was   also showed where future demand is   The divergence between compa-
            dend income, rose 141 per cent to Rs   accelerating investments in invest-  emerging. Large deal bookings rose   nies focused primarily on India’s do-
            1,496 crore, reflecting rapid expansion   ment solutions and insurance while   nearly 13 per cent sequentially, with   mestic market and export-oriented IT
            across lending, payments, insurance   using  artificial  intelligence  and  data   many of the new contracts centered   services  also  reflects  the  economy’s
            and asset management businesses.  analytics to improve efficiency across   on  artificial  intelligence,  enterprise   increasing resilience. While global
                The numbers illustrate the grow-  its businesses.               transformation and IT modernization.  uncertainties  continue  to  influence
            ing  scale  of  India’s  digital  financial   Another  indicator  of strength-  Chief  Executive  Officer  Srini   technology spending overseas, India’s
            ecosystem. Jio Credit’s assets under   ening  domestic  activity  came  from   Pallia said clients were increasingly   internal growth drivers—including
            management  expanded  2.6  times  to   Bharat Sanchar Nigam Ltd (BSNL),  moving beyond traditional technol-  digital  payments,  financial  services,
            Rs 30,667 crore, while loan disburse-  which  reported  a  provisional  10   ogy modernization towards AI-en-  telecom expansion and rising house-
            ments increased 2.7 times during the   per cent increase in service revenue   abled operating models designed to   hold participation in formal financial
            quarter. The company’s payments   during the quarter. Revenue from op-  improve productivity and resilience.  markets—remain robust.
            business processed transactions worth   erations rose to Rs 4,418 crore, driven   The company’s guidance indicates   The  early corporate earnings
            Rs 19,208 crore, two-and-a-half times   primarily by enterprise services and   that while global IT spending remains   season therefore suggests that India’s
            higher than a year ago, while deposits   consumer mobility.         cautious, businesses continue to in-  growth story is becoming broader
            at Jio Payments Bank rose 1.7 times.   Communications Minister Jyoti-  vest selectively in AI-driven transfor-  and  more  diversified.  Rather  than
            Meanwhile, its digital platform at-  raditya Scindia said the company’s en-  mation programmes.       depending solely on exports or manu-
            tracted 25 million users, with custom-  terprise business grew more than 19   L&T Technology Services rein-  facturing, the economy is increasingly
            ers purchasing an average of around   per cent year-on-year, while consum-  forced that trend. The engineering   being driven by domestic digitaliza-
            34,000  financial  products  every  day   er mobility revenue increased around   and research services company re-  tion,  financial  deepening,  AI-led  in-
            during June.                      8 per cent. The improvement in Av-  ported  an  11.5  per  cent  increase  in   novation and sustained investments
                The  company’s  strategy  also   erage Revenue Per User and continu-  revenue and a 17.4 per cent rise in net   in next-generation infrastructure,
            reflects  another  important  shift  in   ing investments in 4G infrastructure   income, supported by improving mar-  providing multiple engines of growth
            India’s economy—the expansion of   suggest that public-sector telecom   gins and strong large-deal momentum.  despite an uncertain global backdrop.

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