LGT Wealth India CIO: Double-Digit Earnings Growth Returns by 2026 on Tariff Clarity

• LGT Wealth India CIO Chakri Lokapriya predicts corporate earnings growth will return to double digits by 2026.
• Clarity on global tariffs is expected to be the key trigger for this turnaround, following a muted 7-8% growth in 2025.
• IT sector performance is set to improve in 2026, driven by US hyperscaler AI investments and demand for IT services.
• Lokapriya favors durable consumption and specific wellness plays over traditional FMCG, citing increased spending power.
• Financial services are projected to drive nearly 50% of incremental index earnings from FY26-FY28, led by PSBs, NBFCs, and large private banks.

Why It Matters: Corporate earnings are set for a strong rebound to double digits by 2026, fueled by tariff clarity and sectoral growth.