How to make sense of AI impact on Indian companies
newindianexpress.com Jun 8, 2026

How to make sense of AI impact on Indian companies

AI-summarised brief · reviewed before publication

Indian companies are adopting artificial intelligence to boost output, optimize costs, and expand margins. The market is focused on AI products and hardware, with foreign portfolio investors chasing faster profit growth elsewhere. However, Indian shares can still attract investor money by showcasing their earnings-growth story. Sectors such as IT services and banking are rapidly adopting AI, with visible results, such as ICICI Bank's reduced cost of risk and Tata Steel's increased output without added physical assets. A secular 10-15% profit growth is possible with rapid AI adoption, giving hope for India's financial markets.

💡 Why It Matters

  • · Rapid AI adoption can help Indian companies stay competitive, as even small efficiency gains can translate into significant profits.
  • · Optimized energy use and predictive maintenance can boost operating profits.