It has been a strong earnings season for India Inc, with net profits surging 28.6% year-on-year, buoyed by robust revenue growth. Healthy volumes, elevated commodity prices and, to some extent, a weaker rupee have helped lift the top line. But the gains have come at a cost. Rising raw material prices and other expenses have eaten into profitability, leaving operating margins virtually unchanged in the September quarter of FY27. Unless input inflation eases meaningfully, companies may have little choice but to raise prices further to protect margins.