While it was supposed to be one of the best earning season for both the market leaders in their respective segments i.e. Hero Honda and Maruti but unexpected twist over a fairly routine matter, Royalty payments has acted as a party spoiler.

Royalties are among the companies' biggest expenses for the companies that rely on technology, like engines and transmissions on their parent.

While the payment on royalty has played a spoilt sport for the market leader in passenger cars, Maruti Suzuki, it will be interesting to see how it shows up with Hero Honda.

There is no denying of the fact that several investors and analysts were caught off guard by Maruti's disclosure that its royalty payments raised sharply as a proportion of sales and as it posted a 20% dip in profits, its share price followed it on the downside.

However, all eyes are now on Hero Honda that will declare its results on Thursday. It is to be mentioned here that the royalty payment by the two-wheeler manufacturer have reached $90.2 million in the year ended March 2010.