Voltas, Blue Star, Havells, others: Strong summer season sales set to drive Q1 show with AC segment outperforming

  • Stock Market Today: Voltas, Blue Star, Havells, Crompton Greaves Consumer Electricals share prices have risen up to 97% year-to date. The Consumer Durables firms see prospects being led by strong summer season sales also driving Q1 earnings growth as some analysts estimate net profit even double.

Ujjval Jauhari
First Published9 Jul 2024, 07:34 PM IST
Voltas, Blue Star, Havells, others: Consumer Durables firms to see strong Q1
Voltas, Blue Star, Havells, others: Consumer Durables firms to see strong Q1

Stock Market Today: Voltas, Blue Star, Havells, Crompton Greaves Consumer Electricals, V-Guard Industries share prices have risen up to 97% year to date. The strong traction in sales during the April - June' 2024 quarter driven by favorable summer season are likely to have supported gains for Voltas, Blue Star, Havells, Crompton Greaves Consumer Electricals, V-Guard Industries share prices.

The sales for cooling products as Air conditioners, Coolers are likely to have grown at a higher pace while other electrical consumer durables sales are estimated to have grown reasonably well during the quarter

Also Read- Sobha: After over 250% jump in the stock in a year, Geojit recommends ‘sell’; here’s why

Air Conditioner sales to outperform

As per analysts as Praveen Sahay at Prabhudas Lilladher, it has been a strong quarter for Air Conditioner sales . The segment reported is likely to have clocked 30% YoY growth during the quarter on account of the harsh summer. Surge in secondary demand during 1QFY25 is likely to have led to sharp reduction in Channel inventories. Sahay estimates Voltas’ Unitary Cooling Products segment and Lloyd sales growth of 19% and 37.5% YoY in Q1FY25 with improvement in margins.

Analysts at Centrum Stock Broking for their Consumer Durables coverage companies, expect revenue growth of 28% year- on year with key outperformers being Johnson Controls-Hitachi Air Conditioning India Ltd ( up 48%), Voltas ( up 34%) and Blue Star ( up 30%) led by robust Room Air Conditioner sales. Even Earnings before interest Tax depreciation and amortisation of Centrum's coverage universe is likely to rise 200bps year-on-year to to 6.9%,Centrum expects net profit to double led by earnings growth by Voltas, Blue Star

Also Read- Multibagger HEC Infra Projects share price hits 5% upper circuit on a order win

Electrical Consumer Durables sales to see some benefits too - Fan segment though benefitted however the the demand has transitioned from fans to , coolers. point out analysts. the companies though may benefit from announced price hike in the fan segment.

The wires segment is likely to have seen steady growth estimated at 12-14.5% for KEI Industries, Polycab India and RR Kabel

 

For the Consumer Electricals coverage companies, Centrum analysts expect revenue growth of 16% YoY with key outperformers being Polycab and Havells. They expect net profit growth of 21% led by Havells and V-Guard industries.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions

 

 

 

 

 

 

 

 

 

 

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess
First Published:9 Jul 2024, 07:34 PM IST
HomeMarketsStock MarketsVoltas, Blue Star, Havells, others: Strong summer season sales set to drive Q1 show with AC segment outperforming

Most Active Stocks

Indian Oil Corporation

173.90
12:27 PM | 11 JUL 2024
1.95 (1.13%)

Tata Steel

169.95
12:27 PM | 11 JUL 2024
1.95 (1.16%)

Bharat Petroleum Corporation

304.70
12:27 PM | 11 JUL 2024
4.35 (1.45%)

Oil & Natural Gas Corporation

303.55
12:27 PM | 11 JUL 2024
5.5 (1.85%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Great Eastern Shipping Company

1,476.40
12:11 PM | 11 JUL 2024
114.65 (8.42%)

Gujarat Pipavav Port

236.15
12:11 PM | 11 JUL 2024
16.4 (7.46%)

Sona Blw Precision Forgings

734.00
12:11 PM | 11 JUL 2024
44.7 (6.48%)

Engineers India

278.15
12:11 PM | 11 JUL 2024
15.9 (6.06%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K

    Fuel Price

    • Petrol
    • Diesel
    OPEN IN APP
    HomeMarketsPremiumInstant LoanMint Shorts