BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Prabhudas Lilladher Report
Consumer durables sector continues to witness-
muted demand environment,
competitive pricing and
higher channel inventory.
Seasonal product sales like room AC and fan impacted due to unseasonal rain, soft demand and higher inventory in channels. Rural demand continued to remain weak. However, cable and wire segment continues with healthy growth, largely from business-to-business segment.
We expect our consumer durable universe to register sales/Ebitda/profit after tax growth of 7.4%/20.0%/23.2% YoY in Q1 FY24. On sales front KEI Industries Ltd.
Polycab India Ltd. to outperform, while Crompton Greaves Consumer Electricals Ltd. and Bajaj Electricals to underperform.
On profitability Havells India Ltd., Polycab and Voltas Ltd. are expected to outperform. We prefer Havells India given its robust return profile, controlled working capital, cost leader and continuously expanding opportunity market.
Our second pick is Crompton Greaves Consumer Electricals who took corrective measures towards growth such as-
restructuring business in five verticals,
hiring/appointing second level management team,
addressing frontend sales team attrition, and
increasing focus on advertising and promotion and research and development for driving growth.
Although this strategy may impact FY24 financials, we expect better growth FY25 onwards.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
RECOMMENDED FOR YOU
What Does 'PAN PAN' Stand For? Delhi-Goa IndiGo Flight Pilot Said THIS Before Emergency Landing In Mumbai
Jul 17, 2025
Tesla's BKC Showroom: Many Bookings, But No Test Drives Yet
Jul 16, 2025
Hopes Grounded: HC Junks Appeals Of Air India Ex-Staffers Against Eviction Order From Quarters
Jul 15, 2025
US Stocks Rise As Soft Inflation Sinks Bond Yields: Markets Wrap
Jun 12, 2025
POPULAR