Voltas, Blue Star United Breweries, Varun Beverages and others gain focus as rising mercury lifts product demand

Shares of consumer durable companies, including the likes of Voltas, Havells, Bluestar, Symphony and Crompton Greaves among others are in action. Furthermore, other stocks linked to scorching heat, propelling the demand for products such as soft drink, beer and ice creams are also in focus.

As per Zee Business research desk inputs, of the overall sales, 40-70 per cent sales of AC, refrigerators, air-coolers, ice cream etc have been logged between April-June. In April and May, the sales of cooling appliances have surged 60-100 per cent year-on-year (YoY).

Furthermore, even as the demand for ACs remains robust given the high temperatures, dealers in the product are currently running out of stock. Also, there is reported a crisis in the components of the air conditioners. In the face of these headwinds, AC manufacturers in the country estimate a loss of up to Rs 3000 crore as the increased demand is likely to remain unmet.

From the consumer durables space, Blue Star has given multibagger returns of over 100 per cent in the last one year. 

Voltas which has a strong presence in the RAC or room air conditioners segment aims to improve its market share via increasing its presence across all channels like distributors, modern outlets, e-commerce.

While Varun Beverages and United Breweries have delivered a return of up to 71 per cent and 28 per cent, respectively.

Besides, soft drink and beer manufacturers are also operating at 100 per cent capacity as these companies see up to 35-40 per cent of their sales during the summer season. Alongside there is registered a 25-70 per cent increase in sales of other products amid high-temperatures recorded in the country.