Nomura warns about air conditioning sector in India

Fri Dec 21, 2012 10:50am IST

Employees work at an air conditioner production line in a factory at Jhajjar district in Haryana December 12, 2012. REUTERS/Mansi Thapliyal

Employees work at an air conditioner production line in a factory at Jhajjar district in Haryana December 12, 2012.

Credit: Reuters/Mansi Thapliyal

Related Topics

Stocks

   

Reuters Market Eye - Nomura says it has come away "with extremely negative takeaways" for the Indian heating, ventilation and air conditioning (HVAC) market after meeting with Blue Star's (BLUS.NS) executive in charge of the segment.

Nomura says Blue Star sees the HVAC market suffering from declining orders and intensifying competition, according to a note dated on Thursday.

As such, margins are under pressure, while customers are delaying payments, Nomura says citing Blue Star's comments.

Nomura expects the negative trends in HVAC to also impact Voltas (VOLT.NS), noting the air conditioner maker has recently been aggressive in the domestic market following a slowdown in new order inflow in the overseas markets.

Blue Star shares fall 1 percent, while Voltas shares are down 2.1 percent.

(Reporting Manoj Dharra)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Fuelling Change

REUTERS SHOWCASE

NSEL Fraud

NSEL Fraud

Govt orders Financial Tech to absorb NSEL, liabilities  Full Article 

Stalemate

Stalemate

WTO prepares for crisis talks as India keeps veto on global deal.  Full Article 

Deal Talk

Deal Talk

Smartphone repair company B2X steps up expansion with Indian deal.  Full Article 

Earnings Season

Earnings Season

HDFC Bank eyes pickup in corporate credit.  Full Article 

JLR China

JLR China

JLR sees 20 percent growth in China sales this year - exec  Full Article 

Iron Ore Imports

Iron Ore Imports

JSW Steel to boost iron ore imports by up to 80 percent.  Full Article 

Pollution Levels

Pollution Levels

Delhi braces for worst air quality this Diwali week.  Full Article 

Remembering Margerie

Remembering Margerie

Total’s "Big Moustache"- bon vivant, deal-maker and risk-taker .  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage