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:

Lost Flight

Passengers check in an AirAsia flight at Soekarno-Hatta International Airport in Jakarta December 28, 2014. REUTERS/Pius Erlangga

Indonesia halts search for missing AirAsia plane as night falls

Indonesia called off until first light a search for an AirAsia plane with 162 people on board that went missing on Sunday after pilots asked to change course to avoid bad weather during a flight from Indonesia's Surabaya city to Singapore.  Full Article 

REUTERS SHOWCASE

Fighting Insolvency

Fighting Insolvency

SpiceJet says has cleared employee salaries, fuel dues  Full Article 

Antitrust Probe

Antitrust Probe

China's antitrust regulator says Qualcomm case to be settled soon  Full Article 

Losing Market Share

Losing Market Share

China challenges India's polished diamond throne  Full Article 

India in 2014

India in 2014

A review of the top stories from India  Full Coverage 

Reuters India Mobile

Reuters India Mobile

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