Nifty Consumer Durables shed over 855 pts amid major Q3 earnings; Kajaria Ceramics, Havells worst hit amid results; Titan, TTK Prestige, Dixon steeply fall

21 Jan 2022 , 02:45 PM

Consumer Durable stocks were in a free fall during Friday’s trading session after Havells India announced its Q3 earnings. Nifty Consumer Durables was the top bear on the exchange with heavyweights dragging the index most. Except for VGuard, all other stocks listed on the index were trading in deep red with marginal to nearly 6% downside.

At around 2.38 pm, Nifty Consumer Durables was trading at 28,610 lower by 855.75 points or 2.90%. The index has touched an intraday high and low of 29,244.80 and 28,603.50.

VGuard was the only stock in green but had a flattish tone.

On the downside, Kajaria Ceramics stock nosedived by 6% ahead of its Q3 earnings today. Havells India followed with a 5.3% downside post Q3.

Havells India missed estimates for third-quarter earnings of FY22 with operating margins weighing on the books. PAT rises by 12% yoy, while revenue increased by 15% yoy as broadly verticals held a steady growth. However, input cost inflation was a spoilsport in the earnings, but festive demand electrical consumer durables (ECD) segment lifted the earnings.

Rajesh Exports and Voltas India plunged by 4.7% and 4.5%. Dixon and Amber tumbled over 4% each.

Orient Electric slipped 3.75%, while Crompton Greaves shed over 3.4%. TTK Prestige dipped nearly 2%.

Stocks like Titan, BlueStar, Whirlpool dived more than 1% each. Relaxo and Bata India were marginally down.

The sector will be in focus with major earnings lined up ahead. TTK Prestige will announce its result on February 01 and index heavyweight Titan is scheduled on February 03.

The sector has made various price hikes on their products since last year to offset the higher input cost – which will play a role in the Q3 earnings.

Air conditioners and refrigerators prices have been hiked starting this year to pass on the impact of higher raw material costs and rising freight charges. Also, home appliances are expected to record a 5-10% price hike between this month to March.