Blue Star Targeting Mass Market For Increasing Share; PLI Could Accelerate Industry Capex: Dolat Capital
An employee inspects the indoor unit of a split system air conditioner on an assembly line in a factory in Rajasthan (Photographer Prashanth Vishwanathan/Bloomberg)

Blue Star Targeting Mass Market For Increasing Share; PLI Could Accelerate Industry Capex: Dolat Capital

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Dolat Capital Report

The air conditioner industry is witnessing a strong offtake for the current summer as per our interaction with Blue Star Ltd.

The company has taken a 5-8% price hike so far but expects the next round of price hike to likely happen in April. It expects the combination of price hike and scale effect to help it maintain margins.

Company has already launched mass market products and aims to target tier-3/4 cities and after establishing in South India, continues its efforts to improve share in North India.

It opines that production-linked incentive can accelerate indigenization of AC components in India.

Click on the attachment to read the full report:

Dolat Capital Blue Star Company Update.pdf

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