Consumer Sector Update - Commodity Price Inflation Shot Up After Softening Temporarily: Motilal Oswal

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.The high Q3 FY21 sales base for companies under our coverage may pose a challenge from a topline perspective. Nevertheless, discretionary categories are likely to report strong growth aided by improving mobility, a good festive season, and expected pent-up wedding demand. The management teams of a few companies are anticipating a brief slowdown in rural demand, which is likely to dent the growth prospects for the consumer companies with a sizeable rural customer base. With commodity inflation refusing to ebb even in Q3 FY22, we expect most of the companies under our coverage to see a YoY contraction in their gross margins. To combat the higher input costs, companies continued to take price hikes during the quarter; however, the effects will materialise with a lag. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Consumer Sector Update - Commodity Price Inflation Shot Up After Softening Temporarily: Motilal Oswal

Consumer Sector Update - Commodity Price Inflation Shot Up After Softening Temporarily: Motilal Oswal

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