India's Blue Star posts Q3 profit jump on strong festive demand

Blue Star

30/01/2024 10:22

BENGALURU, Jan 30 (Reuters) - India's Blue Star  BLUS.NS  on Tuesday reported a jump in third-quarter profit, aided by strong demand for its air
conditioners and refrigeration products.
    The company posted a consolidated net profit of one billion rupees ($12 million) for the three months ended Dec. 31, up nearly 72% from last year. Revenue
from operations rose about 25%.

For further results highlights, click (Full Story)

KEY CONTEXT
    Analysts said consumer durables companies saw strong demand during the October-December period due to the festive season.
    Additionally, air conditioner makers like Blue Star saw strong volume growth due to inventory stocking by sellers before the arrival of summer.
    Blue Star, over the past few quarters, has also benefited from the execution of its strong order book. The company said its carried forward order book
grew 24.2% year-on-year to 60.39 billion rupees.
    Rival Havells India  HVEL.NS  earlier this month posted a marginal rise in quarterly profit.

PEER COMPARISON
    
                                                       Valuation (next 12 months)      Estimates (next 12        Analysts' sentiment
                                                                                       months)                   
                                            RIC        PE     EV/EBITDA  Price/Sales   Revenue growth  profit    Mean     # of         Stock to       Div
                                                                                                       growth    rating   analysts     price target   yield
                                                                                                                                                      (%)
 Blue Star Ltd                               BLUS.NS   43.50  28.41      NULL          19.02           34.45     BUY      17           1.12           0.57
 Voltas Ltd                                  VOLT.NS   43.66  36.57      2.41          14.97           53.80     HOLD     34           1.10           0.42
 Havells India Ltd                           HVEL.NS   53.58  35.40      3.93          13.38           27.19     BUY      19           0.92           0.58
 Crompton Greaves Consumer Electricals Ltd   CROP.NS   32.29  21.86      2.40          11.47           24.25     BUY      32           0.90           0.98
  * The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

 ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT  

OCTOBER- DECEMBER STOCK PERFORMANCE
    
    
    
-- All data from LSEG

-- $1 = 83.1168 Indian rupees

    <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
OCTOBER-DECEMBER STOCK PERFORMANCE    https://tmsnrt.rs/3SCTVLs
    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
 (Reporting by Nishit Navin in Bengaluru; Editing by Sohini Goswami)
 ((Nishit.Navin@thomsonreuters.com;))