AC sales slump on price hikes, unseasonal weather; ice cream, beverages stay hot in Q1 FY26
Cooling demand split sharply in the June quarter: AC volumes dropped as 18-20% cumulative price hikes and erratic weather pushed consumers toward coolers and fans, while Mother Dairy, Coca-Cola and Havmor rode quick commerce and impulse buying to strong growth—Mother Dairy clocking 30%+ volume gains in fresh dairy and ice cream.
What happened
Godrej Enterprises · June-quarter cooling demand was uneven: AC sales slumped due to unseasonal weather and 18-20% price hikes pushing down-trading to
Key facts
- AC prices up 18-20% over last few years
- AC industry YTD value growth ~35%
- Mother Dairy 30%+ volume growth in fresh dairy and ice cream
Why this matters
Scout bolt-on targets in regional ice cream, beverages and Q-commerce-native cooling brands while AC OEMs face margin pressure that could surface distressed assets or JV openings.
What to watch
- IMD monsoon withdrawal and CY26 summer forecast
- AC price cuts or EMI scheme announcements pre-festive
- Q-comm platforms (Blinkit, Zepto, Instamart) ice cream/beverage GMV disclosures
- Commodity moves in copper, aluminum, refrigerant gases impacting AC BOM
- Energy labeling norm changes (BEE) that could reset AC price floors
- Track AC OEM (Voltas, Blue Star, Lloyd) Q2 commentary on inventory days and price action
- Monitor Mother Dairy, Hatsun, Havmor q-comm SKU expansion and dark store cooling capex
- Watch Symphony, Crompton, Orient cooler/fan volume disclosures for share gain evidence
- Map Coca-Cola, Varun Beverages q-comm contribution mix shift vs GT