AC sales slump in Q1FY26 as cooling demand splits; beverages, ice cream and dairy stay resilient
Unseasonal weather and 18-20% AC price hikes over recent years dragged room AC offtake in the June quarter, even as beverages, ice cream and fresh dairy logged strong growth. Mother Dairy clocked 30%+ volume growth in fresh dairy and ice cream, with quick commerce, smaller packs and impulse buying fuelling FMCG cooling categories.
June quarter cooling demand was mixed in India: AC sales slumped on unseasonal weather and 18-20% price hikes, while beverages, ice cream and dairy posted strong growth led by quick commerce, smaller packs and impulse consumption.
Why this matters
Godrej Enterprises faces a tougher AC cycle as cumulative 18-20% price hikes meet erratic weather, shifting cooling spend toward FMCG categories like beverages, ice cream and fresh dairy where Mother Dairy posted 30%+ growth.
Retail-brand signals steady at 2,013 over the last 90 days, with cooling categories driving the current split.