Consumer Durables – Oct-Dec’25 Earnings Preview – Strong momentum in W&C while durables lags
Published on 08 Jan 2026
W&C companies under our coverage continues to deliver a strong growth due to elevated realizations aided by volume growth. Exports are expected to decline in Q3FY26 due to weakness in the US markets. However, the FMEG segment struggled due to increasing components cost, though the festive demand provided some relief. RAC companies continues to face elevated inventory levels. We expect our consumer durables universe to register sales/EBITDA/PAT growth of 12.0%/12.5%/15.1% YoY in Q3FY26. Furthermore, we anticipate KEI, POLYCAB and RRKABLE to outperform, while LGEL to underperform in sales. In terms of profitability, RR Kabel is expected to outperform.
We continue our positive view on W&C companies driven by enhanced realizations, domestic tailwinds, and favorable industry trends in both domestic and export markets while KEI and Polycab are our top picks.
