After cool FY19, Voltas set to beat summer heat on AC sales boost

The Voltas stock is trading near its 52-week highs on the back of improving prospects, after a muted FY19. The extended winter season in the March quarter, coupled with unfavourable weather conditions during FY19, had impacted its room air conditioner (AC) sales.

The June quarter has, however, helped it reverse the volume trend on the back of a favourable summer season. 

Channel checks by brokerages have pointed towards higher sales, which have helped reduce channel inventories.

The company, too, had indicated a reduction in channel inventory by end of the quarter. 

This should reflect well on profitability as high channel inventories were restricting its