India Consumer, Retail and Durable/Electrical: 1QFY27E Preview: Underlying Demand Improving, Category Trends Mixed

Research evidence excerpt

India Consumer, Retail and Durable/Electrical: 1QFY27E Preview: Underlying Demand Improving, Category Trends Mixed

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01 Jul 2026 00:16:06 ET │ 23 pages

India Consumer, Retail and

Durable/Electrical

1QFY27E Preview: Underlying Demand Improving, Category Trends

Mixed Ashish Kanodia, CFA AC +91-22-6175-9805

ashish.kanodia@citi.com

CITI'S TAKE

We expect revenue growth for consumer discretionary and retail companies

to witness improvement led by improving consumption environment and

soft base. Growth momentum for (a) cooling categories (ACs/fans) should

see strong demand uptick; higher RM prices and fx are near‑term

headwinds; (b) jewellery players to remain strong; and (c) cables & wires to

see strong growth trend continuing in 1Q. Managements’ commentary on

overall demand environment/consumer sentiment, impact of RM prices and

fx and Middle East related impact on businesses will be key. We expect

management outlook for FY27 to be incrementally positive with visibility

beyond next few quarters largely dependent on demand trend sustaining

and geopolitical stability. We prefer Jewellery and Durables/Electricals over

other categories; our top picks are Titan, Polycab and LG Electronics India.

What to watch out for — Management commentary on underlying demand

environment, Middle East related impact on businesses and degree of price hike to

pass on the impact of RM inflation and fx.

Company/sub-segment specific expectations

– Jewellery: We expect growth momentum to continue in 1Q led by high gold prices

YoY and sustained strong demand; we model 35%/43% YoY India revenue growth

(ex-bullion) for Titan/Kalyan.

– QSR: We expect underlying demand to improve; favorable base and initiatives by

company should further help in driving higher growth. We expect JUBI to report