Latest news with #ruraldemand
Reuters
3 days ago
- Business
- Reuters
India's TTK Prestige posts 36% profit decline on competition, soft rural demand
July 28 (Reuters) - Indian kitchenware maker TTK Prestige ( opens new tab reported a 36% decline in quarterly profit on Monday, hurt by subdued rural demand and increased competition, especially from those selling low-priced goods. Consolidated net profit fell to 266.3 million rupees ($3.07 million) for the first quarter ended June 30 from 417.5 million rupees a year ago, according to a regulatory filing. Revenue from operations rose nearly 4% to 6.09 billion rupees, while total expenses increased about 7%. Consumer-facing businesses selling discretionary goods — from kitchenware to clothing — have been struggling to boost sales over the last several quarters, partly due to slow wage growth. In rural areas - a significant sales driver for TTK Prestige - microfinance lenders have been issuing fewer collateral-free small loans to borrowers due to rising default rates, weighing on demand. In February, TTK Prestige earmarked 5 billion rupees to be spent over three financial years on manufacturing and marketing, as part of its plans to beef up its core business, including cookware and kitchen appliances. PEER COMPARISON * The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT APRIL TO JUNE STOCK PERFORMANCE -- All data from LSEG -- $1 = 86.6125 Indian rupees
Times of Oman
18-07-2025
- Business
- Times of Oman
Rural demand revival to boost FMCG, Auto and Mobile phone sales: Report
New Delhi: The revival in rural demand is expected to play a key role in supporting the recovery of key consumption sectors such as FMCG, consumer durables, automobiles, mobile phones, housing, and apparel, according to a report by PL Capital. The report highlighted that rural demand, which has been ahead of urban demand for the past few quarters, is likely to gain further strength in the coming months due to steady sentiment, rising income and improved agriculture output because of favourable monsoon. It stated, "This recovery will support consumption in FMCG, durables, auto, housing, appliances, mobile phones and apparel etc". The report mentioned that the rural households are showing greater resilience, driven by improved agricultural output and increased government spending on rural development. The rural Consumer Sentiment Index (CSI) has improved steadily from 96.5 in January 2024 to 100 by May 2025. At the same time, the Future Expectations Index (FEI) also rose from 124.3 to 125.9, indicating growing optimism in rural areas. According to the report, the ongoing progress of monsoons and moderation in inflation will help sustain and lift rural demand further. It stated, "Rural sentiments steady, normal monsoons may lift it further" A key factor contributing to this positive trend is improved Kharif sowing, which is up 11.1 per cent year-on-year in Q1 of 2025. Expectations of a healthy Rabi season, supported by normal monsoons, adequate soil moisture, and strong water reservoir levels, are also likely to boost rural incomes across major crop-producing states. Higher rural incomes are expected to directly translate into increased consumption of everyday goods and big-ticket items. This will benefit sectors like fast-moving consumer goods, household appliances, two-wheelers and entry-level cars, mobile phones, and clothing. In addition, the impact of recent tax cuts on consumption is likely to become more visible from August, aligning with festive demand during Raksha Bandhan, Ganesh Chaturthi, and Onam.
