Looking to outpace industry growth with a market share boost, Godrej Enterprises predicts a 50% rise in AC sales next fiscal, driven by strong demand and new smart models.
Godrej Enterprises Group is anticipating a 50 per cent increase in air conditioner (AC) sales for the upcoming fiscal year, driven by strong ongoing demand and the launch of its new product range. This includes smart AC models.
In a report by the Economic Times, Kamal Nandi, the Business Head & EVP of Godrej’s Appliances Business, shared these expectations. He highlighted that while the industry overall is projected to grow by 30-35 per cent, it is unlikely to match last year’s 60 per cent growth due to a high base effect.
As summer approaches, Godrej has expanded its portfolio, introducing premium smart ACs and entering the commercial AC segment with new Cassette and Tower AC models. Nandi revealed that the group expects to close the current fiscal year with a market share of approximately 10 per cent, up from 670,000 to 1.4 million units. This marks a growth rate of over 100 per cent, outpacing the industry growth of 36 per cent.
Looking ahead to FY26, Nandi expressed confidence in sustaining another 50 per cent growth, outpacing the expected industry growth of 30 per cent. The company is particularly focused on its smart AC range, which includes AI-powered models, IoT connectivity, Wi-Fi controls, and a variety of high-capacity and designer models. These products are priced from Rs 42,900 and will be available across India through authorised stores and e-commerce platforms.
Regarding industry trends, Nandi forecasted that the overall AC market in FY25 will reach 14 million units, bringing the total to 18 million units.
The company has been preparing for a potentially high demand this summer, particularly after last year’s heatwave, which caused a spike in AC consumption and led to supply shortages. Although the growth rate may not be as high as in 2024, Godrej expects the market to expand by 30-35 per cent this year.
