Consumer Sector Check - Further Price Hikes Initiated In Q3 But Inflation Has Not Yet Abated: Nirmal Bang

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.Discussion on ‘Inflation’ took centre-stage in the Q2 FY22 earnings call of consumer companies because of the unprecedented level of inflation seen in input materials along with packaging (corrugated boxes, laminates, etc.) and logistics (fuel) costs. Companies across sub-sectors have already taken various measures, including maximum retail price hikes (usually a last resort) to combat the input cost pressure and reduce the impact on margins. But, as per data available till date, we have seen inflationary trends persist in Q3 FY22 as well. As per various media reports, companies have taken further price hikes during the ongoing quarter. Indication of another round of price hikes was already given by some companies in Q2 FY22 earnings call itself. While these actions will help reduce some pain and concerns about near term margin pressure will start receding now, we believe it won’t be adequate to offset the entire pressure in Q3 FY22..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Consumer Sector Check - Further Price Hikes Initiated In Q3 But Inflation Has Not Yet Abated: Nirmal Bang

Consumer Sector Check - Further Price Hikes Initiated In Q3 But Inflation Has Not Yet Abated: Nirmal Bang

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