Voltas eyes double-digit growth, expects 1st-time buyers to lift AC demand
Industry estimates show only a tenth of Indian households own an AC, compared to two-thirds in China and one-third in Thailand
 "Voltas eyes double-digit growth, expects 1st-time buyers to lift AC demand")
India's Voltas expects a double-digit revenue growth in its room air conditioner business this summer, betting on first-time buyers to lead a rebound in demand after a subdued season last year, according to a senior company executive.
Industry estimates show only a tenth of Indian households own an AC, compared to two-thirds in China and one-third in Thailand, even as the world's most populous country frequently grapples with heat waves.
"Research shows 85 per cent of buyers are first-time buyers," Jayant Balan, who heads Voltas' room AC business, told Reuters in an interview on Wednesday, adding the category's revenue will grow in the double-digit percentage range in the April-June quarter.
Revenue from Voltas' business group that sells room ACs and accounts for two-thirds of overall revenue slumped 25 per cent in April-June 2025 due to early monsoon showers and milder summer temperatures. The firm booked ₹15,413 crore ($1.7 billion) in total revenue in 2024-25.
Voltas, India's AC market leader with nearly an 18 per cent share, competes with local rival Blue Star, Japan's Daikin Industries and South Korea's LG Electronics.
ACs are likely to get more expensive this year despite September's consumption tax cuts, as Voltas has raised prices after new energy-efficiency norms took effect, and as soaring copper and silver prices lift input costs.
Further commodity inflation could trigger additional price increases, Balan said.
US President Donald Trump announced a trade deal with India on Monday to cut tariffs to 18 per cent from 50 per cent in exchange for New Delhi halting Russian oil purchases and lowering trade barriers, including on US industrial goods.
It came days after India's trade deal with the European Union, opening the door to freer trade with its 27 members.
Balan dismissed concerns over new entrants, saying Voltas already contends with more cost-competitive rivals.
Voltas is also looking to quickly expand its small export footprint, with its research and development teams developing products for overseas markets, as Europe increasingly adopts ACs.
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