Blue Star bets on air conditioner sales to double in four years as disposable income grows

Blue Star, a leading player in India's air conditioning business, is betting for the sales to double in next four years from around Rs 27,500 crore at present as the disposable income in the hands of the middle class grows.

The company also said in its annual report that it will double the production of ACs at the Sri City plant in the Chittoor district of Andhra Pradesh by the end of this fiscal from the current 3 lakh units.

Blue Star's outlook for the Gulf region (GCC countries) remains positive, the company said, and is helping it diversify. "Despite challenges in Qatar and Malaysia due to construction restrictions and weak macroeconomic conditions respectively, Blue Star remains optimistic, fuelled by a positive economic outlook in the GCC region and its commitment to product diversification and market expansion", the annual report said. It offers turnkey solutions in MEP (Mechanical, Electrical, Plumbing, and Fire-fighting) projects in the region.

The excessive heatwave that has gripped various geographies this year is another factor that the company said is amplifying its future business outlook. "Given the changing weather pattern, resulting in hotter summers coupled with new and resilient product portfolio in residential and commercial air-conditioning and refrigeration, the Company is optimistic about its future business outlook."