Brokerage firm Nomura has said that the consumer durables sector has seen strong primary sales momentum in the third quarter and has sustained the same in the fourth quarter too.

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The early onset of the summer season is driving retail demand and improving household sales, Nomura said in its brokerage report. Due to the scorching heat this summer, there has been a strong demand for air-conditioners and other electrical goods. As a result of the limited pass-through of commodity prices, the margin would be impacted sequentially.

The brokerage report states that it expects revenue and earnings before interest, taxes, depreciation and amortization, (EBITDA) growth of 44 percent and 71 percent, respectively, compared to the fourth quarter of FY20, and 26 percent and 54 percent, respectively, compared to the fourth quarter of FY19.

Crompton remains Nomura's top pick in the sector due to its high brand equity. Crompton Greaves Consumer Electricals released a new television commercial for its Optimus Air Cooler range a few weeks ago. The commercial draws attention to tandoor roast in summer in a humorous way. In the ad, it's shown how to convert a hot summer day, when you're roasting like a tandoor on a skewer, into a cool day by operating Optimus Air Coolers.