Consumer demand recovery in October boosts hopes for stronger performance in 2HFY25: Report
consumer demand recovery that began in October is raising expectations for a stronger second half of FY25, according to Systematix Institutional Equities report.
While rural demand witnessed a slight uptick, urban consumption has remained largely unchanged, contributing to lower growth in 2QFY25.
The demand trends for the quarter reflected a subdued market, much like the previous quarter, and were further impacted by seasonal factors like the monsoons and religious observances such as 'Shravan' and 'Shraadh.'
The retail sector, particularly apparel, displayed notable variation in performance. Value fashion continued to see strong demand reporting impressive revenue growth and same-store sales growth (SSSG).
Companies across the apparel industry are focusing on store rationalization to enhance margins, although net store additions may remain low in the second half of the year.
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