KRN Heat Exchanger and Refrigeration , a player in the commercial air conditioning industry, recently held a conference call to discuss its financial outlook and operational projections. The company's management provided insights into their expectations for margins, capacity utilization, and industry growth.

Financial Outlook

The management of KRN Heat Exchanger and Refrigeration has opted for a cautious approach regarding revenue guidance:

• Revenue Guidance: The company declined to provide specific revenue projections.
• EBITDA Margins: Expected to remain steady at around 20.00%.
• Profit After Tax: Potential for growth due to incentives and tax benefits.

Capacity Utilization and Industry Projections

KRN Heat Exchanger and Refrigeration shared projections for their new facility and industry growth:

The company's approach to capacity utilization suggests a gradual ramp-up strategy for their new facility, potentially aligning with their expectations of industry growth over the coming years.

Conference Call Details

As per the LODR (Listing Obligations and Disclosure Requirements) data, KRN Heat Exchanger and Refrigeration conducted its Q2FY26 Earnings Conference Call on November 6, 2025. The company has made the audio recording of this call available on its website, demonstrating transparency in its communications with investors and analysts.

The audio recording can be accessed at: krnheatexchanger.com/wp-content/uploads/2025/11/Q2-FY26-Concall-Audio-KRN-Heat-Exchanger-and-Refrigeration-Limited.mp3

While the company expects to maintain stable EBITDA margins and sees potential for profit growth, the decision to withhold specific revenue guidance may reflect uncertainties in the broader economic environment or competitive landscape.

KRN Heat Exchanger and Refrigeration Limited reported robust financial results for the second quarter and first half of fiscal year 2026, marked by significant revenue growth and improved profitability.

Financial Highlights

Standalone Performance

Consolidated Performance

Key Business Highlights

• Strategic Acquisition: KRN HVAC Products Pvt. Ltd., a wholly owned subsidiary, signed a Business Transfer Agreement to acquire the Bus Air-Conditioning division of Sphere Refrigeration Systems Pvt. Ltd. This acquisition is expected to strengthen KRN's presence in the automotive HVAC segment.

• Credit Rating Upgrade: The company received a CRISIL A- rating with a Stable Outlook for its bank facilities, reflecting its strong credit profile and consistent operational performance.

• Export Revenue: For H1 FY26, the company's consolidated export revenue was led by United Arab Emirates (47.43%), USA (20.01%), and Canada (18.86%).

Management Commentary

Mr. Santosh Kumar, Chairman & Managing Director, commented on the results: "We are pleased with the strong performance achieved during the second quarter and first half of FY26, marking another step forward in KRN's growth journey. The acquisition of the Bus Air-Conditioning division is a key milestone that expands our presence in the automotive HVAC segment, while the CRISIL A- rating reflects our sound financial health and credibility."

He added, "Looking ahead, our focus remains on enhancing product quality, broadening our global footprint, and nurturing long-term customer relationships. The achievements of Q2 and H1 FY26 give us strong confidence in our direction as KRN evolves into a globally trusted name in the HVAC industry."

KRN Heat Exchanger and Refrigeration Limited continues to demonstrate strong growth momentum, supported by strategic initiatives and expanding market presence. The company's focus on quality, innovation, and customer relationships positions it well for sustained growth in the HVAC industry.

Note: All figures are rounded to two decimal places where applicable.