KRN Heat Exchanger and Refrigeration Limited – Investor Presentation Summary
Key Operational Highlights
- Manufacturing facilities total 945,076.1 sq ft across two locations in Neemrana, Rajasthan.
- Product portfolio includes Fin & Tube Coils, Bar & Plate, Complete HVAC Systems, Bus AC Systems, Refrigeration Components, Technical Tubes, Sheet Metal Parts, and Tubings.
- Serves diverse end-use industries including HVAC, refrigeration, data centers, automotive, railways, industrial cooling, process applications, power, and marine.
- Key drivers of operational performance: Expanded manufacturing capabilities, qualification of more customers, wider product range, and strong export growth.
Segment-wise Performance
Not Specified
Financial Highlights
Revenue: Rs. 319.14 crore (Q2 FY27), Rs. 571.45 crore (H1 FY27)
EBITDA: Rs. 48.75 crore (Q2 FY27), Rs. 97.81 crore (H1 FY27)
PAT: Rs. 36.11 crore (Q2 FY27), Rs. 69.01 crore (H1 FY27)
EPS: Rs. 5.52 (Q2 FY27), Rs. 10.72 (H1 FY27)
Margins: EBITDA Margin 15.27% (Q2 FY27), 17.12% (H1 FY27); PAT Margin 11.32% (Q2 FY27), 12.08% (H1 FY27)
YoY comparison: Q2 FY27 Revenue up 109.86% YoY, PAT up 100.38% YoY; H1 FY27 Revenue up 113.75% YoY, PAT up 126.68% YoY
Drivers of financial performance: Business growth across customers, products and geographies; expanded manufacturing capabilities; strong export growth.
Key Risks: Not explicitly disclosed in presentation.
Geographical Revenue Split
Domestic vs Export/Regional Revenue:
- Exports have grown several times over and now make up a much larger part of the business
- Established exports across key geographies including North America, Europe, and the UAE
- Customers in North America and Europe are giving more business
Balance Sheet Snapshot (FY26)
Net Debt/Equity: Not specified
Reserves: Rs. 511.84 crore
Current Assets/Liabilities: Current Assets Rs. 583.12 crore; Current Liabilities Rs. 355.58 crore
Working Capital/Leverage Metrics: Inventories Rs. 272.91 crore; Trade receivables Rs. 174.71 crore
Financial Health Insights: Stronger balance sheet mentioned as supporting growth plans
Capex & Cash Flow Health
Capital Expenditure: Not specified for current period
Free Cash Flow: Not specified
Operating Cash Flow: Rs. -113.80 crore (FY26)
Net Debt Movement: Not disclosed
Investment Rationale: Focus on capacity expansion and technology upgrades
Strategic & R&D Initiatives
- Established KRN HVAC Product Pvt. Ltd. and acquired the Bus AC Division of Sphere Refrigeration Systems (2025-2026)
- Developing products for liquid cooling as data center technology evolves
- Strengthening teams and systems to scale with discipline
Expected impact on growth: Data center cooling becoming an important growth engine; bus AC provides another area to grow in
Strategic Rationale: Expanding into high-growth markets like data centers and bus AC; reducing operational costs
Industry Trends & Business Environment
Macro/Industry Trends: Demand for HVAC and refrigeration solutions keeps growing across data centers, infrastructure, mobility and industrial cooling
Impact on Company: Customers in data center segment planning and placing orders well in advance; technology moving toward liquid cooling
Management Commentary & Growth Outlook
Strategic Outlook: "Looking ahead, we are optimistic about the opportunities in front of us. Demand for HVAC and refrigeration solutions keeps growing across data centres, infrastructure, mobility and industrial cooling. We are strengthening our teams and systems so that we can scale with discipline. With a stronger balance sheet, larger capacity and a wider customer base, KRN is well placed to keep growing in the quarters ahead." - Mr. Santosh Kumar Yadav, Chairman and Managing Director
FY Guidance: Not explicitly provided
Market Share Targets: Not specified
Risks and Opportunities: Not explicitly highlighted beyond forward-looking statement disclaimer