KRN Heat Exchanger and Refrigeration (KRN) Q2 25/26 earnings summary

Executive summary

• Q2 and H1 FY26 standalone and consolidated revenue and profit grew YoY, while standalone margins eased.

• Strategic developments included the Sphere Refrigeration Systems Bus AC division acquisition, Neemrana production, and a CRISIL A- rating with Stable Outlook.

Financial highlights

• Standalone Q2 revenue was ₹22,342.50 lakh vs ₹9,894 lakh; EBITDA ₹29.60 Cr vs ₹17.56 Cr; PAT ₹2,365.67 lakh vs ₹1,211 lakh.

• Standalone H1 revenue was ₹33,782.40 lakh vs ₹19,639 lakh; EBITDA ₹49.38 Cr vs ₹34.62 Cr; PAT ₹3,934.23 lakh vs ₹2,373 lakh.

• Consolidated Q2 revenue was ₹15,206.82 lakh vs ₹9,109.59 lakh; PAT ₹1,802.12 lakh vs ₹1,231 lakh.

• Consolidated H1 revenue was ₹26,735.03 lakh vs ₹18,688.04 lakh; PAT ₹3,044.20 lakh vs ₹2,428 lakh.

• Standalone Q2/H1 EBITDA margins were 13.25%/14.62% vs 17.75%/17.63%; consolidated Q2/H1 EBITDA margins were 19.89%/17.90%.

Segment performance

• Standalone Q2 segment revenue: India ₹20,148.76 lakh and overseas ₹2,193.74 lakh; H1: India ₹29,699.86 lakh and overseas ₹4,082.54 lakh.

• Consolidated Q2 segment revenue: India ₹12,791.34 lakh and overseas ₹2,415.48 lakh; H1: India ₹22,430.75 lakh and overseas ₹4,304.28 lakh.

• H1 export revenue mix: UAE 47.43%, USA 20.01%, Canada 18.86%, Italy 11.07% and other markets 2.63%.

• Neemrana utilization: evaporator and condenser coils 84.09%; headers and copper parts 84.53%; sheet-metal parts 85.77%.

• FY25 revenue mix was 88.53% domestic and 11.47% export; exports reached 14 countries.