AI-generated · cited to primary sources · not investment advice
KRN Heat Exchan (544263) Nov 2025 Filing Analysis
Does management do what it says?
The company achieved a consolidated EBITDA margin of 20.28% for Q3 FY26, surpassing the sustainable guidance of 20%. (1 exceeded, 1 missed across 2 tracked commitments)
“but it is like 20% is sustainable... I think what we promised and what we are trying to say about this EBITDA is around 20% is, I think, sustainable for us.”
The company expects to receive at least 50% of the heat exchange orders for the Google data center project in Visakhapatnam. — target: 50%
“So, we are assuming almost INR1,000 crores to INR500 crores value exchange that we use on particular this project only. And as of now, what capacity we have, so we are expecting at least 50% we will receive.”
The company expects its solar installation to be operational within two weeks, providing a 0.5% revenue-equivalent cost saving. — target: 0.5% saving
“So, it will I think it will start maybe next two weeks for both. So, then we will have at least benefit in terms of our, I think around half percent of saving we can say maybe in terms of revenue.”
See the full cited Management analysis of KRN Heat Exchan
How durable is the business?
The company maintains a sustainable EBITDA margin of approximately 20% by passing through raw material price fluctuations (copper and aluminum) to customers with a one-quarter lag. (2 stable, 2 contracting)
“So, what your difference to see in especially in the EBITDA, like two or three percent up and down... risk is not our side, we just always pass to our customer.”
See the full cited Business Model analysis of KRN Heat Exchan
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