KRN Heat Exchanger’s Neemrana Facility Receives Rs 182.95 Cr Incentive from Rajasthan Government

Jaipur (Rajasthan) [India], May 21: KRN Heat Exchanger and Refrigeration Limited (BSE: 544263 | INE0Q3J01015 | NSE: KRN), one of India’s leading manufacturers of heat exchangers and HVAC solutions, has secured a major incentive approval under the Rajasthan Investment Promotion Scheme (RIPS-2024) for its Neemrana manufacturing facility. The award significantly boosts its long-term cost competitiveness and profitability.

The approval, granted to its wholly owned subsidiary KRN HVAC Products Private Limited, is linked to an eligible fixed capital investment (EFCI) of ₹182.95 crore, underlining the scale of the Company’s manufacturing commitment in Rajasthan.

As part of the scheme, KRN will benefit from:

• Turnover-linked incentive of 1.54% of net sales/turnover, comprising a 1.40% base incentive plus an additional 10% employment booster on the base incentive, supporting margin expansion

• Incentives linked to a State-approved Eligible Fixed Capital Investment (EFCI) of ₹182.95 crore, reinforcing scale-driven operating leverage

This development is expected to deliver sustained financial benefits over the coming years, improving cost efficiencies, supporting margin expansion, and strengthening the competitiveness of KRN’s Neemrana operations. The approval also validates the Company’s strategic focus on scaling manufacturing with strong policy support.

The entitlement certificate was issued on May 20, 2026.

Commenting on the update, Mr. Santosh Kumar, Chairman & Managing Director of KRN Heat Exchanger and Refrigeration Limited, said, “This is a significant value-accretive development for KRN. The incentive linked to a large investment base at our Neemrana, Rajasthan facility will materially enhance our operating leverage and profitability over the coming years. It also reinforces our long-term manufacturing strategy and provides strong momentum as we continue to scale our operations.”

About KRN Heat Exchangers and Refrigeration Limited

KRN Heat Exchanger and Refrigeration Limited (KRN, the “Company”), founded in 2017 in Neemrana, India, specializes in manufacturing aluminium and copper fin and tube heat exchangers, including water coils, condenser coils, and evaporator coils. Their products are widely used by OEMs in the HVAC&R industry for heating, ventilation, air conditioning, and refrigeration applications. With a factory spanning 1,50,000 square feet, KRN produces over 1 million units annually, exporting around 23% of its output.

The company is supported by a skilled engineering team with over 20+ years of industry experience, focusing on creating customized, durable solutions that meet international quality standards. By building on their expertise, KRN focuses on product quality and manufacturing processes for reliable end-user solutions.

In FY26, the company reported significant financial results, including Standalone total income of ₹689.95 Cr, EBITDA of ₹84.79 Cr, and Net Profit of ₹71.31 Cr

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