Blue Star Projects 100% Growth In India's HVAC&R Market by 2027

The Indian air-conditioning industry, currently valued at Rs 27,500 crore, is poised to double in the next four years. Blue Star attributes this growth to low AC penetration and rising middle-class incomes. The company has developed a three-year strategic plan focusing on market growth, margin improvement, and technological advancements.


Devdiscourse News Desk | New Delhi | Updated: 14-07-2024 18:37 IST | Created: 14-07-2024 18:37 IST
Blue Star Projects 100% Growth In India's HVAC&R Market by 2027
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The Indian air-conditioning industry, valued at around Rs 27,500 crore (USD 3.3 billion), is expected to double in size within the next four years, according to Blue Star's annual report.

Blue Star Chairman & Managing Director Vir S Advani highlighted that the Indian HVAC&R sector is set for exponential growth. Key drivers include low penetration of room ACs and a growing middle class with high disposable incomes, particularly from Tier III, IV, and V markets.

Advani noted that the overall AC industry, spanning both residential and commercial segments, should see significant advancements, with Blue Star optimistic about future prospects. Changing weather patterns, leading to hotter summers, and the introduction of a resilient product portfolio are expected to boost demand.

The company has launched a three-year strategic plan aimed at enhancing core capabilities, acquiring new skills, and adopting innovative technologies. This includes substantial investments in sales, distribution, R&D, manufacturing, supply chain, and digitalization.

Blue Star's revenue for FY24 grew by 21.4% to Rs 9,685.36 crores. The company also increased its market share in room air-conditioners (RAC) to 13.75% from 13.50% in the previous fiscal year.

(With inputs from agencies.)

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