Blue Star aims to increase its market share in the addressable commercial refrigeration market to 33-35 per cent in the next three years, backed by launching new product categories and clocking higher than industry growth.

The company is planning a total capital expenditure of around ₹400 crore in FY26 in order to expand its manufacturing capacities across room air-conditioner, commercial air-conditioners and commercial refrigeration segments.

The leading air conditioning company currently enjoys around 30 per cent market share in its addressable commercial refrigeration space, which is around ₹5,000 crore.

“We expect the company’s market share in our addressable commercial refrigeration market to grow to 33-35 per cent. We will be growing higher than the industry. The company will also be launching new product categories within this space,” B Thiagarajan, Managing Director, Blue Star Ltd, told reporters on Thursday.

Thiagarajan was in Kolkata on the occasion of launching an extensive range of commercial refrigeration products for the summer. The commercial refrigeration industry is witnessing strong growth.

The company expects this industry will grow around 20 per cent CAGR till 2030. “The commercial refrigeration industry’ growth will be driven by strong growth in three areas–dairy and ice cream, pharmaceutical, and quick service restaurant (QSR) and quick commerce. In the past six months we have seen big growth in quick commerce,” Thiagarajan said.

air conditioner industry

The commercial refrigeration segment contributes to around 12 per cent of Blue Star’s total revenue, which stood at ₹9,685.36 crore in the last financial year. This fiscal the company aims to grow its revenue by 25 per cent. For FY26, the revenue is expected to grow by 20 per cent.

Blue Star said the country’s room air-conditioner industry is likely to grow 19 per cent CAGR till 2030, whereas the company is looking to clock 20-25 per cent CAGR during this period. The company’s market share in the room air-conditioner segment presently stands at 13.75 per cent. “We may close FY25 with 13.80 or 13.90 per cent market share in room AC, while next fiscal it is expected to grow to 14.25 per cent,” the MD said.

The company is planning to invest around ₹200 crore, ₹150 crore and ₹53 crore for increasing production capacities for the room air-conditioner segment, commercial air-conditioners segment and commercial refrigeration segment, respectively.

Blue Star expects 25-30 per cent sales growth for room ACs this summer, whereas the industry is likely to witness 20-25 per cent growth.