We continue recommending Blue star Ltd a “STRONG BUY”. Blue Star is India’s largest central air conditioning company with an annual turnover of INR 2914 crores, a network of 32 offices, 7 modern manufacturing facilities, over 2000 dealers and around 2700 employees. It fulfills the air‐conditioning needs of a large number of corporate, commercial and residential customers and has also established leadership in the field of commercial refrigeration. Hence, with higher margin orders in execution, uptick in investment cycle to start in FY16e as the economy revives, healthy contribution by cooling products to continue, Blue star is set to outperform in future. Also, the management’s effort to control cost; focus on improving the quality of new orders and going for more value engineering is likely to drive margins.