Canadian Halal Investor.

NYSE Shariah screener · October 2026

Is Lennox International Inc. (LII) Halal?

PASS

Lennox International Inc. · NYSE: LII · Industrials

The short answer

Lennox International passes all three Shariah gates: it manufactures HVAC and refrigeration equipment (no interest-based business), carries about $1,319.5M of interest-bearing debt (10.5% of its ~$12.54 billion market cap), and interest income of about 0.11% of revenue is under the 5% ceiling.

Gate 1 — Business activity: PASS

Gate 1 — business activity: PASS. Lennox International Inc., per its FY2025 Form 10-K (filed February 17, 2026), is 'a global leader in energy-efficient climate-control solutions,' designing, manufacturing, and marketing a broad range of products for the heating, ventilation, air conditioning, and refrigeration (HVACR) markets. Founded in 1895 in Marshalltown, Iowa, it reports two segments: Home Comfort Solutions ($3,343.4 million of 2025 net sales) and Building Climate Solutions ($1,851.9 million).

Products include residential furnaces, air conditioners, and heat pumps; commercial rooftop and unitary HVAC equipment; and Heatcraft commercial refrigeration products (condensing units, unit coolers, fluid coolers) used in supermarkets, restaurants, data centers, and warehouses. It sells through dealers, distributors, and a network of Lennox Stores. It is not an interest-based lender and is not involved in tobacco, gambling, pork, or conventional banking or insurance. In October 2025 it acquired the Duro Dyne and Supco HVAC-parts businesses. The business passes gate 1.

Gate 2 — Debt and cash: PASS

Gate 2 — interest-bearing debt: PASS (10.5%, ceiling 33%). Per Lennox International's FY2025 Form 10-K, total debt was $1,388.4 million at December 31, 2025: commercial paper of $226.0 million, current maturities of $18.3 million, long-term debt of $1,144.1 million ($300.0 million term loan borrowed October 2025 plus $800.0 million of senior unsecured notes). Finance lease obligations ($18.3 million current plus $50.6 million long-term, totaling $68.9 million) are excluded — they are not interest-bearing debt.

Interest-bearing debt of about $1,319.5 million against a market capitalization of about $12.54 billion (Finnhub, October 2, 2026) is about 10.5%, under the 33% ceiling. Cash and cash equivalents of $34.2 million plus $0.5 million of short-term investments at December 31, 2025 represent about 0.3% of market cap ($18.5 million of restricted cash equivalents sit in long-term assets).

Gate 3 — Non-compliant income: PASS

Gate 3 — non-compliant income: PASS (0.11%, ceiling 5%). Lennox International's FY2025 Form 10-K separately discloses interest income in the 'Interest expense, net' note: 'Less: Interest income' of $5.5 million against net sales of $5,195.3 million is about 0.11% — far under the 5% ceiling (interest expense net of capitalized interest was $46.4 million, for net interest expense of $40.9 million).

The same note shows interest income of $5.4 million in 2024 and $4.3 million in 2023, so the disclosed figure is stable year to year. The annual figure (0.11%) is used for this gate.

Key figures used

Frequently asked questions

What does Lennox International do?

Lennox International Inc. (NYSE: LII) is a US company founded in 1895 that designs, manufactures, and markets heating, ventilation, air conditioning, and refrigeration (HVACR) equipment. Per its FY2025 Form 10-K (filed February 17, 2026), it reports two segments: Home Comfort Solutions ($3,343.4 million of 2025 net sales - residential furnaces, air conditioners, heat pumps, indoor air quality equipment, parts sold through dealers and Lennox Stores) and Building Climate Solutions ($1,851.9 million - commercial rooftop and unitary HVAC equipment, Heatcraft commercial refrigeration products, and service). Well-known brand names include Lennox, Armstrong Air, Ducane, and Heatcraft Worldwide Refrigeration.

Is Lennox International's business Shariah compliant?

Lennox International manufactures and distributes HVAC and refrigeration equipment for residential and commercial buildings - it is not an interest-based lender and is not involved in tobacco, gambling, pork, or conventional banking or insurance. Its products are used in homes, offices, restaurants, retail centers, schools, supermarkets, data centers, and other commercial buildings. Assessed on the filed numbers, the business passes this screener's first gate.

How much interest-bearing debt does Lennox International have?

Lennox International's FY2025 Form 10-K reports total debt of $1,388.4 million at December 31, 2025, which includes $68.9 million of finance lease obligations ($18.3 million current plus $50.6 million long-term) that are not interest-bearing debt. Excluding those leases, interest-bearing debt is about $1,319.5 million - commercial paper of $226.0 million, a $300.0 million term loan (borrowed October 2025), and $800.0 million of senior unsecured notes. Against a market capitalization of about $12.54 billion (Finnhub, October 2, 2026), that is about 10.5% - under the 33% ceiling.

How much interest income does Lennox International earn?

Lennox International's FY2025 Form 10-K separately discloses interest income in the notes: the 'Interest expense, net' note breaks out 'Interest income' of $5.5 million against net sales of $5,195.3 million - about 0.11%, under the 5% ceiling. Interest expense net of capitalized interest was $46.4 million. Cash and cash equivalents of $34.2 million plus $0.5 million of short-term investments at December 31, 2025 represent about 0.3% of market capitalization.

What do third-party Shariah screeners say about Lennox International?

Zoya publishes an LII page citing FY2025 figures (about $5,195 million revenue) under its AAOIFI methodology, but the compliance rating on the page did not render cleanly in a text fetch, so its current rating could not be verified from public sources. I could not verify a Musaffa rating page for LII or a ShariaPortfolio rating from public sources. Third-party screeners apply different assumptions and update on different schedules, and their results can change when new financial statements are published - always check the latest screening before investing.

Sources

Screened 2026-10-02 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.

Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).