Gujarat Fluorochemicals Ltd (FLUOROCHEM)

Chemicals · Chemicals · NSE · Updated 1 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹4,773.9 ↑ 40.31% (1Y)

🎯 Key Takeaways

  • Gujarat Fluorochemicals Ltd is transitioning from a mature chemical manufacturer into a growth-oriented, sustainability-driven enterprise, evidenced by strong sequential financial recovery, margin expansion, and strategic ESG commitments. The company is in a turnaround and early growth phase, leveraging operational improvements and capital discipline to enhance profitability while investing in long-term decarbonization.
  • Revenue grew 16% QoQ to ₹1,588 in Q1FY27.
  • ⚠️ Revenue volatility persists despite sequential growth, with no clear indication of sustainable demand drivers beyond short-term operational improvemen
Market Cap
₹52,441
P/E Ratio
85.7
P/B Ratio
6.72
ROE
7.7%
ROCE
9.6%
Debt/Equity
0.34
Div Yield
0.06%
Promoter
61.4%

📖 The Story

Gujarat Fluorochemicals Ltd is transitioning from a mature chemical manufacturer into a growth-oriented, sustainability-driven enterprise, evidenced by strong sequential financial recovery, margin expansion, and strategic ESG commitments. The company is in a turnaround and early growth phase, leveraging operational improvements and capital discipline to enhance profitability while investing in long-term decarbonization.

📰 What's Happening

In Q1 FY27 (June 2026), the company reported revenue of ₹1,588 Cr, up from ₹1,369 Cr in Q4 FY26, with net profit surging to ₹219 Cr from ₹100 Cr, driven by improved operating performance and margin expansion to 20.5%. Management presented these results at investor conferences, including the Ashwamedh-Elara Dialogue on September 2, 2026, where no unpublished price-sensitive information was disclosed. The firm also filed its BRSR report on August 27, 2026, outlining a net zero roadmap targeting Scope 1 and 2 emissions by 2040 and 2050 across the value chain, alongside expanded renewable energy and water recycling initiatives. Additionally, a final dividend of ₹3 per share (300% on face value) was proposed for FY25-26, with payment contingent on AGM approval on September 24, 2026.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricJun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Revenue1,2811,2101,1361,3691,588
Operating Profit254273186211326
OPM %19.8%22.6%16.4%15.4%20.5%
Net Profit184179102100219
EPS₹16.75₹16.31₹9.29₹9.92₹20.17

The company has demonstrated a clear upward trajectory in profitability and operational efficiency, with revenue growing sequentially from ₹1,136 Cr in December 2025 to ₹1,588 Cr in June 2026, while OPM improved to 20.5% from 15.4% in the prior quarter. Net profit nearly doubled to ₹219 Cr, and EPS rose to ₹20.17, reflecting stronger earnings momentum. This improvement aligns with management’s focus on margin enhancement and operational excellence, although revenue growth remains volatile quarter-over-quarter, with peaks in September 2025 (₹1,210 Cr, 22.6% OPM) and troughs in June 2025 (₹1,281 Cr, 19.8% OPM). The financial trend supports management’s narrative of a recovery phase driven by cost optimization and product mix benefits.

🔮 Management Outlook & What's Next

Management has expressed a forward-looking commitment to sustainability and long-term value creation, targeting net zero emissions by 2040 (Scope 1 and 2) and 2050 across the value chain. The BRSR report highlights expanded renewable energy projects, water stewardship, and waste recovery as key focus areas. While no formal financial guidance was provided in the latest filings, management emphasized the importance of ESG integration as a strategic imperative. The company continues to prioritize capital discipline, with no announced capex plans disclosed in recent filings, suggesting investments are being evaluated within existing cash flow generation capabilities.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2025Mar 2025Mar 2026Mar 2026
Equity Capital111111
Reserves6,1287,2427,6067,805
Borrowings2,1792,0801,7222,629
Total Liabilities9,49810,60910,61811,883
Fixed Assets4,4184,2334,1554,832
Investments129056277
Total Assets9,49810,60910,61811,883

The balance sheet shows a stable capital structure with equity of ₹11 Cr and reserves growing to ₹7,805 Cr as of March 2026, up from ₹7,242 Cr in March 2025. Borrowings declined to ₹2,629 Cr from ₹2,080 Cr over the same period, indicating a deliberate reduction in leverage despite asset growth. Total assets increased to ₹11,883 Cr, suggesting operational expansion is being funded through retained earnings and modest debt reduction. This reflects a conservative capital allocation strategy, with no major acquisitions or large-scale capex announcements, and a focus on strengthening financial resilience while supporting growth.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2025Mar 2026
Operating+545+961
Investing-1,121-1,168
Financing+599+367
Net Cash Flow+24+160

👥 Shareholding Pattern

CategoryQ2FY26Q3FY26Q4FY26Q1FY27
Promoters61.4%61.4%61.4%61.4%
FII4.4%4.3%4.3%4.4%
DII12.7%12.8%13.5%13.3%
Public14.5%14.5%14.0%14.1%
# Shareholders66,49364,66462,70361,120

Promoter holding remains stable at 61.39% across all quarters, indicating confidence in long-term prospects. Institutional interest is rising, with FII shareholding increasing to 4.41% in Q1FY27 from 4.28% in Q4FY26, and DII also showing slight accumulation. The number of public shareholders has declined slightly from 66,493 in Q2FY26 to 61,120 in Q1FY27, but this may reflect consolidation rather than exit. No significant selling by promoters or institutions is evident, and the stable promoter stake combined with growing institutional participation suggests improving investor sentiment.

⚖️ Peer Comparison — Chemicals

Company MCap (₹ Cr) P/E ROCE ROE D/E
PIDILITIND 1.66 L Cr 62.6 33.4% 24.7% 0.01
SRF 76,916 35.6 15.6% 15.4% 0.36
LINDEINDIA 55,474 101.5 17.5% 12.8% 0.00
FLUOROCHEM 52,441 85.7 9.6% 7.7% 0.34
NAVINFLUOR 43,655 55.2 22.2% 19.9% 0.31
GODREJIND 39,359 33.5 9.2% 19.8% 4.57
HSCL 33,953 42.2 20.7% 17.1% 0.16
DEEPAKNTR 24,047 30.7 15.3% 13.4% 0.26
AETHER 22,519 95.5 13.8% 10.6% 0.08
AARTIIND 19,602 36.9 9.2% 9.5% 0.68

⚠️ Risk Factors

1. Revenue volatility persists despite sequential growth, with no clear indication of sustainable demand drivers beyond short-term operational improvements. 2. High P/E of 85.7 suggests market expectations may be pricing in aggressive future growth, which could be vulnerable to macroeconomic or commodity price shocks. 3. While margins have improved, OPM remains below historical peaks (e.g., 22.6% in Sep 2025), indicating potential headwinds from input costs or pricing pressure. 4. No disclosed capex or expansion plans may limit long-term growth visibility, especially in a capital-intensive chemical sector requiring reinvestment.

📋 Recent Filings

🧠 Analyst's Read

Gujarat Fluorochemicals is emerging as a turnaround story with improving profitability and a clear sustainability strategy, supported by strong Q1 FY27 results and strategic ESG commitments. Investors should monitor upcoming investor presentations for clarity on growth drivers, capex plans, and margin sustainability, as the company navigates the transition from operational recovery to scalable growth.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-01.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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