SRF Limited (SRF)
🎯 Key Takeaways
- SRF Limited is transitioning from a mature chemical producer to a growth-oriented specialty materials company, with strategic investments in high-margin segments like Performance Films & Foil and Technical Textiles driving profitability. The company is in a phase of capital deployment to scale emerging businesses while maintaining strong cash flows from core chemicals.
- Revenue grew 2% QoQ to ₹3,491 in Q3FY25.
- ⚠️ Over-reliance on high-growth segments (Performance Films & Foil) that are cyclical and capital-intensive, exposing the company to demand volatility.
📖 The Story
SRF Limited is transitioning from a mature chemical producer to a growth-oriented specialty materials company, with strategic investments in high-margin segments like Performance Films & Foil and Technical Textiles driving profitability. The company is in a phase of capital deployment to scale emerging businesses while maintaining strong cash flows from core chemicals.
📰 What's Happening
In Q1FY27, SRF reported consolidated revenue of ₹5,033 crores, up 32% YoY, with PAT surging 76% to ₹759 crores, reflecting robust segmental growth. Performance Films & Foil revenue rose 42% to ₹2,017 crores, Technical Textiles grew 28% to ₹597 crores, and Chemicals contributed 46% of revenue and 57% of EBIT. The Board approved a ₹250 crore investment for a BOPET thick film line and ongoing capex in Specialty Chemicals to enhance capacity and efficiency. An interim dividend of ₹5 per share was declared, payable by 18 August 2026.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Q4FY23 | Q1FY24 | Q2FY24 | Q3FY24 | Q4FY24 | Q1FY25 | Q2FY25 | Q3FY25 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 38 | 3,338 | 3,177 | 3,053 | 3,570 | 3,464 | 3,424 | 3,491 |
| Operating Profit | 10 | 708 | 655 | 585 | 719 | 629 | 571 | 659 |
| OPM % | 24.7% | 20.9% | 19.7% | 18.5% | 19.5% | 17.4% | 15.7% | 17.8% |
| Net Profit | 6 | 359 | 301 | 253 | 422 | 252 | 201 | 271 |
| EPS | ₹18.97 | ₹12.12 | ₹10.15 | ₹8.55 | ₹14.24 | ₹8.51 | ₹6.79 | ₹9.15 |
Revenue and profitability have shown consistent improvement over recent quarters, with OPM expanding from 15.7% in Q2FY25 to 17.8% in Q3FY25, and PAT rising from ₹201 crores in Q2FY25 to ₹271 crores in Q3FY25. The company has demonstrated cyclical strength in Chemicals and growing momentum in Technical Textiles and Performance Films. The latest Q1FY27 results confirm this trajectory, with EBITDA up 61% YoY and PAT margin expanding to 15.1%, supported by favorable product mix and margin recovery in Chemicals.
🔮 Management Outlook & What's Next
Management highlighted the Board's approval of a ₹250 crore capex proposal to establish a BOPET thick film line, aimed at enhancing capacity and efficiency in Specialty Chemicals. This investment underscores the strategic focus on scaling high-growth segments. No formal long-term guidance was provided beyond the capex plan, but management emphasized sustained investment to capture growth in specialty materials and improve operational efficiency.
Extracted from official company announcements. Not StockFin.ai's opinion.
⚖️ Peer Comparison — Chemicals & Petrochemicals
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| Solar Industries India Limited | 1.57 L Cr | 132.3 | — | — | — |
| Pidilite Industries Limited | 1.49 L Cr | 75.7 | — | — | — |
| SRF Limited | 79,723 | 69.5 | — | — | — |
| Linde India Limited | 62,701 | 141.9 | — | — | — |
| Gujarat Fluorochemicals Limited | 40,793 | 89.6 | — | — | — |
| Navin Fluorine International Limited | 35,894 | 131.5 | — | — | — |
| Himadri Speciality Chemical Limited | 30,071 | 56.6 | — | — | — |
| Deepak Nitrite Limited | 24,911 | 33.3 | — | — | — |
| Atul Limited | 20,904 | 48.8 | — | — | — |
| Tata Chemicals Limited | 19,079 | -47.1 | — | — | — |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. Over-reliance on high-growth segments (Performance Films & Foil) that are cyclical and capital-intensive, exposing the company to demand volatility. 2. Margin expansion in Chemicals is partly driven by favorable tax write-backs, which may not recur, raising sustainability concerns. 3. Ongoing tax litigation, though reduced, poses residual legal and compliance risk. 4. Capex execution delays or cost overruns in the BOPET project could pressure near-term cash flows and returns.
📋 Recent Filings
-
🔴 Announcement 27 July 2026SRF Limited disclosed that the Income Tax Department's final assessment order for FY 2022-23 contained a technical error leading to an initial demand ...
-
🔴 Corporate Action 23 July 2026SRF Limited announced that shareholders can submit documents to claim lower or zero TDS on dividends declared on 22 July 2026, with a deadline of 30 J...
-
🔴 Financial Results 23 July 2026SRF Limited announced that the audio recording of its earnings call for the quarter ended June 30, 2026 will be available on its website, providing in...
-
🔴 Corporate Action 22 July 2026SRF Limited announced an interim dividend of Rs 5 per share, representing 50% of the paid-up equity, payable to shareholders on record as of 28 July 2...
-
🟡 Board Meeting 22 July 2026SRF Limited announced the outcome of its Board meeting on 22 July 2026, approving unaudited standalone and consolidated financial results for the quar...
-
🔴 Financial Results 22 July 2026SRF Limited reported consolidated revenue of **₹5,033 crores** for Q1FY27, up 32% YoY from ₹3,819 crores, with PAT rising 76% to ₹759 crores. EBIT gre...
-
🔴 Financial Results 22 July 2026SRF Limited reported consolidated revenue of **₹5,033.3 crores** for Q1 FY27, up 31.8% YoY, with EBITDA at **₹1,372.6 crores** (+61.4% YoY) and PAT ma...
-
🔴 Corporate Action 22 July 2026SRF Limited announced an interim dividend of 50% (Rs 5 per share) payable to shareholders on record as of 28 July 2026, with payment scheduled on or b...
-
🟡 Board Meeting 22 July 2026SRF Limited announced board approval to set up a 25,000 MTPA BOPET thick film line at a cost of **₹250 crores**, to be commissioned within 24 months u...
-
Financial Results 1 July 2026SRF Limited announced that its trading window will close on 1 July 2026 and remain shut until 48 hours after the unaudited Q1 results are declared, wi...
🧠 Analyst's Read
SRF is executing a clear strategy to shift toward higher-margin specialty materials, supported by strong quarterly growth and capital allocation toward future capacity. Investors should monitor the progress of the BOPET investment and margin sustainability in Chemicals, while watching for any slowdown in segmental growth or macro headwinds from global chemical demand.
Based on filing content and financial data. Not a recommendation.
Read the full analysis
Quarterly trends, balance sheet, cash flow, peer comparison, and AI insights — sign up free to unlock.
Sign Up Free — Unlock Full Analysis2 free AI queries per day.
Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-08-01.
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.
📡 Get AI alerts when SRF files new disclosures
Track SRF filings, board meetings, and corporate actions. Free email alerts at 5 PM.
Track SRF — FreeFree account · 2 AI queries/day
© 2026 StockFin.ai — AI-powered Indian stock research