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ICICIdirect Research 23 Oct 2026 DISCLAIMER

SRF – (CMP - ₹ 2300; TP- ₹ 2845)

Revenues strong, margins miss but upgrade of Chemicals growth guidance and entry into sunrise sectors. Revenues grew 36% YoY to ₹4803.3 crore driven by growth across segments with flagship Chemicals business (42% of the revenues) grew 25% YoY to ~₹2080 crore, Packaging films (43% of revenues) grew 51% YoY to ₹2,122.4 crore and Technical Textiles (12% of revenues) grew 25% YoY to ₹595 crore. EBITDA margins however declined to 19.3%, down ~197 bps due to weakness in Specialty agrochemicals. Importantly, it has raised the Chemicals business growth guidance to 20% (15% earlier) and has also revealed capex plans worth ₹ 600 crore to enter sunrise sectors across EVs, energy storage, semiconductors, and green packaging with ~US$1 billion+ addressable opportunity.   

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