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SRF revenues grew 32% YoY to ₹4,939 crore

ICICIdirect Research 23 Jul 2026 DISCLAIMER

News: SRF revenues grew 32% YoY to ₹4,939 crore driven by Chemicals (46% of revenues) which grew 26% YoY, to ₹2,315 crore. Similarly, Packaging Films (40% of revenues) grew by 42% YoY to ₹2,017 crore and Technical Textile (12% of revenues) grew by 28% YoY to ₹597 crore. Consolidated EBITDA stood at ₹1,237 crore, up 49% YoY, translating to margins of 24.6%, up ~280 bps YoY while Chemical Business EBIT came in at ₹638 crore, up 27% YoY. PAT for the quarter stood at ₹759 crore, up 76% YoY.

View: The company reported a robust quarter across all its segments. In Chemicals, the specialty chemicals sub-segment delivered a steady performance despite industry overcapacity in China, and ongoing geopolitical uncertainties. The pricing pressure in this sub-segment continued to persist. On the other hand, the fluorochemicals business continued to witness strong momentum with healthy demand for Chloromethanes and Fluoropolymers. Surprisingly, Technical Textile delivered a record quarter driven by the highest-ever packed production in Films and Foil. The Technical Textile business too reported stable demand and higher margins for Tyre Cord Fabrics and strong domestic and export demand for Belting Fabrics, despite ongoing competitive pressures from Chinese exports. Furthermore, the company has approved proposal for setting up of a BOPET Thick Film Line at a projected cost of  ₹250 crore  wherein it will setup capacity of 25,000 MTPA. As per management, this product is unlikely to witness cyclicality like other commodity thin films. We further await management commentary for more insights.

Impact: Positive

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