SRF Q1FY26 Results: PAT Rose 71%, Declared ₹4 Interim Dividend

SRF Limited, a diversified chemical-focused conglomerate engaged in the production of industrial and specialty intermediates, today announced its consolidated financial results for the quarter ended June 30, 2025 (Q1FY26). The Board of Directors has declared an interim dividend of ₹4 per share during its meeting held today.

Consolidated Financial Performance – Q1FY26

In Q1FY26, SRF Limited recorded a consolidated revenue of ₹3,819 crore, marking a 10% year-on-year growth compared to ₹3,464 crore in the corresponding period last year (CPLY). Earnings Before Interest and Tax (EBIT) surged 43% from ₹484 crore to ₹694 crore, while Profit After Tax (PAT) jumped 71%, reaching ₹432 crore from ₹252 crore in Q1FY25.

Segment-Wise Highlights

• Chemicals Business: The Chemicals segment continued its upward trajectory, with revenue increasing 24% from ₹1,482 crore to ₹1,839 crore. Operating profit in this segment grew significantly by 64%, reaching ₹503 crore from ₹306 crore. Growth was driven by rising demand for agrochemical intermediates, strategic pricing actions, and strong export market performance.
• Fluorochemicals Business: This segment posted robust results, benefiting from higher refrigerant gas prices. Despite facing headwinds in the domestic market, the business effectively countered challenges by ramping up exports and optimizing operational efficiencies.
• Performance Films & Foils Business: Revenue in this segment grew 6% year-on-year from ₹1,336 crore to ₹1,418 crore. Operating profit saw a sharp increase of 62%, rising from ₹87 crore to ₹140 crore. Continued momentum in packaging and technical films supported growth.
• Technical Textiles Business: The segment witnessed a decline in revenue by 11%, down to ₹467 crore from ₹525 crore in CPLY. Operating profit fell 44%, from ₹68 crore to ₹38 crore. The decline was primarily attributed to reduced domestic demand for Nylon Tyre Cord Fabric and pricing pressures in the Belting Fabrics segment due to persistent dumping from China. However, improved sales in Nylon and Polyester Industrial Yarn provided some stability.
• Other Businesses: Other segments reported a 25% drop in revenue, declining from ₹126 crore to ₹95 crore, with operating profit down by 43% to ₹13 crore from ₹24 crore. The downturn reflects subdued performance across smaller business units.

Also Read: Infosys Q1FY26 Results: Steady Performance with Strong Deal Wins

Strategic Investments and Capital Expenditure

• Chemicals Business Expansion: The Board has greenlit a new facility at Dahej for the production of 12,000 MT per annum of an agrochemical intermediate. The project, aimed at meeting anticipated future demand, will involve an investment of ₹250 crore.
• Performance Films & Foils Business Expansion: SRF will invest ₹490 crore to establish a state-of-the-art BOPP film manufacturing unit in Indore. The facility will feature a 10.4m wide Bruckner film line and an advanced metallizer. Completion is expected within 24 months.

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