SRF Limited , a leading chemical-based multi-business entity, has reported robust financial results for the first quarter, with a significant boost in profitability driven by strong performance in its Chemicals Business segment.

Key Financial Highlights

• Gross operating revenue increased by 10.2% to ₹3,818.60 crore, up from ₹3,464.10 crore in the same quarter last year
• Profit after tax surged 71.4% to ₹432.30 crore, compared to ₹252.20 crore in the same quarter last year
• EBITDA grew 31.6% to ₹850.30 crore, with margins expanding to 22.3% from 18.6%

Segment Performance

Chemicals Business

• Revenue rose 24.1% to ₹1,838.90 crore, contributing 48.2% of total revenue
• EBIT increased 64.1% to ₹502.90 crore, with strong margins of 27.3%
• Specialty Chemicals witnessed demand uptick for key agrochemical intermediates
• Fluorochemicals delivered robust performance, driven by higher refrigerant gas pricing

Performance Films & Foil Business

• Revenue grew 6.1% to ₹1,418.20 crore
• EBIT surged 61.6% to ₹140.20 crore
• Achieved highest-ever packed production, reflecting enhanced operational efficiency

Technical Textiles Business

• Revenue declined 11.2% to ₹466.60 crore
• EBIT fell 44.4% to ₹37.60 crore due to subdued domestic demand for Nylon Tyre Cord Fabric

Capital Expenditure Plans

The Board of Directors has approved two significant capital expenditure projects:

1. A new agrochemical production facility in Dahej, Gujarat, with an investment of ₹250.00 crore
2. A BOPP line and metallizer at Indore, with a projected cost of ₹490.00 crore, to be commissioned in approximately 24 months

Management Commentary

Ashish Bharat Ram, Chairman and Managing Director, stated, "In spite of a weak summer and prevailing global uncertainties, we have had a good start to the year. We remain cautiously optimistic for the rest of the year. Our capital expenditure plans continue to be robust, as reflected in the latest announcements."

Dividend Declaration

The Board has declared an interim dividend of ₹4.00 per share (40%) on the paid-up equity share capital of the company. The dividend will be paid to eligible shareholders on or before August 19.

Innovation and Recognition

SRF Limited continues to focus on innovation, with a total of 494 patent applications filed to date, of which 153 have been granted globally. The company's commitment to quality was recognized with the ZERO PPM Award from Toyota Kirloskar Motor Pvt Ltd for its Fluorochemicals Business.

Despite challenges in certain segments, SRF Limited's strong performance in Q1, particularly in its Chemicals Business, demonstrates the company's resilience and strategic focus on high-growth areas. The approved capital expenditure projects indicate confidence in future growth prospects and market demand for the company's products.

SRF Limited , a multi-business chemical conglomerate, has announced a series of significant developments, including a dividend declaration, robust financial results for Q1FY26, and substantial expansion plans. The company's board of directors approved these measures at a meeting held on July 23, 2025.

Interim Dividend Declaration

SRF Limited has declared an interim dividend of 40% (Rs. 4 per share) for the financial year 2025-26. The record date for this dividend is set for July 29, 2025, with the payment to be made by August 19, 2025. This move signals the company's commitment to delivering value to its shareholders.

Strong Q1FY26 Financial Performance

The company reported impressive consolidated financial results for the first quarter of FY2026:

The Chemicals Business emerged as a key driver of growth:

• Revenue increased by 24% to Rs. 1,839 crore
• Operating profit surged by 64% to Rs. 503 crore

The Performance Films & Foil Business also showed strong performance:

• Revenue grew by 6% to Rs. 1,418 crore
• Operating profit rose by 62% to Rs. 140 crore

Expansion Plans

SRF Limited has approved a significant capital expenditure project:

BOPP Film Manufacturing Facility

• Investment: Rs. 490 crore
• Location: Indore, Madhya Pradesh
• Capacity Addition: 60,000 MTPA (Metric Tonnes Per Annum)
• Current Capacity: 110,000 MTPA
• Timeline: To be completed within 24 months

The project will be financed through a mix of debt and internal accruals.

Segment-wise Performance

Chemicals Business

• Witnessed demand uptick for key agrochemical intermediates
• Strategic pricing initiatives and strong export market performance contributed to revenue growth

Performance Films & Foil Business

• Achieved highest-ever packed production
• Focused on profitability through new Value-Added Products (VAPs)

SRF Limited's strong financial performance, strategic expansion plans, and focus on innovation position it well for continued growth in the chemical and industrial intermediates sector. The company's diversified business portfolio and robust capital expenditure plans demonstrate its resilience and adaptability in the face of global economic uncertainties.