SRF Limited Reports Record Performance in Q1FY27: Net Profit Surges 76% to ₹759 Crore

SRF Limited, a leading chemical-based multi-business conglomerate engaged in the manufacturing of industrial and specialty intermediates, announced its consolidated financial results for the first quarter ended June 30, 2026. Demonstrating strong growth across its primary business divisions, the company registered its best-ever quarterly performance, driven by expanding margins and solid demand across key markets.

Consolidated Financial Highlights

SRF Limited recorded a significant double-digit growth across key financial metrics during Q1FY27 compared to the corresponding period last year (CPLY):

Total Revenue from Operations: Rose 32% to ₹5,033.26 crore, up from ₹3,818.62 crore in Q1FY26.

Total Income: Stood at ₹5,067.17 crore compared to ₹3,847.74 crore in CPLY.

Operational Earnings Before Interest and Tax (EBIT): Increased 61% to ₹1,116.12 crore compared to ₹694.19 crore in Q1FY26.

Profit After Tax (PAT): Surged 76% to ₹758.87 crore, up from ₹432.32 crore in the corresponding period of the previous year.

Basic and Diluted Earnings Per Share (EPS): Stood at ₹25.60 per share for the quarter, compared to ₹14.58 in Q1FY26.

Commenting on the results, Ashish Bharat Ram, Chairman and Managing Director, stated that the company delivered an exceptional quarter, marking its best-ever performance. He noted that while inventory gains offered some support, the performance was fundamentally driven by strong momentum across all core businesses and the resilience of its diversified portfolio.

Segmental Performance Breakdown

1. Chemicals Business (CB)

The Chemicals Business remained the largest revenue driver, generating ₹2,314.86 crore in segment revenue during Q1FY27, up 26% from ₹1,838.95 crore in Q1FY26. Segment operating profit grew 27% to ₹638.41 crore, compared to ₹502.92 crore in CPLY.

Specialty Chemicals: Delivered a steady performance despite navigating global pricing pressure, overcapacity in China, and geopolitical headwinds.

Fluorochemicals: Showed robust growth backed by strong sales of Refrigerants and Propellants, along with healthy demand for Chloromethanes and Fluoropolymers.

2. Performance Films & Foil Business (PFB)

The Performance Films & Foil division recorded extraordinary growth, reporting a 42% increase in revenue to ₹2,016.69 crore from ₹1,418.20 crore in Q1FY26. Operating profit expanded 149% to ₹349.73 crore compared to ₹140.20 crore in CPLY.

The segment achieved its highest-ever packed production in Films and Foil.

Profitability was boosted by a stronger mix of sustainable solutions and Value-Added Products (VAPs).

3. Technical Textiles Business (TTB)

The Technical Textiles segment achieved a 28% increase in revenue, reaching ₹596.84 crore compared to ₹466.55 crore in CPLY. Operating profit climbed 186% to ₹107.80 crore, up from ₹37.64 crore in Q1FY26.

Performance was supported by stable demand and healthier margins for Tyre Cord Fabrics, alongside solid domestic and export demand for Belting Fabrics.

4. Others

Other smaller business units, including Coated and Laminated Fabrics, reported an 11% increase in revenue to ₹104.89 crore (up from ₹94.92 crore in CPLY) and an operating profit of ₹20.18 crore (up 50% from ₹13.43 crore in CPLY).

Key Financial Ratios & Health Indicators

Operating Margin: Expanded to 20.82% for the quarter, up from 17.17% in Q1FY26.

Net Profit Margin: Improved to 15.08% compared to 11.32% in Q1FY26.

Debt Service Coverage Ratio (DSCR): Stood at 1.93.

Interest Service Coverage Ratio (ISCR): Stood at 13.30.

Debt to Equity Ratio: Improved to 0.32 as of June 30, 2026, compared to 0.35 in CPLY.

Current Ratio: Healthy liquidity position maintained at 1.21.

Capital Expenditure & Corporate Announcements

BOPET Film Expansion: The Board of Directors approved a fresh investment of ₹250 crore to establish a BOPET Thick Film Line in India. The setup will include a Bruckner-made production line and a Kampf primary slitter.

Debottlenecking in Chemicals: SRF is undertaking several minor capital expenditure projects within the Specialty Chemicals segment to boost capacity and operational efficiencies, particularly targeting the Agrochemicals portfolio.

Interim Dividend: The Board of Directors approved an interim dividend of ₹5 per equity share.

Intellectual Property: As of June 30, 2026, SRF Limited has submitted 528 patent applications globally, with 159 patents granted to date.

Shares of SRF Limited was last trading in BSE at Rs. 2941.40 as compared to the previous close of Rs. 2872.05. The total number of shares traded during the day was 42708 in over 5210 trades.

The stock hit an intraday high of Rs. 2968.00 and intraday low of 2869.95. The net turnover during the day was Rs. 125233418.00.

Source : Equity Bulls

Keywords

SRF INE647A01010 Q1FY27 Q1FY2027 ResultUpdate