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Earnings Call Transcript

SRF Earnings Call Transcript: Key Takeaways

SRF delivered a record-breaking Q1 FY27, largely driven by abnormal geopolitical supply disruptions in the packaging films segment and a recovery in specialty chemicals.

Guidance and delivery
Management target Revenue 17.5% FY27
Highlights
Revenue growthGross operating revenue reached 5,033 crore, supported by chemical recovery.
MarginsPackaging margins spiked to 17% due to temporary Middle East disruptions.
Demand visibilityStrong domestic demand for refrigerants; agro-chem showing early signs of recovery.
Management confidenceConfident but realistic, cautioning that Q1 film margins were exceptional.

Growth

Operational EBITDA surged 61% and PAT 76% YoY, fueled by high utilization and inventory-driven pricing in films.

Outlook

Chemicals guidance maintained at 15-20% growth for the year despite Q1 outperformance.

Risks

Management explicitly warned of 'normalization' in packaging margins for Q2; excess Chinese capacity remains a long-term threat.

Last quarter's promises, checked

Delivered

  • Specialty Chemicals Q4 pickup → delivered recovery in Q1 FY27 (= BEAT)
  • Pharma intermediate plant 2 (180 cr) → commissioned/scaling (= BEAT)
  • New AI launches (1 in FY26, 2 in FY27) → on track/scaling (= BEAT)

Partly delivered

  • Capex guidance 2,200-2,300 cr → FY25 spend was ~1,200 cr (= PARTIAL)

Missed

  • Chemicals FY26 growth 20% → management admitted falling short (= MISS)
Source

Earnings Call Transcript filed with NSE, NSE: SRF. Summary written with AI assistance from the document.

Read the document ↗

SRF Ltd: key numbers

Share price
₹2,540.00
Market cap
₹75,292 Cr
Revenue (annual)
₹15,787 Cr
Net profit (annual)
₹1,835 Cr
P/E (TTM)
34.8×Sector 37.5×
Promoter holding
50.26%+0.00% QoQ
FII holding
15.45%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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Value
₹809.6 Cr
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Promoter Buying (Off-Market)

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Promoter stake change
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Promoter Selling (Off-Market)

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Promoter stake change
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Promoter stake change
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