Gurugram, July 23, 2024: SRF Limited, a chemical based multi-business entity engaged in the manufacturing of industrial and specialty intermediates today announced its consolidated financial results for the first quarter ended June 30, 2024. The company’s unaudited results were approved by the Board of Directors in a meeting held today.
Consolidated Q1FY25 Financials
The consolidated revenue of the company increased 4% from ₹3,338 crore to ₹3,464 crore in Q1FY25 when compared with Corresponding Period Last Year (CPLY). The company’s Earnings before Interest and Tax (EBIT) decreased 19% from ₹595 crore to ₹484 crore in Q1FY25 when compared with CPLY. The company’s Profit after Tax (PAT) decreased 30% from ₹359 crore to ₹252 crore in Q1FY25 when compared with CPLY.
Commenting on the results, Chairman and Managing Director, Ashish Bharat Ram said, “While this has been a weak quarter, it is on expected lines. We remain confident of a revival in the second half of this year.”
Consolidated Q1FY25 Segment Results
The Chemicals Business reported a decline of 11% in its segment revenue from ₹1,661 crore to ₹1,482 crore during Q1FY25 over CPLY. The operating profit of the Chemicals Business decreased 33% from ₹460 crore to ₹306 crore in Q1FY25 over CPLY. The Specialty Chemicals Business faced headwinds in the quarter as the agrochemicals segment was sluggish due to inventory rationalization by certain key customers. The performance of the Fluorochemicals Business was affected due to low margin in the Chloromethanes segment. However, the domestic refrigerant gases business improved during the quarter, which boosted the overall results.
The Packaging Films Business reported an increase of 22% in its segment revenue from ₹1,095 crore to ₹1,336 crore during Q1FY25 when compared with CPLY. The operating profit of the Packaging Films Business increased 69% from ₹51 crore to ₹87 crore in Q1FY25 over CPLY. The Business performed better when compared with CPLY. The BOPP films segment performed in line with expectations. However, the BOPET films segment continued to witness an oversupplied market. The Business also had tough competition from the Chinese players in the Southeast Asian markets.
The Technical Textiles Business reported an increase of 13% in its segment revenue from ₹465 crore to ₹525 crore during Q1FY25 over CPLY. The operating profit of the Technical Textiles Business increased 12% from ₹61 crore to ₹68 crore in Q1FY25 over CPLY. The Technical Textiles Business had a good performance, achieving the highest sales ever of Tyre Cord Dipped Fabrics.
The Other Businesses reported an increase of 6% in its segment revenue from ₹119 crore to ₹126 crore in Q1FY25 when compared with CPLY. The operating profit of the Other Businesses increased 2% from ₹23 crore to ₹24 crore in Q1FY25 over CPLY. Both the Coated and Laminated Fabrics Business performed well in a difficult market.
Interim Dividend
In today’s meeting of the board of directors, an interim dividend amounting to ₹3.60 per share was approved.
Innovation and Intellectual Property
As of June 30, 2024, the company has applied for a total of four hundred and fifty-one patents. Till date, the company has been granted one hundred and fifty-one patents globally.
Awards and Recognition
- Hurun India honoured Chairman Emeritus, Arun Bharat Ram with the ‘Outstanding Contribution to Education and Skill Development’ award at the Hurun India Philanthropy Awards 2024
- Frost & Sullivan Institute recognized SRF with the 2024 Enlightened Growth Leadership Best Practices Award
- SRF won the Gold Award for pioneering risk mitigation strategies and a Bronze Award for excellence in supplier relationship management at the ET NOW Supply Chain Management & Logistic Awards 2024
- Dr Krishan Singh, Sr. VP – HR, Technical Textiles Business, SRF received the ‘Top 50 HR Leaders’ award for 2024 from SRM University, Haryana, and Yung Minds
- Sugandha Singhal, VP & Head – Treasury at SRF, wins APAC Champion of Change Award from Treasury Today Group
- At the 17th Future of Learning and Development (L&D) Summit and Awards by UBS Forums, SRF received the award for ‘Best Learning Culture in an Organization’
