More Stories

Informist, Tuesday, Oct. 28, 2025

By Pallavi Singhal and Sunil Raghu

NEW DELHI – Specialty chemicals and materials manufacturer SRF Ltd. Tuesday said that it has maintained its planned capital expenditure of INR 22 billion–INR 23 billion for 2025-26 (Apr-Mar), with no curtailment despite a weak first half marked by subdued demand in key segments. Of this total capex, the company will invest INR 7.45 billion in its fluropolymers business, of which, it has earmarked INR 3 billion for products it will make for The Chemours Co. 

SRF Ltd. and The Chemours Co. have formed a "strategic partnership" to manufacture advanced fluoropolymers and fluoroelastomers in India, the company earlier said in a release. This collaboration leverages SRF's manufacturing capabilities and Chemours Co's technology to supply high-quality products for various markets, Chemours Co. said in a statement.

During its post-earnings call with analysts, the company said its technical textiles business was poised to see improvement in the second half of the financial year as new capacities ramp up and market demand picks up. The segment had been under pressure in the first half, with nylon tyre cord fabric and belting fabric margins affected by cheap imports from China and tariffs imposed by the US, though SRF managed to maintain market share in both the categories, the management said.

The company's new belting fabric capacity is expected to contribute to higher volumes in the coming quarters, while a new dipping machine project remains on schedule, the company said in its investor presentation. The company, the management said, continues to focus strategically on expanding its value-added products to drive long-term differentiation and sustain profitability.

In the chemicals segment, SRF reported a strong year-on-year performance in fluorochemicals, driven by higher volumes and realisations across hydrofluorocarbons and fluoropolymers. The company highlighted robust traction in the Middle East for R467A, which is India's first ASHRAE-certified low-environmental impact refrigerant developed in-house. ASHRAE is the American Society of Heating, Refrigerating and Air-Conditioning Engineers, an international organisation that sets standards for refrigerants. 

The company management said that the domestic demand for refrigerant gases, which was hit by an unusually weak summer, is expected to recover in the second half as well. Global hydrofluorocarbon prices remain firm as China's quota-led restrictions continue to support price stability, the company said in its investor presentation.

The company's packaging films business maintained stable revenue but improved margins in the reporting quarter, helped by stronger realisations in biaxially oriented polypropylene and aluminium foil, along with ramped-up exports from its Thailand and Hungary plants, the management said. However, soft demand for biaxially-oriented polyethylene terephthalate films and continued aggressive pricing by Chinese suppliers weighed on sequential performance, it said. SRF is India's largest exporter for biaxially-oriented polyethylene terephthalate films and is focusing on value-addition to enhance margins, the management said in the call.

The specialty chemicals segment delivered better performance on the back of higher volumes, improved product mix, and sustained cost optimisation efforts, the company said. The company also launched new pharma intermediates, though management indicated that ramp-up will take time. "It is a time consuming process. We are doing a good job in terms of ramping it up. There will be some more time when you see larger commercial sales of these coming through. But yes, the product pipeline remains very, very short," the management said.

The company Monday reported its Jul-Sept quarter results, with consolidated net profit nearly doubling year-on-year to INR 3.88 billion and the revenue rising 6% at INR 36.4 billion. On Tuesday, the company's shares closed 0.3% higher at INR 3,027.7 on the National Stock Exchange. End 

Edited by Akul Nishant Akhoury

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.