Profit before tax in third quarter of FY25 was at Rs 368.70 crore, up 5.85% from Rs 348.32 crore recorded in the same period a year ago.
Earnings before interest and tax (EBIT) grew 16% to Rs 529 crore in Q3 FY25 as against Rs 457 crore posted in corresponding period last year (CPLY).
The chemicals business reported an increase of 7% YoY in its segment revenue to Rs 1,496 crore during Q3 FY25. The operating profit of the chemicals business increased 13% YoY to Rs 364 crore in the December 2024 quarter.
During the quarter, the specialty chemicals business continued to experience some overhang of inventory buildup among agrochemical customers. However, there appears to be a gradual increase in demand. The fluorochemicals business received strong support for refrigerants from OEMs in the domestic market. The chloromethanes segment also maintained stable performance during the quarter.
Revenue from packaging films business increased 27% in its segment revenue to Rs 1,385 crore in Q3 FY25. The operating profit of the packaging films business jumped 100% YoY to Rs 90 crore in Q3 of FY25. This quarter, the business demonstrated satisfactory performance. SRF maintained a strong position within the industry, although margins in Aluminium Foil experienced pressure due to lower-cost imports from China and Thailand.
The technical textiles business reported an increase of 11% in its segment revenue to Rs 510 crore from Rs 458 crore during Q3 FY25 over Q3 FY24. The operating profit of this business decreased 14% YoY to Rs 59 crore in third quarter of FY25. During the quarter, the technical textiles business underperformed due to lower demand and margins in the belting fabrics segment. On the positive side, the polyester industrial yarn segment reached full capacity utilization.
Other businesses reported a decrease of 11% in its segment revenue to Rs 101 crore in Q3 FY25 over Q3 FY24. The operating profit of the other businesses decreased 26% from Rs 21 crore to Rs 16 crore in Q3 FY25 over Q3 FY24. Y. During the quarter, the coated fabrics segment experienced slower performance due to weak demand in the domestic market. The laminated fabrics segment performed in line with expectations.
As of 31 December 2024, the company has applied for a total of 469 patents. Till date, the company has been granted 151 patents globally.
Meanwhile, the board has declared an interim dividend of Rs 3.60 per share, as on the record date i.e. 4 February 2025. The date of payment of interim dividend will be on or before Thursday, 27 February 2025.
Further, the board has also approved re-appointment of Ashish Bharat Ram as chairman & managing director for a further term starting from 23 May 2025 upto 31 March 2030.
Lastly, the board of directors of the company also approved the appointment of Geeta Shamrao Jadhav as the president & CHRO, senior management personnel of the company with effect from 30 January 2025.
Ashish Bharat Ram, chairman and managing director of SRF, said, 'We have seen a decent recovery this quarter. Building on the momentum, we expect to finish the year on a reasonably strong footing.'
SRF is a chemical based multi-business entity engaged in the manufacturing of industrial and specialty intermediates. The company's diversified business portfolio covers fluorochemicals, specialty chemicals, packaging films, technical textiles, coated and laminated fabrics.
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