SRF Q4 FY26 Results: ₹582 Cr Profit, Indore Plant Deferred

Key takeaway from SRF’s Q4 update

SRF Ltd reported a stronger March-quarter performance for FY26, with profit and revenue both rising year-on-year, while keeping operating margin broadly stable. At the same time, the company put a planned BOPP films manufacturing plant at Indore on hold for an unspecified period, citing changes in the operating environment. The combination of better quarterly numbers and a meaningful shift in capital allocation has kept investors focused on both execution and demand conditions across SRF’s portfolio.

Q4 FY26 profit rises 10.6% YoY

For the quarter ended March 31, SRF said net profit increased 10.6% year-on-year to ₹582 crore, compared with ₹526 crore in the corresponding period last year. Revenue rose 7% to ₹4,615 crore from ₹4,313 crore. EBITDA increased 7.1% to ₹1,026 crore, while the EBITDA margin stood at 22.2%, indicating limited margin expansion despite higher sales. The margin stability suggests cost pressures and mix effects continued to influence profitability even as topline improved.

Full-year numbers point to a stronger FY26

On a full-year basis, SRF reported revenue of ₹15,787 crore, a 7% increase. Operational EBIT came in at ₹3,008 crore, up 29%, while profit after tax (PAT) rose 47% to ₹1,835 crore. The sharp increase in PAT relative to revenue growth highlights the extent of operating leverage and other profitability drivers during the year, as presented in the company’s disclosed performance summary.

Indore BOPP films plant put on hold

SRF had announced a BOPP film manufacturing plant in Indore, Madhya Pradesh, with an estimated investment of ₹490 crore. The company has now deferred this project for an indefinite period. SRF attributed the decision to changes in the current operating environment, without detailing specific demand, pricing, or competitive triggers in the provided update. The move is significant because packaging films are a meaningful vertical for SRF, and the decision effectively slows near-term capacity addition at a time when market conditions appear to be under review.

Capex priorities shift: Odisha refrigerants and Dahej expansion

While the Indore plan has been paused, SRF is increasing investment elsewhere. For a next-generation refrigerants project in Odisha, SRF raised the planned investment to ₹2,300 crore from ₹1,100 crore. The project is expected to be completed by February 2028, as per the stated timeline. Separately, the company also approved ₹88 crore to expand capacity at its Dahej plant. Together, these decisions indicate a rebalancing of capex toward chemicals and related opportunities while being more cautious on films capacity in the near term.

Segment snapshot: chemicals steady, films stronger

SRF’s chemicals business reported revenue of ₹2,448 crore, up 4%. The company noted improved growth in the fluorochemicals business, supported by both domestic and export demand. In speciality chemicals, SRF indicated improvement versus the third quarter, but said price pressure and order delays remained key challenges. Packaging films revenue rose 13% to ₹1,596 crore, marking a relatively stronger quarter for that segment. In technical textiles, SRF reported a 63% rise in profit despite a challenging environment, though it did not provide the absolute profit figure in the provided text.

Stock performance: pressure despite better results

The update noted that SRF’s share price remained under pressure even after the results. It cited a closing price of ₹2,527.60 on a Friday session. The report also stated that in 2026 year-to-date, the stock had delivered around -17% returns, and over the last six months it had fallen by more than 12.5%. Separately, another market snapshot included in the provided data showed SRF at ₹2,759.2, down ₹88.6 for the session, with an intraday range of ₹2,747.1 to ₹2,883.1 and a 52-week range of ₹2,570.2 to ₹3,325.

Key numbers at a glance

Quarterly comparison data (as provided)

Market impact: why the Indore decision matters

The Indore deferral stands out because it changes the near-term capacity addition plan in packaging films, even as the segment showed 13% revenue growth in the quarter. A stable EBITDA margin of 22.2% in Q4 suggests that profitability is not expanding materially with revenue, which can make capex timing and returns more sensitive to the operating cycle. By increasing Odisha capex for next-generation refrigerants to ₹2,300 crore and giving a completion horizon up to February 2028, SRF is also committing to a longer-gestation project that likely depends on demand evolution and regulatory-linked product transitions.

From an investor lens, the stock’s reported negative returns for 2026 year-to-date and over the past six months show that markets are not only reacting to headline profit growth. They are also weighing project visibility, demand stability in speciality chemicals, and competitive conditions across segments.

Sector context: peer results mentioned in the dataset

The provided information also referenced Navin Fluorine’s March 2026 quarter performance, where net profit more than doubled to ₹212 crore versus ₹94 crore in the March 2025 quarter. While this is a separate company, the comparison highlights how closely investors track fluorine and chemical players during earnings season, particularly when end-market demand and product pricing can move sharply.

Conclusion

SRF’s Q4 FY26 results showed a clear year-on-year improvement in profit and revenue, while margins remained steady. The bigger story for investors is the reordering of capex priorities: deferring the ₹490 crore Indore BOPP films plant, raising the Odisha next-generation refrigerants investment to ₹2,300 crore with a February 2028 completion target, and approving ₹88 crore for Dahej expansion. The next set of updates around project execution timelines and segment-level demand conditions is likely to remain central to how the market prices SRF’s growth outlook.