SRF Q4 profit up 11% with Rs 2,300 cr Odisha capex

Q4 results set the context

SRF Ltd reported an 11% rise in consolidated net profit to Rs 582.02 crore for the quarter ended March, according to a regulatory filing. The profit in the corresponding quarter last year was Rs 526.06 crore. Total income for the January to March period of 2025-26 rose to Rs 4,640.07 crore from Rs 4,347.83 crore a year earlier. Alongside the earnings update, SRF’s board signalled fresh capital spending momentum in refrigerants and fluorochemicals. The company said it has revised the scope and cost of a next-generation refrigerants project in Odisha after acquiring land. SRF also cleared a smaller capacity expansion at Dahej to meet projected demand.

Full-year performance in FY26

For the full 2025-26 fiscal year, SRF said consolidated profit rose 47% to Rs 1,835.18 crore from Rs 1,250.78 crore in the preceding year. Total income for the year grew to Rs 15,893.57 crore from Rs 14,825.79 crore in 2024-25. The figures indicate a stronger annual profit trajectory than the single-quarter growth rate, supported by the company’s diversified portfolio. SRF operates across fluorochemicals, speciality chemicals, performance films and foil, technical textiles, and coated and laminated fabrics. The company also runs a multi-country manufacturing footprint, which it highlighted in its business overview.

Odisha project: capex revised to Rs 2,300 crore

SRF said its board had approved a capital expenditure of Rs 1,100 crore for the new generation refrigerants project in October 2024. After land acquisition in Odisha, the company revised the scope and raised the proposed investment to about Rs 2,300 crore. The project will include a 20,000 tonnes per annum Hydrofluoroolefins (HFOs) plant to produce fourth-generation refrigerants. It will also set up a 30,000 tonnes per annum Anhydrous Hydrogen Fluoride (AHF) plant, along with forward integration into value-added hydrogen fluoride (VHF) products. The company said the investment is driven by anticipated demand for HFOs and VHF and aligns with its strategic objective to strengthen its position in next-generation refrigerants and integrated fluorochemical value chains.

Completion timeline and funding mix

SRF expects the Odisha project to be completed by February 28, 2028. The company said it will finance the project through a mix of debt and internal accruals. The long-dated commissioning schedule indicates the capex is intended to build capacity ahead of demand rather than respond to near-term swings. SRF’s filing framed the project as part of a wider push into integrated fluorochemical chains, where control over upstream and downstream steps can matter for product availability and economics. The planned forward integration into VHF products is a key element of that positioning.

Dahej debottlenecking and HFC capacity expansion

Separately, the board approved a project to expand existing hydrofluorocarbon (HFC) capacity at Dahej. The investment is estimated at Rs 88 crore and is aimed at addressing projected future demand. SRF said the project is expected to be commissioned within the next few months, and environmental clearance is already in place. After debottlenecking, the company’s HFC capacity will increase to 65,000 tonnes per annum. The combination of a near-term Dahej ramp-up and a longer-term Odisha build-out suggests parallel efforts to serve current demand while preparing for newer refrigerant chemistries.

FY26 capex guidance reiterated at Rs 2,200-2,300 crore

In a separate post-earnings call with analysts dated October 28, 2025, SRF said it maintained planned capital expenditure of Rs 2,200-2,300 crore for 2025-26, with no curtailment despite a weak first half marked by subdued demand in key segments. Within this, the company said it would invest Rs 745 crore in its fluropolymers business. SRF also earmarked Rs 300 crore for products it will make for The Chemours Co under a strategic partnership to manufacture advanced fluoropolymers and fluoroelastomers in India. The company described this as leveraging SRF’s manufacturing capabilities and Chemours’ technology.

Business conditions: textiles, refrigerants, and films

On the same analyst call, management said market conditions for the technical textiles business were improving in the second half as new capacities ramp up and demand picks up. It said nylon tyre cord fabric and belting fabric margins were affected in the first half by cheap imports from China and US tariffs, though SRF maintained market share in both categories. In fluorochemicals, SRF said it saw strong year-on-year performance driven by higher volumes and realisations across hydrofluorocarbons and fluoropolymers. Management also said domestic refrigerant gas demand was hit by an unusually weak summer but is expected to recover in the second half.

Stock move and a recent quarterly datapoint

The October 28, 2025 report also noted that SRF’s shares closed 0.3% higher at Rs 3,027.7 on the National Stock Exchange that day. SRF had reported Jul-Sept quarter results a day earlier, with consolidated net profit nearly doubling year-on-year to Rs 388 crore and revenue rising 6% to Rs 3,640 crore. These numbers were discussed in the context of segment trends, including packaging films, where SRF said revenue was stable but margins improved in the quarter due to stronger realisations in biaxially oriented polypropylene and aluminium foil, alongside exports from Thailand and Hungary.

Key numbers at a glance

What the announcements signal

The Odisha investment expands beyond the earlier Rs 1,100 crore plan approved in October 2024, and links refrigerants with upstream hydrogen fluoride capacity and downstream value-added products. The Dahej project, by contrast, is framed as a faster execution step, with commissioning expected in the next few months. The FY26 capex guidance of Rs 2,200-2,300 crore and earmarked spending in fluropolymers underscore SRF’s stated intent to keep investing despite near-term demand variability. SRF’s management commentary points to a second-half recovery narrative in technical textiles and refrigerant gases, while also highlighting portfolio levers such as speciality chemicals and packaging films.

Conclusion

SRF’s latest filings combine higher Q4 and full-year profit with a significant revision in planned capex for its next-generation refrigerants project in Odisha to Rs 2,300 crore. Near-term, the company is also moving ahead with a smaller HFC expansion at Dahej that raises capacity to 65,000 tonnes per annum. Separately, SRF has reiterated FY26 capex guidance of Rs 2,200-2,300 crore, including planned investments in fluropolymers and the Chemours-linked programme. The next concrete milestones disclosed are the commissioning of the Dahej project within the next few months and completion of the Odisha project by February 28, 2028.