SRF consol PAT up 54% YoY and flat QoQ as topline growth robust

21 Jul 2022

SRF Ltd reported a high growth in its bottomline in the June quarter as compared to the year ago quarter, but sequentially the growth was flat.

The net sales were up strongly on the year but in single-digit compared to the previous quarter.

The consolidated net profit of the chemicals company rose 54% on the year to 6.1 bln rupees in Apr-Jun. Sequentially, the growth was flat.

SRF’s consolidated net sales were up sharply by 44% on the year and 9.7% on the quarter to 39 bln rupees

The company’s operating profit jumped 48% on the year to 9.9 bln rupees and the operating margin went up slightly to 25.4% from 24.8% in the year ago quarter. The sequential growth in operating profit was 4.2% and the 25.4% margin in Apr-Jun was lower than 26.8% margin in the previous quarter.

Ashish Bharat Ram, Chairman and Managing Director, SRF said that the short term outlook for the company’s chemicals business remained strong but the packaging films business was facing strong headwinds due to weak global demand and inventory losses in the short term.

SRF’s chemicals business revenue rose 55% on the year to 17.2 bln rupees in Apr-Jun while the packaging films segment’s revenue reported a 44% growth to 15 bln rupees.