SRF Limited shares experienced significant gains in early trading on Wednesday, rising 6.47% to ₹2,685.90 on the NSE by 11:07 am, according to reports from The Hindu BusinessLine. The stock opened at ₹2,605 and touched a high of ₹2,693.60, with trading volume crossing ₹494 crore by mid-morning. The strong price action came after the specialty chemicals conglomerate posted better-than-expected results for the fourth quarter and full year ended March 2026.
SRF's Q4FY26 results, released on Tuesday, demonstrated strong operational performance across key metrics. As reported by The Hindu BusinessLine, consolidated revenue reached ₹4,615 crore, up 7% year-on-year, while EBITDA margins expanded 180 basis points to 25%, significantly beating analyst estimates of 23%. Adjusted PAT grew 20% year-on-year to ₹690 crore. For the full year FY26, the company achieved revenue, EBITDA, and adjusted PAT growth of 7%, 27%, and 51% respectively.
The board announced two key capital allocation developments that have been flagged as neutral to positive for the short to medium term, according to The Hindu BusinessLine. The company indefinitely deferred the ₹490 crore BOPP film manufacturing facility at Indore, citing a reassessment of investment timing. Simultaneously, the refrigerants project capex in Odisha has been revised upward significantly from ₹1,100 crore to ₹2,285 crore, now covering a 20,000 MTPA HFO facility, a 30,000 MTPA new HF plant, and value-added HF derivatives, with completion targeted by February 2028.
Motilal Oswal Financial Services maintained a Buy rating on the stock with a current market price of ₹2,528, noting that operating performance beat estimates across segments, led by the Chemicals business which reported EBIT margins of 32%. As reported by The Hindu BusinessLine, the stock is currently trading well below its 52-week high of ₹3,325 hit in July 2025 and not far from its 52-week low of ₹2,355 touched in April 2026, giving it room to recover as investor sentiment improves on the back of margin expansion and strategic capex clarity.
