SRF will hold a meeting of the Board of Directors of the Company on 21 January 2021.

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SRF has fixed 01 February 2021 as record date for payment of 2nd interim dividend for FY2021, if declared.

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SRF announced that Resin Plant forming part of the capital expenditure of the company's subsidiary SRF Thailand has been commissioned and capitalized on 27 November, 2020 at a cost of USD 19 million (approx.).

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Shares of SRF have gained 14.3% in three trading days from its previous closing low of Rs 4394.40 on 3 November 2020. In last one month, the counter has gained nearly 22% as compared to a 3.7% rise in BSE Midcap index.

The counter hit a record high of Rs 5074.85 in intraday trade today. The stock is up 101.55% from its 52-week low of Rs 2492.20 posted on 25 March 2020.

Shares of SRF saw strong demand after the company reported 4.7% rise in consolidated net profit to Rs 315.20 crore in Q2 September 2020 from Rs 301 crore posted in Q2 September 2019. Consolidated net sales in Q2 September 2020 stood at Rs 2,062.98 crore, registering a 21% growth over Rs 1,702 crore in Q2 September 2019. The result was announced on 4 November 2020.

Earnings before Interest and Tax (EBIT) increased 66% to Rs 480 crore in Q2 September 2020 from Rs 290 crore posted in the corresponding period last year. The overall EBIT margins expanded by 600 basis points in Q2FY21 when compared with same period last year.

The chemicals business reported an increase of 30% in its segment revenue to Rs 881 crore in Q2 September 2020 from Rs 678 crore reported in Q2 September 2019. The operating profit of the Chemicals Business rose 33% year on year (YoY) to Rs 174 crore in Q2 September 2020. The Specialty Chemicals Business reported a robust performance on the back of higher capacity utilization of dedicated and multipurpose plants, which led to better operating leverages and the expansion of overall margins. Sales of the Fluorochemicals Business remained muted owing to weak demand for refrigerants from the automobile and air-conditioning segments and low prices of refrigerants globally.

The packaging films Business reported an increase of 26% YoY to Rs 833 crore in Q2 September 2020 from Rs 663 crore registered in Q2 September 2019. The operating profit of the Packaging Films Business increased 89% YoY to Rs 246 crore in Q2 September 2020. The Packaging Films Business performed exceedingly well with expanded margins when compared with CPLY, and better capacity utilizations post the commissioning of BOPET film capacities in Thailand and Hungary. Further, the Business' sustained focus on the sales of Value-Added Products contributed significantly to the overall performance.

The technical textiles business reported an increase of 3% YoY to Rs 332 crore which resulted in 140% jump in operating profit to Rs 50 crore in Q2 September 2020. The business delivered a healthy performance due to faster-than-expected recovery in the domestic tyre industry

Commenting on the results, Ashish Bharat Ram, MD of SRF said, “We have had an outstanding quarter by all standards led by our Packaging Films and Specialty Chemicals businesses. Going forward, the margins of the Packaging Films Business will soften. Having said that, I am confident that the momentum in our other businesses will ensure that we have a good year.”

The board approved the setting up of a second BOPP film line in India at a site in Indore at an approximate cost of Rs 424 crore. The board also approved the setting up of a dedicated facility to produce 200 MT per year of P16 specialty product at Dahej, India at an approximate cost of Rs 17.5 crore. In addition, the board approved two projects related to future water security and set up of thermal oxidation facilities at the company's chemicals complex at Dahej, India. These projects are aimed at minimizing the environmental impact of the chemicals business and ensuring the future sustainability of the Dahej site.

SRF is a chemical based multi-business conglomerate engaged in the manufacturing of industrial and specialty intermediates.

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