|
SRF
consolidated net sales declined 12.01% to Rs 3053.04 crore during Q3FY24 compared to
Q3FY23. Sales of Technical Textile
Business segment has gone up 7.61% to Rs 458.36 crore (accounting for 15.00% of total
sales). Sales of Chemicals and Polymer business
segment has gone down 20.64% to Rs 1,394.13 crore (accounting for 45.61% of total
sales). Sales of Packing Film Business
segment fell 9.32% to Rs 1,090.65 crore
(accounting for 35.68% of total sales).
Sales of others segment has gone up 22.99% to Rs 113.57 crore (accounting for 3.72% of total
sales). Inter-segment sales came down
from Rs 7.92 crore to Rs 3.67 crore.
Profit
before interest, tax and other unallocable items (PBIT) has slumped 37.08% to Rs
456.73 crore. PBIT of Technical Textile Business segment
rose 101.17% to Rs 68.80 crore
(accounting for 15.06% of total PBIT).
PBIT of Chemicals and Polymer Business segment fell 42.93% to Rs 321.85 crore (accounting for 70.47% of total
PBIT). PBIT of Packing Film Business
segment fell 62.17% to Rs 44.87 crore
(accounting for 9.82% of total PBIT).
PBIT of Others segment rose 132.06% to Rs 21.21 crore (accounting for 4.64% of total
PBIT).
PBIT
margin of Technical Textile Business segment rose from 8.03% to 15.01%. PBIT margin of Chemicals and Polymer Business
segment fell from 32.10% to 23.09%. PBIT
margin of Packing Film Business segment fell from 9.86% to 4.11%. PBIT margin of Others segment rose from 9.90%
to 18.68%. Overall PBIT margin fell from
20.87% to 14.94%.
The
Chemicals Business reported a decrease of 21% in its segment revenue from Rs 1,757
crore to Rs 1,394 crore during Q3FY24 over CPLY. The operating profit of the
Chemicals Business decreased 43% from Rs 564 crore to Rs 322 crore in Q3FY24
over CPLY. During the quarter, the Specialty Chemicals Business continued to
face headwinds due to inventory rationalization by certain key customers ,
while performing better than Q2FY24. The performance of the Fluorochemicals
Business was adversely impacted owing to seasonally low demand for
refrigerants. In addition, sluggish growth in the agrochemical and
pharmaceutical industries adversely impacted the demand for some key industrial
chemicals. On the positive side, we commissioned the PTFE facility and the HFC
expansion project during the quarter.
The
Packaging Films Business reported a decrease of 9% in its segment revenue from Rs
1,203 crore to Rs 1,091 crore during Q3FY24 when compared with CPLY. The
operating profit of the Packaging Films Business declined 62% from Rs 119 crore
to Rs 45 crore in Q3FY24 over CPLY. During the quarter, the performance of the
Packaging Films Business was adveRs ely impacted on account of substantial supply
addition in both BOPET and BOPP film segments, resulting in significant
pressure on margins and an overall demand slowdown globally. On the positive
side, our state-of-the-art Aluminium Foil facility got commissioned during the
quarter and we will look to ramp-up sales over the ensuing quarters . With this
project, we will be amongst very few players globally who offer a wide portfolio of
packaging substrates – BOPET, BOPP and Aluminium Foil under one roof.
The
Technical Textiles Business reported an increase of 8% in its segment revenue
from Rs 426 crore to Rs 458 crore during Q3FY24 over CPLY. The operating profit
of the Technical Textiles Business increased 101% from Rs 34 crore to Rs 69
crore in Q3FY24 over CPLY. During the quarter, the Technical Textiles Business
performed well owing to healthy domestic demand for its flagship Nylon Tyre
Cord Fabric, despite our facility in Manali being adversely impacted due to
Cyclone Michaung. Demand for Belting Fabrics and Polyester Yarn remained
strong, and the business performed well. The Other Businesses reported an
increase of 23% in its segment revenue from Rs 92 crore to Rs 114 crore in
Q3FY24 when compared with CPLY. The operating profit of the Other Businesses
increased 132% from Rs 9 crore to Rs 21 crore in Q3FY24 over CPLY. During the
quarter, the Coated Fabrics segment performed well because of strong domestic
sales driven by healthy demand for its products. The Laminated Fabrics segment
also performed in line with the expectations.
Operating
profit margin has declined from 24.02% to 18.53%, leading to 32.12% decline in
operating profit to Rs 565.83
crore. Raw material cost as a % of total
sales (net of stock adjustments) increased from 46.41% to 51.48%. Purchase of finished goods cost fell from 3.73%
to 1.24%. Employee cost increased from
5.90% to 7.69%. Other expenses rose
from 20.55% to 21.73%. Power and Oil
fuel cost rose from 9.67% to 10.08%.
Other
income rose 87.31% to Rs 18.75
crore. PBIDT fell 30.70% to Rs 584.58 crore.
Provision for interest rose 8.75% to Rs 67.37 crore.
PBDT
fell 33.83% to Rs 517.21 crore. Provision for depreciation rose 12.11% to Rs 168.89 crore.
Profit
before tax down 44.79% to Rs 348.32
crore. Share of profit/loss were nil in
both the periods. Provision for tax was
expense of Rs 94.89 crore, compared to Rs
120.03 crore. Effective tax rate was 27.24% compared to
19.02%.
Minority
interest was nil in both the periods.
Net profit attributable to owners of the company decreased 50.40% to Rs 253.43 crore.
Promoters
stake was 50.53% as of 31 December 2023 compared to 50.53% as of 31 December
2022.
Commenting on the
results, Chairman and Managing Director, Ashish Bharat Ram said, “While this has certainly been a
tough quarter, we can see things improving in the Chemicals Business. We are
confident of a significantly improved performance in the 4th quarter. With a
large number of plants coming on stream, our focus will be on scaling these up
as quickly as possible in the months ahead.”
For year-to-date (YTD)
results analysis
Net
sales (including other operating income) of SRF has declined 13.73% to Rs 9568.78 crore.
Sales of Technical Textile Business segment has gone down 2.33% to Rs 1,429.16 crore (accounting for 14.92% of total
sales). Sales of Chemicals and Polymer Business
segment has gone down 15.60% to Rs 4,480.97 crore (accounting for 46.79% of total
sales). Sales of Packing Film Business
segment fell 17.94% to Rs 3,306.97 crore
(accounting for 34.53% of total sales).
Sales of Others segment has gone
up 20.39% to Rs 359.14 crore (accounting
for 3.75% of total sales). Inter-segment
sales came down from Rs 8.25 crore to Rs
7.46 crore.
Profit
before interest, tax and other unallocable items (PBIT) has slumped 32.65% to Rs
1,584.98 crore. PBIT of Technical Textile Business segment
fell 4.19% to Rs 204.40 crore
(accounting for 12.90% of total PBIT).
PBIT of Chemicals and Polymer Business segment fell 29.46% to Rs 1,129.69 crore (accounting for 71.27% of total
PBIT). PBIT of Packing Film Business
segment fell 66.34% to Rs 173.43 crore
(accounting for 10.94% of total PBIT).
PBIT of Others segment rose 229.76% to Rs 77.46 crore (accounting for 4.89% of total
PBIT).
PBIT
margin of Technical Textile Business segment fell from 14.58% to 14.30%. PBIT margin of Chemicals and Polymer Business
segment fell from 30.16% to 25.21%. PBIT
margin of Packing Film Business segment fell from 12.79% to 5.24%. PBIT margin of Others segment rose from 7.87%
to 21.57%. Overall PBIT margin fell from
21.20% to 16.55%.
Operating
profit margin has declined from 23.42% to 19.73%, leading to 27.31% decline in
operating profit to Rs 1,888.29
crore. Raw material cost as a % of total
sales (net of stock adjustments) increased from 47.71% to 50.60%. Purchase of finished goods cost fell from
2.41% to 0.97%. Employee cost increased
from 5.35% to 7.10%. Other expenses rose
from 21.33% to 21.84%. Power and Oil
fuel cost rose from 10.07% to 10.48%.
Other
income rose 13.37% to Rs 59.63
crore. PBIDT fell 26.50% to Rs 1947.92 crore.
Provision for interest rose 52.81% to Rs 212.29 crore.
PBDT
fell 30.89% to Rs 1735.63 crore. Provision for depreciation rose 15.70% to Rs 486.73 crore.
Profit
before tax down 40.26% to Rs 1,248.90 crore.
Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 335.4
crore, compared to Rs 490.71 crore. Effective tax rate was 26.86% compared to
23.47%.
Minority
interest was nil in both the periods.
Net profit attributable to owners of the company decreased 42.90% to Rs 913.50 crore.
Promoters
stake was 50.53% as of 31 December 2023 compared to 50.53% as of 31 December
2022 .
The
scrip is currently trading at Rs 2274
|
SRF : Consolidated Results
|
|
Particulars
|
2312 (03)
|
2212 (03)
|
Var.(%)
|
2312 (09)
|
2212 (09)
|
Var.(%)
|
2303 (12)
|
2203 (12)
|
Var.(%)
|
|
Net Sales
|
3,053.04
|
3,469.66
|
-12
|
9,568.78
|
11,092.16
|
-14
|
14,870.25
|
12,433.66
|
20
|
|
OPM (%)
|
18.5
|
24.0
|
|
19.7
|
23.4
|
|
23.7
|
25.5
|
|
|
OP
|
565.83
|
833.52
|
-32
|
1,888.29
|
2,597.60
|
-27
|
3,529.20
|
3,175.91
|
11
|
|
Other Inc.
|
18.75
|
10.01
|
87
|
59.63
|
52.6
|
13
|
74.93
|
42.8
|
75
|
|
PBIDT
|
584.58
|
843.53
|
-31
|
1,947.92
|
2,650.20
|
-27
|
3,604.13
|
3,218.71
|
12
|
|
Interest
|
67.37
|
61.95
|
9
|
212.29
|
138.92
|
53
|
204.82
|
115.93
|
77
|
|
PBDT
|
517.21
|
781.58
|
-34
|
1,735.63
|
2,511.28
|
-31
|
3,399.31
|
3,102.78
|
10
|
|
Depreciation
|
168.89
|
150.65
|
12
|
486.73
|
420.68
|
16
|
575.32
|
517.23
|
11
|
|
PBT
|
348.32
|
630.93
|
-45
|
1248.9
|
2090.6
|
-40
|
2823.99
|
2585.55
|
9
|
|
Share of Profit/(Loss) from Associates
|
0
|
0
|
-
|
0
|
0
|
-
|
0
|
0
|
-
|
|
PBT before EO
|
348.32
|
630.93
|
-45
|
1248.9
|
2090.6
|
-40
|
2823.99
|
2585.55
|
9
|
|
EO Income
|
0
|
0
|
-
|
0
|
0
|
-
|
0
|
0
|
-
|
|
PBT after EO
|
348.32
|
630.93
|
-45
|
1248.9
|
2090.6
|
-40
|
2823.99
|
2585.55
|
9
|
|
Taxation
|
94.89
|
120.03
|
-21
|
335.4
|
490.71
|
-32
|
661.65
|
696.63
|
-5
|
|
PAT
|
253.43
|
510.9
|
-50
|
913.5
|
1599.89
|
-43
|
2162.34
|
1888.92
|
14
|
|
Minority Interest (MI)
|
0
|
0
|
-
|
0
|
0
|
-
|
0
|
0
|
-
|
|
Net profit
|
253.43
|
510.9
|
-50
|
913.5
|
1599.89
|
-43
|
2162.34
|
1888.92
|
14
|
|
EPS (Rs)*
|
#
|
#
|
|
#
|
#
|
|
73.0
|
63.7
|
|
|
Notes
|
|
* EPS is on current equity of Rs 296.42 crore, Face value of Rs
10, Excluding extraordinary items.
|
|
# EPS is not annualised
|
|
bps : Basis points
|
|
EO : Extraordinary items
|
|
Figures in Rs crore
|
|
Source: Capitaline Corporate Database
|
|
SRF : Consolidated Segment
Results
|
|
|
% of (Total)
|
202312
|
202212
|
Var.(%)
|
% of (Total)
|
202312
|
202212
|
Var.(%)
|
% of (Total)
|
202303
|
202203
|
Var.(%)
|
|
Sales
|
|
|
|
|
|
Technical Textile Business
|
15
|
458.36
|
425.94
|
8
|
15
|
1,429.16
|
1,463.18
|
-2
|
13
|
1,893.88
|
2,085.24
|
-9
|
|
Chemicals and Polymers Business
|
46
|
1,394.13
|
1,756.62
|
-21
|
47
|
4,480.97
|
5,309.21
|
-16
|
50
|
7,410.88
|
5,240.78
|
41
|
|
Packing Film Business
|
36
|
1,090.65
|
1,202.68
|
-9
|
35
|
3,306.97
|
4,029.70
|
-18
|
35
|
5,182.75
|
4,779.21
|
8
|
|
Others
|
4
|
113.57
|
92.34
|
23
|
4
|
359.14
|
298.32
|
20
|
3
|
392.61
|
340.34
|
15
|
|
Total Reported Sales
|
100
|
3,056.71
|
3,477.58
|
-12
|
100
|
9,576.24
|
11,100.41
|
-14
|
100
|
14,880.12
|
12,445.57
|
20
|
|
Less: Inter segment revenues
|
|
3.67
|
7.92
|
-54
|
|
7.46
|
8.25
|
-10
|
|
9.87
|
11.91
|
-17
|
|
Net Sales
|
|
3,053.04
|
3,469.66
|
-12
|
|
9,568.78
|
11,092.16
|
-14
|
|
14,870.25
|
12,433.66
|
20
|
|
PBIT
|
|
|
|
|
|
Technical Textile Business
|
15
|
68.8
|
34.2
|
101
|
13
|
204.4
|
213.34
|
-4
|
8
|
261.74
|
471.43
|
-44
|
|
Chemicals and Polymers Business
|
70
|
321.85
|
563.93
|
-43
|
71
|
1,129.69
|
1,601.42
|
-29
|
73
|
2,340.67
|
1,396.91
|
68
|
|
Packing Film Business
|
10
|
44.87
|
118.62
|
-62
|
11
|
173.43
|
515.23
|
-66
|
17
|
556.19
|
946.33
|
-41
|
|
Others
|
5
|
21.21
|
9.14
|
132
|
5
|
77.46
|
23.49
|
230
|
1
|
34.82
|
20.35
|
71
|
|
Total PBIT
|
100
|
456.73
|
725.89
|
-37
|
100
|
1,584.98
|
2,353.48
|
-33
|
100
|
3,193.42
|
2,835.02
|
13
|
|
Less : Interest
|
|
67.37
|
61.95
|
9
|
|
212.29
|
138.92
|
53
|
|
204.82
|
115.93
|
77
|
|
Add: Other un-allcoable
|
|
-41.04
|
-33.01
|
-24
|
|
-123.79
|
-123.96
|
0
|
|
-164.61
|
-133.54
|
-23
|
|
PBT
|
|
348.32
|
630.93
|
-45
|
|
1,248.90
|
2,090.60
|
-40
|
|
2,823.99
|
2,585.55
|
9
|
|