PL First Cut – SRF 3QFY24 Result

PL First Cut – Swarnendu Bhushan – Co-Head of Research, Prabhudas Lilladher Pvt Ltd

SRF 3QFY24 Result

(CMP: Rs 2,223 | Mcap: Rs 659bn | Rating – Hold)

➡️ Conso rev at INR30.5bn (-12% YoY, -4% QoQ, +3% PLe)

➡️ Gross margin at 49.1% in Q3FY24 vs 51.2% in Q3FY23 and 49% in Q2FY24 (PLe 50%)

➡️ EBITDA at INR5.7bn (-32.1% YoY, -9.6% QoQ, -0.1% PLe)

➡️ EBITDAM at 18.5% in Q3FY24 vs 24% in Q3FY23 and 19.7% in Q2FY24 (19% PLe)

➡️ PAT came in at INR2.5bn (-50.4% YoY, -15.7% QoQ, -21% PLe)

Segmental performance

➡️ YoY: Chemicals business degrew by 43%, packaging by 62% while technical grew by 101%

➡️ Chemicals continues to account for 70% of EBIT

➡️ Chemicals EBIT margin stood at 23% vs 32.1% a year ago; packaging margin stood at 6.9% vs 9.9% a year ago; tech textiles margin stood at 14.8% vs 8% a year ago