SRF Limited Q3 FY26 Concall Decoded: PAT up 60%, margins flexed, but half the portfolio is still fighting China, tariffs, and gravity

1. Opening Hook

SRF’s Q3 concall felt like that overachieving student who tops the class but still complains about the paper. PAT jumped nearly 60%, EBITDA margins expanded, and debt quietly behaved itself. Yet management spent a good chunk of time blaming China, tariffs, GST 2.0, and agro customers who apparently like postponing orders for sport.

Chemicals strutted in wearing the crown, Fluorochemicals enjoyed quota-driven pricing nirvana, while Films stayed “meh” and Technical Textiles looked like they skipped leg day. Somewhere in between, Europe worried about carbon footprints and the US kept playing tariff roulette.

This was a quarter of strong numbers, selective pain, and confident future promises. Read on — the optimism sounds expensive, the risks sound familiar, and the execution story gets spicy later.

2. At a Glance

• Revenue up 6% – Not explosive, but steady enough to calm nervous spreadsheets.
• EBITDA up 22% – Margins finally remembered how to expand.
• PAT up 60% – Operating leverage said “surprise, I exist.”
• Interest cost down 32% – Debt behaving like a disciplined adult.
• Chemicals = 76% of EBIT – Diversification, but with a clear favourite child.
• Technical Textiles EBIT down 24% – China sent cheap gifts, again.

3. Management’s Key Commentary (Decoded)

“Agro off-take was deferred by customers.”
(Customers ghosted us this quarter, but promise to text back in Q4.)