SRF Q2 Review - Refrigerant-Gas Likely To Aid Profitability In H2 FY22: ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.SRF Ltd.’s Q2 FY22 print was not encouraging, but for strong margin expansion in chemical business from higher realisations in hydrofluorocarbons (refrigerant-gas), we anticipate even higher benefit in H2 FY22. Technical textiles and packaging films margin compression QoQ was expected, but pace has negatively surprised. Ref-gas utilisation increase along with higher spreads should support near-term profitability and continued growth in specialty chemicals (guidance: 15-20% growth in FY22 stays). Rising power cost and raw material pressure could be key risks. SRF has committed Rs 20 billion capex in FY22 (Rs 6.6 billion in H1 FY22), of which, chemicals would see Rs 12 billion investment. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

SRF Q2 Review - Refrigerant-Gas Likely To Aid Profitability In H2 FY22: ICICI Securities

SRF Q2 Review - Refrigerant-Gas Likely To Aid Profitability In H2 FY22: ICICI Securities

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