SRF Limited - Comprehensive Analysis Report

Summary

SRF Limited, an Indian multinational conglomerate founded in 1970, has transformed from a single-unit tire cord manufacturer into a diversified chemicals entity. Headquartered in Gurugram, India, the company operates across three primary business segments: Technical Textiles, Chemicals, and Packaging Films. Its extensive product portfolio includes fluorochemicals, specialty chemicals, packaging films, technical textiles, and coated and laminated fabrics. SRF is renowned for its robust research and development capabilities, particularly in niche chemical domains. The company's mission is to be a global leader driven by innovation, sustainability, and quality, committed to creating value for all stakeholders. Its maxim, "We always find a better way," underscores its dedication to continuous improvement, technology leadership, and inclusive growth.

1. Strategic Focus & Objectives

Core Objectives

SRF Limited's core objectives revolve around innovation, sustainable growth, and global market expansion. The company aims to lead in innovative solutions within the chemicals and technical textiles sectors by strategically investing in research and development to enhance product performance and meet evolving customer needs. A key objective is a 30% reduction in greenhouse gas emissions per unit of production by 2030, alongside an increased reliance on green and renewable energy sources.

Specialization Areas

SRF’s key areas of expertise include fluorine chemistry, specialty chemicals for agrochemical and pharmaceutical industries, and advanced materials in technical textiles and packaging films. The company leverages its proprietary knowledge in fluorination processes and custom synthesis capabilities to offer unique value propositions. Its integrated fluorochemicals complex is the largest in India, showcasing deep knowledge and operational scale in this specialized field.

Target Markets

SRF targets primary market segments across several industries, including automotive, construction, food packaging, pharmaceuticals, and agrochemicals. The company seeks to expand its international footprint, aiming for a 15% annual increase in revenue from global markets by 2024. This market positioning strategy involves new partnerships and expansion of production facilities outside India, including emerging markets.

2. Financial Overview

Funding History

SRF Limited is publicly listed on the Bombay Stock Exchange (BSE: 503806) and the National Stock Exchange (NSE: SRF). For the fiscal year 2022-2023, the company reported a consolidated revenue of approximately ₹16,000 crores (approximately $1.8 billion), marking a 15% year-on-year increase. The net profit for the same period was ₹2,300 crores, with an operating margin of nearly 22%. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) stood at ₹2,282 crore in FY 2022. For FY 2024, SRF reported a revenue of ₹13,139 crore, EBIT of ₹2,201 crore, and a PAT of ₹1,336 crore. As of October 2023, the market capitalization was approximately ₹95,000 crore.

SRF has made substantial investments in its research and development capabilities, with approximately ₹1,000 crore invested over the past few years. This includes ₹250 crore in the fiscal year 2022-2023 and an additional ₹500 crore in 2024, demonstrating consistent internal investment in innovation and growth.

3. Product Pipeline

Key Products/Services

SRF Limited is actively engaged in developing new products within its specialty chemicals and fluorochemicals divisions.

• New Agrochemical and Pharmaceutical Products (FY25)

• Description: Development and launch of new agrochemical and pharmaceutical products.

• Development Stage: Recently launched.

• Key Features and Benefits: Demonstrates a continuous focus on customer new product development projects, enhancing the company’s portfolio in high-value chemical intermediates.

• Next Generation Refrigerant Gas Project (Odisha)

• Description: Development of a new generation refrigerant gas.

• Development Stage: Underway with planned investments of ₹1,500-2,000 crores for the first stage.

• Expected Timeline: Sales anticipated to commence in export countries by FY28; HFO adoption in India expected after FY32.

• Key Features and Benefits: Positions SRF to cater to future global market demands for environmentally friendlier refrigerants.

• Second Pharma Intermediate Plant

• Description: Expansion of pharmaceutical intermediate manufacturing capacity.

• Development Stage: Under construction.

• Expected Timeline: 8-month timeline for completion.

• Key Features and Benefits: A capital expenditure of ₹180 crores to boost capacity and cater to growing demand in the pharmaceutical sector.

4. Technology & Innovation

Technology Stack

SRF Limited's technological strength is rooted in its extensive expertise in fluorine chemistry, with over 25 years of experience in handling fluorine molecules. The company operates India's largest integrated fluorochemicals complex.

• Core Platforms and Technologies: Proprietary knowledge in fluorination processes, custom synthesis capabilities, and sophisticated handling of complex organo-fluorine compounds used in pharmaceutical and agrochemical industries. The Chemicals Technology Group (CTG) drives high-end molecules and new process technologies.

• Proprietary Developments: Manufacturing of refrigerant gases, pharma propellants, and industrial chemicals, leveraging advanced processes for various halogenated compounds.

• Scientific Methodologies: Employs advanced scientific methods in custom synthesis and contract research and manufacturing. Expertise spans complex reactions including halogenation, ethylation, hydrogenation, nitration, diazotization, grignard, isomerization, amination, organocatalysis, and decarboxylation.

• Technical Capabilities: The company holds over 300 patents globally, with nearly 470 patent applications filed to date, and 99 global patents granted as of Q1 FY22, protecting its innovations in chemical processes and compositions, such as 2,3,3,3-tetrafluoropropene and azeotropic compositions comprising 1234yf.

5. Leadership & Management

Executive Team

SRF Limited is led by a dedicated and experienced executive team:

• Arun Bharat Ram: Chairman Emeritus. Recognized for his 'Outstanding Contribution to Education and Skill Development' by HURUN INDIA at the Hurun India Philanthropy Awards 2024.

• Ashish Bharat Ram: Chairman & Managing Director. Named India's Best CEO in the emerging companies category by Business Today in 2021 and received the “Transformational Leader Award – Mid Cap company category” for 2020 by the Asian Centre for Corporate Governance & Sustainability.

• LinkedIn: [https://www.linkedin.com/in/ashish-bharat-ram-1b576839/](https://www.linkedin.com/in/ashish-bharat-ram-1b576839/)

• Kartik Bharat Ram: Joint Managing Director.

• LinkedIn: [https://www.linkedin.com/in/kartik-bharat-ram-a944a99/](https://www.linkedin.com/in/kartik-bharat-ram-a944a99/)

• Samir Kashyap: President & Chief Financial Officer. Appointed effective January 27, 2026. Brings over 30 years of experience, including two decades in CFO roles at Meta and SAP, covering finance, digital transformation, and corporate governance.

• Prashant Mehra: President, Chief Executive Officer (Packaging Films Business, Laminated Fabrics & Coated Fabrics).

• Anurag Jain: President, Chief Executive Officer (Specialty Chemicals Business & Chemicals Technology Group).

• Prashant Yadav: President, Chief Executive Officer (Fluorochemicals Business & Technical Textiles Business).

• Geeta Shamrao Jadhav: President, Chief Human Resources Officer.

Recent Leadership Changes

SRF Limited announced the appointment of Samir Kashyap as President & Chief Financial Officer (CFO), effective January 27, 2026. This appointment was approved by the Board of Directors on January 20, 2026. Mr. Kashyap's extensive professional background, spanning over 30 years with significant CFO experience at globally recognized organizations such as Meta, SAP, and Genpact LLC, is expected to bring considerable expertise in financial strategy, digital transformation, and corporate governance to the company's senior leadership team.

6. Talent and Growth Indicators

Hiring Trends and Workforce

SRF Limited’s workforce has expanded to over 8,000 employees across 11 manufacturing plants located in India, Thailand, South Africa, and Hungary. The company projects its employee count to exceed 10,000 by 2025. There is a strong organizational emphasis on employee development, with a goal to provide training and skill development to at least 80% of its workforce by 2024. Recent surveys indicate a high employee satisfaction rate of 90%.

Key roles being recruited

SRF is actively recruiting for various professional roles, including Junior Officer - Chemicals Technology Group, Research Associate, Research Scientist, Junior Officer - TQM - Performance Films and Foil Business, Process Design Engineer, Senior Executive - Indirect Taxation, and Senior Executive - CO-HR. These positions are primarily located in Bhiwadi, Gurugram, and Indore.

Company growth trajectory indicators

The projected growth in employee numbers and consistent investment in R&D are strong indicators of SRF's expansion trajectory. The establishment of new manufacturing facilities and strategic partnerships also signal a robust growth strategy.

Employee sentiment and culture insights

The reported 90% employee satisfaction rate highlights a positive employee sentiment and a supportive corporate culture that emphasizes welfare and development. The company is recognized for its effective people management skills and its ability to foster growth through employee empowerment.

7. Social Media Presence and Engagement

Digital Footprint

SRF Limited maintains a prominent digital footprint, primarily through professional social media platforms such as LinkedIn and YouTube.

• Social Media Activity: The company actively shares updates on its diversified business operations, sustainability initiatives, and corporate culture.

• Brand Messaging: Consistent messaging emphasizes innovation, quality, and environmental responsibility, reinforcing its brand as a leader in industrial and specialty intermediates with a global reach.

• Community Engagement: SRF utilizes these platforms to communicate corporate achievements, financial performance, and updates across its various business segments, fostering engagement with its stakeholder community.

• LinkedIn: [https://www.linkedin.com/company/srf-limited/](https://www.linkedin.com/company/srf-limited/)

• YouTube: [https://www.youtube.com/user/SRFLimitedVideos](https://www.youtube.com/user/SRFLimitedVideos)

8. Recognition and Awards

Industry Recognition

SRF Limited has received numerous awards and accolades for its commitment to quality, leadership, and sustainability:

• Deming Prize: Awarded for its Tyre Cord Business in 2004 and Chemicals Business in 2012, making it the first nylon tire cord company outside Japan to achieve this distinction.

• Forbes' "Best Under a Billion List": Included in 2011.

• India's Best CEO: Ashish Bharat Ram, Chairman & Managing Director, was named India's Best CEO in the emerging companies category by Business Today in 2021.

• Transformational Leader Award: Ashish Bharat Ram also received this award in the Mid-Cap company category for 2020 from the Asian Centre for Corporate Governance & Sustainability.

• Adam Smith Awards Asia 2021: Highly Commended Winner of the Best Working Capital Management Solution.

• Moneycontrol Indian Family Business Awards 2021: Recognized as the Best Family Business in the Giga category.

• Frost & Sullivan Institute: Recipient of the 2022 Enlightened Growth Leadership Award and the 2024 Enlightened Growth Leadership Best Practices Recognition.

• FE Financial Star Award: Commended Rahul Jain, President & CFO, under Financial Express.com FE POWER LIST.

• Mahatma Award: Received by SRF Foundation for Social Good and Impact in Quality Education.

• Bhamashah Award: Its Chemicals manufacturing facility in Bhiwadi, Rajasthan, was honored by the Government of Rajasthan for outstanding contributions to education and infrastructural development.

• IAQ Quality Sustainability Award: Awarded to its Packaging Films Business by the International Academy for Quality (IAQ).

• Best Supplier Award: Conferred by Toshiba to SRF’s Fluorochemicals Business unit in Thailand.

• Hurun India Philanthropy Awards 2024: Chairman Emeritus Mr. Arun Bharat Ram was recognized for his 'Outstanding Contribution to Education and Skill Development'.

9. Competitive Analysis

Major Competitors

SRF Limited operates in dynamic and diverse sectors, facing competition from various entities across its business segments:

• Chemicals Business (Fluorochemicals & Specialty Chemicals): Competitors include global players such as Gujarat Fluorochemicals Ltd., Navin Fluorine International Ltd., Aarti Industries Ltd., Atul Ltd., and Himadri Speciality Chemical Ltd.

• Technical Textiles: Key players in this segment include Teijin Limited and Sateri, among others, who manufacture tire cord fabrics, belting fabrics, and industrial yarns.

• Packaging Films (BOPET & BOPP): SRF competes with numerous global manufacturers of BOPET and BOPP films.

• Competitive Positioning: SRF distinguishes itself through its integrated fluorochemicals complex, robust R&D capabilities in niche chemical domains, and a diversified product portfolio. The company often faces strong competition and pricing pressures, particularly from low-cost producers in China, across its Technical Textiles, Packaging Films, and Fluorochemicals businesses.

10. Market Analysis

Market Overview

SRF operates within markets characterized by strong growth drivers and high entry barriers, particularly evident in the specialty chemicals sector. The increasing global demand for refrigerants and advanced intermediates for pharmaceutical and agrochemical applications provides significant growth opportunities. The global technical textiles market is also projected for substantial growth