Loading…
Gujarat Fluorochemicals Ltd
NSE: FLUOROCHEM BSE: 542812 INE09N301011 Commodities Energy 🔎 Screen
NIFTY 500 Midcap 150
₹10 Cr
Market Cap
84.1
P/E
2.34
PEG
9.9%
ROCE
7.8%
ROE
0.29
D/E
25.8%
OPM
+5.5%
% from 52W High
84
α RS
⚖️ Compare 🔒 Generate Report 📚 Guides
📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
Shareholding
About

Incorporated in 2018, Gujarat Fluorochemicals Limited, earlier known as Inox Fluorochemicals Limited, is a part of the INOX Group of Companies and has been demerged from GFL Ltd, into a separate legal entity. It is one of the leading producers of Fluoro-polymers, Fluoro-specialities, Chemicals and Refrigerants in India. It is one of the top five global players in the fluoropolymers market with exports to Europe, Americas, Japan and Asia.

✓ Strengths

No strengths data yet.

! Concerns 4
  • Stock is trading at 6.14 times its book value
  • Company has a low return on equity of 7.92% over last 3 years.
  • Company might be capitalizing the interest cost
  • Dividend payout has been low at 6.46% of profits over last 3 years
Key Ratios Snapshot
📊 Sector Averages
📈 Growth Pattern
📊 Quick Scorecard
Loading…
🔒
Premium Feature
AI-generated 10-section company profile — business model, financials, strengths, risks & management quality
Upgrade to Premium
Already a member? Log in
📐
3-Statement Financial Model
Bear / Base / Bull projections · DCF fair value · Reverse-DCF
Open Model →
Mixed quarter: Chemical segment beat with 11% revenue growth and 26% EBITDA margin, but Battery Materials losses of ₹45 Cr EBITDA and consolidation adjustments dragged consolidated PAT down 32% YoY. quarter Investor Presentation One-Pager? Mar 2026
Revenue
₹1,369 Cr
+12% YoY
EBITDA Margin
22%
-248 bps YoY (25% in Q4FY25)
PAT
₹112 Cr
-32% YoY (₹162 Cr in Q4FY25)
Key Metric
Chemical Segment EBITDA ₹353 Cr
+13% YoY, margin 26% (+52 bps)
What Went Right
  • Chemical segment revenue grew 11% YoY to ₹1,358 Cr, driven by Fluoropolymers (+19% YoY) and R32 production start.
  • Chemical EBITDA margin improved 52 bps to 26% YoY, despite a challenging global environment.
  • Battery Materials qualification milestones achieved: LFP CAM samples approved, PVDF binder qualification complete, LiPF6 approved by all major electrolyte players.
  • Funding tied up ~₹3,730 Cr (₹1,000 Cr Indian investors, ₹430 Cr IFC, ₹1,200 Cr Middle Eastern sovereigns, and ₹1,100 Cr parent infusion) for battery capex.
  • Fluoropolymers revenue increased 19% YoY and 14% QoQ on higher volumes and price increases.
What to Watch
  • Consolidated PAT fell 32% YoY to ₹112 Cr, hit by ₹57 Cr loss in Battery Materials (vs ₹1 Cr profit in Q4FY25) and lower tax/exceptional items from base period.
  • Battery Materials EBITDA loss deepened to ₹45 Cr (vs ₹6 Cr loss in Q4FY25), with revenue of only ₹11 Cr still negligible.
  • Consolidated EBITDA margin contracted 248 bps to 22% due to the drag from Battery Materials losses.
  • Bulk Chemicals revenue was flat (+1% YoY, -3% QoQ), with management cautioning range-bound caustic soda pricing due to domestic capacity additions.
  • PAT included exceptional charges of ₹3 Cr (consolidated) for new labour code implementation, reducing headline profit.
Management Guidance
  • Planned ₹2,300 Cr capex for FY27 across battery material portfolio, largely growth capex including NGAAM facilities.
  • Overall capex remains ₹6,000 Cr by FY28 with target 2x asset turnover and 25%+ EBITDA margin; full potential expected in FY29.
  • Commercial sales of LFP CAM expected to start in H2FY27; PVDF binder commercial business expected in H1FY27.
  • Total funds raised / tied up ~₹3,730 Cr for battery materials business.
Investor Lens
The core chemicals business remains strong with improving margins and volume growth, particularly in fluoropolymers (up 19% YoY) and refrigerants. However, the Battery Materials vertical is still pre-revenue and burning significant cash (₹45 Cr EBITDA loss), which depresses consolidated profitability. Management’s capex guidance of ₹2,300 Cr for FY27 and ₹6,000 Cr by FY28 with 25%+ EBITDA margin is ambitious but hinges on timely commercialisation of battery products. The LFP CAM and PVDF binder ramp in H2FY27 will be key to validating the thesis. Watch for any delays in customer qualification or volume offtake, and whether chemical margins can sustain to fund the battery cash burn. Also monitor R32 volume ramp under Kigali Amendment tailwinds.
From investor presentation · AI-generated analysis · Not investment advice
🔒
Premium Feature
Investor Presentation One-Pager — quarterly highlights, what went right/wrong & management guidance
Upgrade to Premium
Already a member? Log in
📊 MIXED Revenue up 12% YoY but net profit plunges 43% due to margin contraction.
Revenue
Revenue grew 11.8% YoY and 20.5% QoQ to ₹1,369 Cr, indicating strong sequential recovery. However, the YoY growth is modest and profitability lagged.
Profitability
Net profit fell 42.9% YoY to ₹109 Cr, with EPS dropping from ₹17.39 to ₹9.92. Higher depreciation (₹97 Cr) and interest costs (₹42 Cr) weighed on the bottom line.
Margins
Operating profit margin contracted sharply from 25% (YoY) to 22%, reflecting cost pressures despite higher revenue. QoQ OPM also fell from 24% in Dec 2025.
Cash Flow
No cash flow data provided; therefore, assessment of cash generation quality is not possible.
Balance Sheet
Borrowings stood at ₹2,290 Cr against reserves of ₹7,855 Cr, resulting in a low debt-to-equity ratio of 0.23. The balance sheet remains healthy with adequate equity buffer.
Key Risks
Margin compression is a key risk, with OPM down 300 bps YoY. The high PE of 62.8x despite falling EPS suggests expensive valuation. Interest and depreciation costs remain elevated, pressuring profitability.
Outlook
While revenue recovery is encouraging, margin sustainability is critical for earnings growth. Cost management and demand trends will determine if profitability can rebound from current lows.
Generated by AI · Mar 2026 results · Not investment advice
🔒
Free Account Required

Create a free Finmagine account to access Finmagine™ Scorecard.

See how this company scores across 5 dimensions — Financial Health, Growth Prospects, Competitive Position, Management Quality, and Valuation — powered by 30+ computed ratios.

Create Free AccountLog In
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Ask AI.

Get 25 expert AI analysis templates — Business KPIs, Comprehensive, Forensic Governance, Peer Comparison, Risk-Reward, Full Research Report, IPO Decoder, Red Flag Detector, and more — ready to paste into ChatGPT, Claude, Gemini, or Perplexity.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Peer Comparison.

Compare this company side-by-side against its sector peers with financial metrics, ratio benchmarking, and relative performance across all key dimensions.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Documents.

Access concall transcripts, annual reports, credit ratings, and investor presentations.

Upgrade to PremiumCreate Free Account

Revenue by Segment

Segment Q2FY26 Q3FY26 Trend
Chemicals
1,215
EBIT 301
1,148
EBIT 190
EV Products
3
EBIT -22
14
EBIT -14
Total 1,218 1,162

Source: NSE Integrated Filing XBRL (Reg. 33 Ind AS). Values in ₹ Crore.

📊 Sector KPIs

Industry-specific KPIs with historical trend — AI-extracted from investor presentations
🔒
Premium Feature
Industry-specific KPIs with historical trend across quarters — AI-extracted from investor presentations
Upgrade to Premium
Already a member? Log in

💼 Management Guidance

Revenue, loan book, NIM and other management targets — with hit/miss tracking
🔒
Premium Feature
Management guidance targets with historical hit/miss tracking — unlocked with Premium
Upgrade to Premium
Already a member? Log in

🎯 Thesis Tracker

Guidance vs Delivery — management track record
🔒
Premium Feature
Management guidance vs actual delivery — track whether revenue & PAT targets were Beat, Met or Missed across every reporting year
Upgrade to Premium
Already a member? Log in
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Full Report.

Read the complete Finmagine™ investment research report — comprehensive fundamental analysis, business model assessment, competitive positioning, and investment recommendation.

Upgrade to PremiumCreate Free Account

📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

🎯
Discover Our Proven Investment Framework Learn how we analyze and rank stocks using advanced quantitative models, multi-dimensional scoring systems, and dynamic discriminatory ranking techniques that have guided successful investment decisions across market cycles.
📊 Explore The Finmagine™ Methodology

A comprehensive, bias-free framework for analyzing and ranking stocks by Financial Strength, Growth Potential, Competitive Edge, Management Quality, and Value.

⚠️ Important Disclaimers — Please read without fail.

Investment Risk:
Investing in securities, including equities and mutual funds, involves inherent risks, including the potential loss of principal. All investments are subject to market fluctuations, regulatory changes, and other risks that may affect their value. Past performance is not indicative of future results. This report is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This report does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a SEBI-registered investment adviser or other qualified financial professional before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities or financial instruments discussed in this report. Any such positions, if material, are disclosed to the best of the author's knowledge and are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company, institution, or third party.

Information Sources:
The analysis and opinions expressed herein are based on publicly available information, including but not limited to company filings with the BSE/NSE, annual reports, management commentary, investor presentations, data from the Reserve Bank of India (RBI), SEBI, industry publications, and other reliable financial data sources. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

Forward-Looking Statements:
This report may contain forward-looking statements, forecasts, or projections that are inherently subject to risks, uncertainties, and assumptions. Actual results may differ materially from those expressed or implied. The author does not undertake any obligation to update such statements in the future.

Regulatory Compliance:
This report is intended to comply with the Securities and Exchange Board of India (Research Analysts) Regulations, 2014, as amended, and other applicable Indian laws and regulations.

Limitation of Liability:
The content of this report is provided "as is" without any warranties, express or implied, including accuracy, completeness, merchantability, or fitness for a particular purpose. The author and publisher expressly disclaim any liability for errors, omissions, or any losses incurred as a result of reliance on the information provided. Readers assume full responsibility for their investment decisions.