As the earnings season kicks off, global brokerage Jefferies has turned the spotlight on India’s specialty chemicals sector. The brokerage in its report has highlighted the early signs of a recovery driven by export volumes, new capacity ramp-ups, and packaging demand in this sector.
The brokerage firm Jefferies believes companies like Navin Fluorine (NFIL) and SRF are well-positioned to deliver strong numbers in the June quarter. “NFIL should lead growth as new contracts and R32 capacities ramp up, followed by SRF who will benefit from strong ref-gas exports and spike in packaging film prices,” Jefferies said in its Q1FY26 preview.
“Prefer NFIL and PI,” the brokerage report added.
Let’s take a look at what is the brokerage say on this stock-
Navin Fluorine: The brokerage’s top pick
Jefferies has placed Navin Fluorine at the top of its India chemicals watchlist for the quarter. The company is expected to post strong numbers. As per the brokerage report, the revenue growth is estimated at over 35% YoY and EBITDA growth likely to be 79% YoY.
The performance will be fuelled by the scaling up of supplies to global giants like Corteva and Bayer in agrochem, and Fermion in pharma intermediates. Additionally, the company’s R32 refrigerant gas plant is gaining operational momentum.
“Specialty chemicals revenues should rise 50% y/y. CDMO revenues shd grow +67% y/y on a soft base and startup of Fermion contract. Consol Ebitda should rise 79% y/y with margins improving sequentially,” the brokerage noted in its report.
PI Industries
Coming in as the second major gainer, Jefferies expects PI Industries to deliver a flattish top line with EBITDA down 4% YoY, amid contrasting trends across its key verticals.
CSM exports are likely down 6% YoY, affected by weakness in key products. Domestic revenues are expected to rise 25% YoY.
Pharma revenues could spike 141% YoY. “PI should report +1% / -4% Revenue/EBITDA growth YoY on a strong base,” Jefferies said, while still maintaining a positive long-term view on the company.
SRF
SRF is expected to benefit from strong demand and pricing support in its ref-gas and packaging films segments.
As per the brokerage report, revenue growth is expected at +20% YoY and EBITDA growth is forecasted at +37% YoY.
According to Jefferies, export volumes and realisations for refrigerant gases (HFCs) have surged on a YoY basis during April-May 2025. Indian players like SRF have gained market share, as high domestic prices in China curtailed their exports.
“We expect Chemicals EBIT to rise 78% YoY, while Packaging Films EBIT should see a doubling on better pricing,” Jefferies noted.
Anupam Rasayan
Anupam Rasayan (ANURAS) is expected to post strong growth numbers in Q1, though much of it stems from a low comparison base. Revenue growth is seen at +76% YoY and EBITDA growth, a sharp +141% YoY.
Agrochemicals
The broader agchem landscape continues to face challenges, especially in international markets. Weak crop prices have dented farmer profitability, limiting demand for agri-inputs.
Prices of key crops such as wheat and soybean were down 12% YoY in the June quarter, while corn was marginally up by 2%.
“Farm economics remains subdued…Demand outlook is mixed within Jefferies’ global chemical coverage,” the brokerage said. It added that recent earnings downgrades in the segment were led by Bayer, even as BASF reported stronger-than-expected volumes.