SRF\u2019s Q4FY19 was marked by the chemicals business turning in a spectacular performance\u2014revenue jumped 66% YoY & 150bps YoY and margin expanded 670bps QoQ to 20%. Management is confident of 40- 50% and 20% spurt in specialty chemicals and fluorochemicals businesses in FY20, respectively, driving 20% CAGR over FY19-21E. On the other hand, it envisages pressure on margin of the packaging film and technical textiles segments due to capacity additions in Q2\/Q3FY20 and tepid demand. We revise up FY20\/21E EPS 13%\/9% factoring pickup in the chemical business led by recovery in global agrochemicals. Hence, we revise SOTP-based TP to `2,983 (keeping Sep\u201920 EV\/EBITDA multiples unchanged\u2014technical textiles: 7x, C&P: 14x, packaging: 6x) from `2,315 and reiterate \u2018BUY\u2019. READ ALSO |\u00a0Election 2019: How Nifty may react if BJP-led NDA fails to get majority The chemical division posted robust top-line growth (66% YoY) led by, chloromethane plant reaching optimal utilisation; volume & price-led surge in the refrigerant business; and strong spurt in the specialty chemicals business fuelled by revival in the agro-chemical industry. Further, margin improved 150bps YoY and 670bps QoQ to 20% led by strong operating leverage. Management is confident of 40- 50% growth in the specialty chemicals business and 20% growth in fluorochemicals business in FY20 driven by improved visibility from customers and capacity expansion in refrigerants business. Technical textiles business reported mere 4% revenue growth on account of slowdown in the auto industry. Further, the segment\u2019s margin declined 270bps YoY to 11.7% impacted by `50-60mn inventory loss. On the other hand, packaging films business reported 18% revenue growth with 320bps YoY margin expansion driven by healthy contribution from new capacities and increase in value-added products. Management expects margin in the packaging films business to come under pressure due to capacity additions in the BOPET segment in Q2 We believe, momentum in the chemical segment\u2019s revenue will sustain with gradual improvement in margin. Hence, we revise up FY20\/21E EPS 13%\/9% while maintaining valuation multiples. We maintain \u2018BUY\u2019 with SOTP-based target price of `2,983.