Shares of Navin Fluorine International Ltd. surged 11% to a record high on Thursday after the company's first-quarter earnings exceeded market expectations. The stock was trading 10.7% higher at ₹8,422, having touched an all-time high of ₹8,450 during the session.

The rally extends what has been a strong year for the specialty chemicals manufacturer, with the stock now up approximately 42% year-to-date.

The positive momentum follows Navin Fluorine's Q1 results, in which consolidated net profit doubled to ₹243 crore, driven by robust revenue growth and improved margins. The company operates across business segments including specialty fluorochemicals, contract research and manufacturing services, and refrigerants. India's specialty chemicals sector has been a key beneficiary of global supply chain diversification, with manufacturers increasingly positioning the country as an alternative sourcing destination for pharmaceutical and agrochemical intermediates.

Brokerages turned constructive on the stock following the earnings release. UBS and Jefferies both maintained their bullish recommendations, citing the company's strong execution and growth outlook. The brokerage notes highlighted the company's performance in its high-performance products (HPP) business and its ability to surpass targets set for the segment. The HPP segment, which includes specialized fluorochemicals used in pharmaceuticals and agrochemicals, has been a focus area for the company's margin expansion strategy.

Navin Fluorine International, part of the Padmanabh Mafatlal Group, is listed on Indian stock exchanges under the ticker symbol NFL. The company is one of India's leading manufacturers of fluorochemicals and has been expanding its capabilities in specialty chemicals and contract manufacturing for global pharmaceutical and agrochemical clients.

Related: Navin Fluorine Q1 profit doubles to ₹243 crore as revenue, margins surge

Source: CNBC-TV18