Is CRDA.L (Croda International Plc) Halal or Haram?

Based on our AAOIFI-standard shariah screening, CRDA.L is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (17.61% vs ≤33% threshold), interest income ratio (0.18% vs ≤5% threshold), and cash & securities ratio (4.37% vs ≤33% threshold).

Croda International Plc is a global manufacturer of specialty chemicals operating across sectors like consumer care, life sciences, and performance technologies. The company produces essential ingredients ranging from crop protection additives and seed enhancements to lubricant additives and vehicle cleaning chemicals. For Muslim investors, Croda International represents a solid Halal investment opportunity within the basic materials sector. The stock successfully passes all AAOIFI screening criteria, meaning its core business activities and financial structures fully align with Islamic finance principles. From a financial perspective, Croda demonstrates strong shariah compliance through its low reliance on interest-bearing debt, which sits at just 17.6% of its market capitalization. Furthermore, the company holds minimal cash and interest-bearing securities at 4.4%, ensuring that investors are not exposed to excessive riba-generating assets. While there are no current scholarly debates regarding Croda's compliance, Muslim investors should continue to monitor its life sciences and consumer care segments to ensure future product lines or acquisitions do not introduce non-compliant revenue streams. Croda International Plc operates in the Basic Materials sector under the Chemicals - Specialty industry and is headquartered in Goole, GB. The company is led by CEO Stephen Edward Foots and employs approximately 6,027 people.

CRDA.L was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. CRDA.L passed 4 of these 4 screens.

Although CRDA.L passes all shariah screens, it does earn $3.0M in interest income (0.18% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.18 to purify the income.

CRDA.L was last screened on 2026-05-01. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.