Supreme Industries Limited is India’s leading plastics product manufacturer, offering a wide and comprehensive range of plastic products in India. The company operates in various product categories viz. Plastic Piping System, Cross Laminated Films & Products, Protective Packaging Products, Industrial Moulded Components, Moulded Furniture, Storage & Material Handling Products, Performance
Packaging Films and Composite LPG Cylinders. Presenting below are its Q1 FY26 earnings results.
Q1 FY26 Earnings Results
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Revenue: ₹2,609 crore, down 1.02% year-over-year (YoY) and 13.2% quarter-on-quarter (QoQ).
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Net Profit (PAT): ₹202.3 crore, down 26% YoY and 43% QoQ.
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EBITDA: ₹344 crore; EBITDA margin contracted to 13.1% from 15.99% YoY.
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Volume Growth: Plastic goods volume grew 5.7% YoY, driven by 6.1% volume growth in the plastic pipe segment (but below management’s estimates).
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EPS: ₹15.93, down from ₹21.50 in Q1 FY25 and ₹27.90 in Q4 FY25.
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Expenses: ₹2,386 crore, up 2% YoY.
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Operating Profit: ₹319 crore, down 19% YoY; PAT margin at 7.7% (down from 10.3% YoY).
Management Commentary & Strategic Highlights
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Q1 was affected by early monsoon (impacting pipe volumes, particularly in agriculture), inventory losses (falling PVC prices), and delayed anti-dumping duty enforcement.
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Management expects Q1 inventory losses of ₹50–60 crore to be non-recurring and forecasts EBITDA margin recovery to 14.5–15.5% for FY26 as business conditions normalize.
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The guidance for full-year volume growth in Plastics Piping has been raised to 15–17%, overall volume growth to 14–15% (including ~30,000 tonnes volume from the soon-to-close Wavin acquisition).
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Wavin acquisition (₹310 crore) adds new product lines and tech for Indian/SAARC markets, and exclusive licensing for seven years; expected to close July 2025, capex funded via internal accruals.
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Focus remains on value-added product sales, brand-building, and new plant expansions.
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Despite margin weakness in Q1, management is optimistic about strong housing demand and expects agriculture demand to recover as government fund flows resume.
Q4 FY25 Earnings Results
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Revenue: ₹3,027 crore, up 11% YoY.
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Net Profit (PAT): ₹294 crore, up 20.8% YoY.
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EBITDA: ₹416 crore, margin at 15.99%.
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Q4 saw higher sales and profitability, providing a strong base for the year even as Q1 saw a seasonal and price-led margin dip.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.