Quarterly Financial Performance
Supreme Petrochem Ltd. (NSE: SPLPETRO), a Mumbai-based polystyrene maker, reported a significant downturn in its financial results for the third quarter ended December 31, 2025. Consolidated revenue from operations fell about 10% year-on-year to approximately ₹1,264.7 crore. Net profit declined by 57.7% to around ₹30.15 crore compared with the year-ago period. EBITDA contracted sharply on both absolute and margin bases.
Total sales volume of manufactured products increased 6.7% to 91,265 metric tonnes in Q3 versus 85,537 metric tonnes in Q3 FY25, indicating modest improvement in physical offtake.
Operating EBITDA stood lower than Q3 FY25 and operating EBITDA margins compressed versus Q3 FY25. Total EBITDA including other income also saw a decline.
For the nine-month period through December 31, 2025, operational revenue decreased about 16% and net profit fell approximately 44%. Total sales volumes for April to December showed only marginal change compared to the prior year same period.
Product and Segment Performance
Supreme Petrochem’s core business remains the manufacturing of polystyrene (PS) and expandable polystyrene (EPS) where it holds a dominant position in the domestic market with an estimated share exceeding 50%. The company also produces masterbatches and compounds of styrenics, extruded polystyrene insulation boards (XPS), high-impact polystyrene, and general purpose polystyrene used in injection moulding, extrusion and thermoforming applications.
Sales volume growth in Q3 FY26 was supported by increases in physical shipments of these manufactured products. However, revenue contraction reflected price pressures and margin compression across these segments.
The company has commenced production at a new acrylonitrile butadiene styrene (ABS) plant with a capacity of 70,000 MT per annum though operations were disrupted in late December due to equipment issues. The company did not provide a timeline for resumption.
Operational Highlights
Supreme Petrochem noted stabilisation in key raw material pricing in late 2025, which had previously weighed on margins. Styrene monomer prices, which had declined through November, showed signs of stabilising with an upward bias in December potentially aiding processors’ purchasing decisions.
Total sales volumes increased year-on-year in the quarter albeit with revenue and profitability declines. The company continues capacity expansions and product diversification initiatives, including in ABS and value-added styrenic compounds.
Market and Industry Context
Supreme Petrochem’s performance contributed to pressure on its share price in late trading sessions reflecting investor reaction to the weaker quarterly results. According to market data, the stock has been trending lower from prior peaks.
The petrochemical industry in India and globally remains subject to volatility in feedstock costs and price competition, factors that affected the company’s revenue and margins in Q3 FY26.
CAGR and Long-Term Growth
While specific CAGR figures for recent years were not disclosed in the quarterly release, broader industry data and historical financials indicate that Supreme Petrochem has grown sales and diversified product offerings over multiple years. Market leadership in polystyrene and EPS, export markets reaching over 90 countries, and ongoing capacity additions underpin medium-term growth trends established in prior reporting periods.
Key Metrics Q3 FY26 vs Q3 FY25
● Revenue from operations decreased 10% to ₹1,264.7 crores
● Net profit declined by 57.7% to ₹30.15 crores
● Total sales volume grew 6.7% to 91,265 MT.
● Operating EBITDA declined and margin was compressed
Conclusion
Supreme Petrochem’s Q3 FY26 results showed a marked decline in revenue and profits compared with the prior year period. Sales volumes grew modestly, but were insufficient to offset price and margin pressures. Operational developments included volume increases and progress on capacity expansion, but earnings performance remained subdued in the quarter.