Supreme Petrochem Ltd (NSE: SPLPETRO) Q4 2025 Earnings Call dated Apr. 25, 2025
Corporate Participants:
Nupur Jainkunia — Investor Relations
Rakesh Nayyar — Executive Director and Chief Financial Officer
Analysts:
Sailesh Raja — Analyst
Aditya Khetan — Analyst
Manish Ostwal — Analyst
Unidentified Participant
Dhruv Muchhal — Analyst
Pritesh Chheda — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Supreme Petrochemical Limited Q4 FY ’25 Earnings Conference Call, hosted by Advisors. As a reminder, all participant lines will be in listen-only mode and there will be an opportunity for you to ask question after the presentation concludes.
Should you need assistance during the conference call, please signal an operator by pressing and zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Ms Noopur Jain Kunia from Valorem Advisors. Thank you, and over to you, ma’am.
Nupur Jainkunia — Investor Relations
Thank you. Good evening, everyone, and a very warm welcome to you all. My name is Jain Kunia from Valem Advisors. We represent the Investor Relations of Supreme Petrochem Limited. On behalf of the company, I would like to thank you all for participating in today’s earnings call for the 4th-quarter and financial year 2025.
Before we begin, let me mention a good cautionary statement. Some of the statements made in today’s earnings call may be forward-looking in nature. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ from those anticipated.
Such statements are based on management’s beliefs as well as assumptions made by information currently available to management. Audiences are cautioned not to place any undue reliance on these forward-looking statements in making any investment decisions. The purpose of today’s earnings call is purely to educate and bring awareness about the company’s fundamental business and financial quarter under review.
Now let me introduce you to the management participating with us in today’s earnings call and hand it over to them for opening remarks. We have with us Mr Rakesh Naya, Executive Director and CFO, Mr, Chief Executive of Finance and Accounts; Mr Mishra, Company Secretary of the company.
Without any further delay, I request Mr Rakesh to start with his opening remarks. Thank you, and over to you, sir.
Rakesh Nayyar — Executive Director and Chief Financial Officer
Thank you thank you,. Thank you. Good evening, everyone. It’s a pleasure to welcome you all to our earnings conference call for the 4th-quarter and financial year 2025. Let me give you a brief overview of the financial performance for the quarter and the financial year ’25. In the 4th-quarter, operating income was INR1,539 crores, up 99.5% from the previous quarter, but down by 1.5% or on year-on-year basis.
Total EBITDA was on Indian INR163 crores, increasing over 40% on quarter-on-quarter basis, though it was down by 15.9% on year-on-year basis. Net profit-after-tax was INR107 crores. For the financial year ending 2025, the operating income is at INR6,023 crores, which shows an — which is an increase of 14.6% on year-on-year basis. The EBITDA stood at INR605 crores and the net profit-after-tax for the year stood at INR390 crores.
In financial year ’25, we recorded a 9.4% increase on year-on-year basis in manufactured product sales, driven by strong demand. In the 4th-quarter alone, sales volume rose by 11.7% from the previous quarter, though there was a marginal decline of 0.75% year-on-year. Sterin monomer prices fluctuated within a range of plus-minus 10% during the year.
Monomer is showing a downward trend since March 2025. The capacity utilization for the year for all products put together was 79%. To support our growth strategy, we acquired Polymers Private Limited, a Tamil Nadu-based compounding company specializing in engineering polymer compounds with a capacity of 15,000 tonnes. This facility is ideally located near Chennai’s automotive corridor and City, which is a major hub for consumer electronics.
XMOLD acts as a Tier-2 supplier to automobile OEMs and appliance manufacturers, strengthening our footprint in these key industries. I’m pleased to share that the company has maintained a debt-free status with an investable surplus of INR872 crores as at the end of March 2025. This reflects our strong balance sheet and prudent financial management. The Board of Directors has recommended a final dividend of INR7.50 per equity share, bringing the total dividend for the year to INR10 per equity share of the face value of INR2 each.
Phase-1 of Mass ABS project is progressing well and is expected to be mechanically complete by May 2025. With this, now I open the floor for the question-and-answer session. Thank you.
Questions and Answers:
Operator
Thank you. Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question.
Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Sailesh Raja from B&K Securities. Please go-ahead.
Sailesh Raja
Yeah. Thank you, sir. Thanks for the opportunity. Sir, we have noticed the current trend since FY ’21. It implied cost in every March quarter consistently it is coming down below 1 percentage of sales. Is there any specific reason?
Rakesh Nayyar
Sorry, I couldn’t get you what you said.
Sailesh Raja
No, every March quarter starting from FY ’21, the employee cost as a percentage of sales is coming down. So there is reasons.
Rakesh Nayyar
We’re talking about employee costs.
Sailesh Raja
Yeah, right.
Rakesh Nayyar
No, because in the previous quarter let’s say the December quarter, generally there is our annual performance incentive is given to the employees or there is an excreation payments or the Diwali bonus, all that comes in there and the — because the second-quarter has generally the annual — annual — annual appraisals coming in and the areas are given. So compared to the two previous quarters of the year, the 4th-quarter salaries have become normal then.
Sailesh Raja
Okay, okay. Got it, sir. Sir, regarding the export polymers of the 15,000 tons of capacity — installed capacity, what is the split between PC light and thermoplastic compound line?
Rakesh Nayyar
This is all thermoplastic compounds lines there only.
Sailesh Raja
Okay, okay, okay. So it’s a thermoplastic line, sir.
Rakesh Nayyar
Yeah.
Sailesh Raja
Okay. So on the — so based on this 15,000 tonnes per annum capacity, what is the potential revenue and EBITDA we can report, sir? In FY ’24, it’s up INR73 crores and INR4.4 crores of.
Rakesh Nayyar
The potential only capitalization was only around capacity utilization was only 60% because out-of-the 15,000 tonnes, the 5,000 tons they implemented only towards the end-of-the last financial year. And on a 60% utilization, meaning rather than the total capacity of the 40% utilization, they had a revenue of INR72 crores. So going by that, the total potential is closer to INR200 crores for this business.
Sailesh Raja
Okay, okay. So at full potential, what kind of EBITDA we can see that?
Rakesh Nayyar
See the product mix will change going-forward. So I really can’t give you that estimate at the moment, please.
Sailesh Raja
Okay, okay. Sir, this excludes the subsidiary K Polymers Private Limited in case they tell me trading plastic raw-material. So our transaction — current transaction with XMOLD, inclusive of this trading operation,
Rakesh Nayyar
No, SEX, the K Polymer is not the subsidiary of X mold. K Polymer is also a company-owned by the previous promoter of X mold. So that is a prejudic.
Sailesh Raja
Okay, okay. So once the current user industry is how much is automotive, how much is tall, how much is electrical and electronics that you can industry mix.
Rakesh Nayyar
This unit is currently almost — 60% of this is going into the appliances and electrical electronics and around 30% to 40% is with the automotive industry.
Sailesh Raja
Okay. Okay, okay. Sir, our press release mentions that we gain access to a small lab facility. So what is the USP of this lab and how — how does it align with our goal of expanding the component business explained, sir?
Rakesh Nayyar
They have good equipment there. Their lab is well-equipped. And since we are totally focused on the compounds, the development of new compounds in their facility would be an advantage to us going because we with our AVS coming in and we also want to ambition, we are — we have ambition to grow in the compound business
Sailesh Raja
So that adds to our resources the effectively states that upon deal closure. So we are obligated to pay an additional 20% of exports increased. So in this context, are we still permitted to expand capacity within export during the period or ultimately, we can consider setting up thermoplastic component line within.
Rakesh Nayyar
So we are — there is no restriction on our operating any business in that country.
Sailesh Raja
Okay, okay. So do you have any space for expanding capacity next month,
Rakesh Nayyar
There is enough capacity, but then going-forward, when we have to grow further there, we will acquire more areas there. The land is available in that build..
Sailesh Raja
Okay. Okay, sir. Thank you, sir. Thank you.
Rakesh Nayyar
EPS is concerned, the EPS is downstream units, which is the three-D boards there that is what we have talked about is setting up a 3D expansion, 3D boards there and 3D boards of 101 lakh square meters. That should give us a revenue of INR100 crores or so. And the EBITDA margins would be in-line with our current excluded insulation board or maybe marginally less than that. We expect that it should be in excess of 25% or so, the EBITDA margin should be there.
Aditya Khetan
Okay. Sir, my last question is onto the. Sir, we have seen like US has imposed a duty on China, those styrene supply from China to US would be limited instead they could come to India. So this would benefit Supreme in any way
Rakesh Nayyar
China was never sending styrene to USA China is consuming styrene in-house
Aditya Khetan
Okay
Rakesh Nayyar
So that does not alter the train flow for us
Aditya Khetan
Okay so no benefit on to tariffs or any sort of things onto this timing side
Rakesh Nayyar
On this trade, yes.
Aditya Khetan
Okay. Sir, one last question, sir, what would be the trading revenue figure for this quarter and for FY ’25?
Rakesh Nayyar
Around 23% on an annual basis is our trading revenue?
Aditya Khetan
Okay, got it. Thank you, sir. I’ll join back-in the queue.
Operator
Thank you. The next question is from the line of Manish Oswal from Nirmal Bang Securities Private Limited. Please go-ahead.
Manish Ostwal
Sir, thank you for the opportunity. Pardon me if I’m asking the repeated question. I joined the call very late. So sir, if I look at our volume visibility, so we have one is the ABS project, which is going to start in F ’26 along with the acquired entity of engineered polymer compound business that will also give some volume visibility and plus we have currently 79% capacity utilization. So with the three things put together, what is the volume visibility we see for FY ’26 given the demand condition?
Rakesh Nayyar
We expect to grow around 13% in the volumes this year.
Manish Ostwal
And given the mix is changing us due to the new business, any outlook on margins, sir?
Rakesh Nayyar
It’s the first year, so I would not comment on the margins at this stage.
Manish Ostwal
Okay. And sir, next phase of capacity expansion of of when we can see
Rakesh Nayyar
The work is on that, but then still it’s just maybe another 18 to 24 months down the line.
Manish Ostwal
Okay, sir. Thank you, sir. Thank you. Thank you.
Operator
The next question is from the line of Nirav from Envil Wealth Management. Please go-ahead.
Unidentified Participant
Yes, sir. Thanks for the opportunity. I have few questions. So the first is on one of our slides in the investor presentation, we have spoken about the recycling — recyclability of EPS. So if you can share your thoughts here and how it can help our EPS business
Rakesh Nayyar
Our initiatives in the EPS recycling is gone out-of-the fact that generally there was a negative — perception about EPS, okay, because the thermocoal blocks after post-consumer use, they were all strewn around on the roads are people who did not know-how to dispose it all.
So we took initiative, engaged some NGOs, involved ICP into it, hired our own team, essentially to encourage the collection of the waste. We join hands with the OEMs, we join hands with the electrical chains, appliances chain marketing, a retail chain market shops. So with that, now you will not see the EPS is waste lying on the streets because it is all getting collected and it gets recycled.
So that is the one, it is sustainable. It proves that the EPS can be recycled. Two, it does not carry a bad name; three, the recycled EPS is being used by the industries which does not need like the photo frame industry or the wall panels, they were earlier trying to use the recycled material either imported or scrap or anything else. Now they are using this material. So that helps the EPS market to sustain in the business and to grow.
Unidentified Participant
Correctly. Sir, any plans here to expand the capacity of ETFs at our existing plant like Kernal plant has time to come up. So I presume that possibly our capacity utilization there would be higher than the 79% on a company basis. So any plans to expand the capacity of EPS here or to introduce some value-added grades for the export market?
Rakesh Nayyar
And our second phase of expansion of EPS is as per schedule and it will be on-stream by the end of this first-quarter of ’26 or in the second-quarter, okay. But then as far as the local demand is concerned because there are some — the players of North have also expanded.
So we don’t see any appreciable increase in the volumes in the coming year because of the — everyone having increased their capacities. But then we have worked on our grades with the overseas buyers. Our grades have been approved in the GCP countries and in Europe. So we hope to increase our exports of EBS this year.
Unidentified Participant
Correct. Correct me if I’m wrong, sir, this incremental capacity would be close to around 23,000 24,000 tons, which is going to get commissioned by the end of this quarter.
Rakesh Nayyar
Yeah, around the world this year.
Unidentified Participant
Okay. Okay. Sir, second question is on the value-added polystyrene, like in last of one of the conference calls, you have explained us that it commands some sort of premium pricing because of the application-based products we have developed on. So how much now this value-added grades within PS would be forming the part of our polystyrene volumes?
Rakesh Nayyar
It’s around 40%.
Unidentified Participant
Okay. So — and the ratio was similar last year or
Rakesh Nayyar
Yeah. See the generally the value-added grades are for the OEM market or the high-end non-OEM market but then like in this quarter in the segment, because this is the peak season for the OEMs
Operator
Ladies and gentlemen, we have the management connection back on-call. Sir, please continue.
Unidentified Participant
Yes, sir, you are about — you are explaining something about the value-added grades getting sold to the OE play. So if you can just continue over that
Rakesh Nayyar
The — generally the value-added grades get sold to the OEs. And since the demand from OEMs is very good in the last quarter of the financial year. So in that particular quarter, the PS value-added sale is more, but then on an annual basis, it is around say 40% to 42%.
Unidentified Participant
Got it, got it. And sir, last question from my side, like in terms of our manufacturing sales for FY ’25, if you can just break it down between polystyrene, EPS compounds and XPS.
Rakesh Nayyar
Our percentage numbers would also I won’t be able to help you with that. Let’s say, I can only say that the of the manufactured products, two-third comes from polystyrene, one-fourth comes from EPS and the remaining 10% comes in from the compounds and XPS business.
Unidentified Participant
Got it. Got it. Thank you so much, sir and wish you all the best.
Rakesh Nayyar
Thank you.
Operator
Thank you. The next question is from the line of Singh from Value Investments. Please go-ahead.
Unidentified Participant
Hi, sir, am I audible?
Operator
Yeah, ma’am.
Unidentified Participant
Yes, sir. Thank you for the opportunity. Sir, my first question was with respect to the Haryana plant where we are setting up the capacity for PS sheeting, which in previous calls you have mentioned the capacity to be 1 million square meters with a revenue potential of INR150 crores. So wanted to understand the revenue potential and the — sorry, the EBITDA potential of PS at full utilization and also 3D panels.
Rakesh Nayyar
These both would be in the range of EBITDA potentials for both of them would be in the range of around 25%.
Unidentified Participant
Okay, sir. Sir, next question is that for PA, for 1 million square meter of capacity, is it a correct understanding that we will require 6,000 metric ton of PS or
Rakesh Nayyar
Difficult to say at the moment because it will all depend upon the product mix there then the various things, the thicknesses and all that will matter, so it is difficult to predict at the moment exact volumes of the polystyre in there.
Unidentified Participant
Am I going right? If we just take on a blended basis, is it near to the correct number
Rakesh Nayyar
I’ll have to actually check with my technical team then, whether this is the right number or not. So I won’t commit on that
Unidentified Participant
Next question is that you mention the 13% volume growth. So that gives an additional 45,000 tons of sales on FY ’25 base. So of this, how much of ABS sales are you expecting to sell this year?
Rakesh Nayyar
Around 50% of this would be ABS or maybe 60% of this could be ABS.
Unidentified Participant
So if we take 60% of this to be ABS,
Rakesh Nayyar
Then that will not be ABS, there’ll be ABS compounds made from this ABS. So it will be all blended. So we just saying that the AVS will not be correct.
Unidentified Participant
Okay, sir. So if we take 20,000 tons of sales from ABS. So from the existing capacities, that — and the existing products, that gives us around 4% to 5% of volume growth, which is lower compared to the
Rakesh Nayyar
45,000 if you take 20,000 and it is 25,000 there, that will make it something around 7% to 8% for you. 25,000 3 lac 55,000 sales 55,000
Unidentified Participant
Okay. And sir, last question is that in the March quarter, the inventory has gone up by INR220 crores and you mentioned in the opening remarks that the prices are also coming down since March. So do we expect inventory loss due to fall in these prices in the subsequent quarters?
Rakesh Nayyar
Yes. Some of that is getting used this month only, some of them. So the cycle which is going on, those are the inventories which were — have just arrived, so they have got already been used. So I don’t foresee any major impact of these price falls at this stage on these very inventories?
Unidentified Participant
And sir, any analysis on or your understanding on how the pricing trend is — should pair out for the remaining quarter?
Rakesh Nayyar
We don’t foresee any further fall because all depends upon the crude as well, cruel, benzene, ethylene, all the — the products, the raw materials for the which are there. So MPs crude stabilizes or the benzene prices stabilizes, then there should not be any impact.
Unidentified Participant
Understood, sir. Thank you and all the best to you.
Operator
Thank you. The next question is from the line of Yash Mansala from Equita Investments. Please go-ahead.
Unidentified Participant
Thanks a lot for the opportunity, sir. I have a few questions. Based on the tariff situation, is there a possibility of dumping of products in our — in our product lines from our competitors outside India.
Rakesh Nayyar
So it all depends upon the trade flows. If the trade flows were moving towards the US from China possibility, but then our polystyrene was not getting exported to USA. So I don’t foresee that happening. But then other countries where the duties are high or the reciprocal tariffs which are proposed from July if they are high, high and then they are not able to export there, it will certainly look at India. But we are prepared for that. These markets are always there. We are in a global market. So we will have to compete with that.
Unidentified Participant
So your understanding how much of China’s products are exported to US in our category. So
Rakesh Nayyar
In our category, China does not export any volumes to USA as far as our understanding goes because they consume all of this within China and they export actually the process products.
Unidentified Participant
Okay. So the process products as in derivatives of
Rakesh Nayyar
Yeah, derivatives of.
Unidentified Participant
Understood. Sir, on a different track, can you give us any visibility on the freight sizes which we experienced in the last quarter because we primarily import our raw-material?
Rakesh Nayyar
Sorry, I couldn’t get you. Can you repeat that?
Unidentified Participant
So could you give us any sight on the freight prices which we experienced in the last quarter compared to the preceding quarter?
Rakesh Nayyar
No, the freight prices have become normal now. They are almost closer to the pre-COVID levels now.
Unidentified Participant
Okay. Freight it touches us back to pre-COVID. On the — on the investment front, we have — based on the current statement, we have around INR430 odd crores in investment. How does — how is it spread across mutual funds and corporate debt or government debt?
Rakesh Nayyar
No, we don’t have corporate debt. It’s only in the mutual funds or into the sovereign bonds.
Unidentified Participant
So how much of the INR430 crores is in mutual funds?
Rakesh Nayyar
Majority of that.
Unidentified Participant
And are these mutual funds equity-linked?
Rakesh Nayyar
No, they’re all debt linked.
Unidentified Participant
Understood. Thanks a lot for your time, sir.
Operator
Thank you. The next question is from the line of Pruv from HDFC AMC. Please go-ahead.
Dhruv Muchhal
Thank you so much, sir. Sir, if I look at the overall annual volumes over the last two, three years or even four years, overall, we have done very I mean in context of the overall macro and everything, volumes have been reasonably strong and if you look at particularly this year, it seems autos have not done as well, but still our volumes are very — reasonably healthy. So sir, what’s helping in — from a macro perspective, what’s helping us? Is it probably export market — I mean, import replacement? Is it some new segment which has emerged and is taking up a lot of volumes?
Rakesh Nayyar
And the appliances have grown in the country? Particularly with the PLI incentives going to the air-conditioners market, that has also helped the demand for polystyrene. And similarly, the other appliances, refrigerators or washing machines, they have also grown and India is also kind of becoming export hub for all the appliances. So that demand is growing there.
Dhruv Muchhal
Okay. Got it. So if you drill it down to that level, see, what was your customer mix in terms of end-use segment, say, three years back, autos would be some share, these appliances will be some share. And what would it be now?
Rakesh Nayyar
No, we were not in the auto segment. We have been always in the appliances segment. And now with our card, which we have acquired now, we will now be entering the auto segment. So we have been 100% practically we have been into the OEMs, appliances OEMs.
Dhruv Muchhal
Okay. So always we went into appliances OEM and that segment has grown reasonably well. So we are not impacted by whatever happened. At least had
Rakesh Nayyar
Not impacted by the auto sector.
Dhruv Muchhal
Okay, got it. Got it. Perfect. And sir, the last question is on the capex for FY ’26, sir, what is — what is expected for FY ’26?
Rakesh Nayyar
FY ’26, we expect to spend only around INR200 odd crores.
Dhruv Muchhal
So this completes the ABS capex.
Rakesh Nayyar
No, that isn’t — ABS Phase-1 gets completed that already the almost all the expenditure has been incurred on that for the Phase-1. So this INR200 crores includes part of the ABS second-line and the EPS as well as the compounding business, there’ll be major expense on the compounding business.
Dhruv Muchhal
Okay. So this is cash capex that you — that you’re guiding for? INR400 crores cash. Thank you, sir. That’s all. Thank you and all the best.
Operator
Thank you. Before we take the next question, a reminder to all the participants that you may press star and one to ask a question. The next follow-up question is from the line of Aditya Khetin from Institutional Equities. Please go-ahead.
Aditya Khetan
Yeah. Thank you, sir for the follow-up. Sir, my question was onto the export market. Sir, any number you can share like for FY ’25, how much was exports in terms of volumes and in terms of — in terms of percentage of — of total revenue?
Rakesh Nayyar
No, I will — I’m sorry, I will — we are not bifurcating our export or domestic revenue, I won’t be able to help you there.
Aditya Khetan
Okay. Okay, sir. Sir, on to the capex side, sir, you mentioned INR200 crores. So sir, I believe total ABS was around INR850 crores. So how much was phase on that?
Rakesh Nayyar
Big part which includes the par for the infrastructure utilities for two also be all the including the main utilities, civil costs, everything that would be closer to INR600 crores for us.
Aditya Khetan
Okay. Okay, okay. And sir, into this INR200 crores which we are doing, how much would be the compounding capex?
Rakesh Nayyar
50%. 50% component.
Aditya Khetan
Okay. And the next question is this acquisition of polymers we had done, we were already having a compounding line. So is it addition of some newer from polymers or is it more of a continuation of the same region?
Rakesh Nayyar
No, in Europe, we are into the automobile sector also. So they have been able to see lot of approvals. So this will be no new area for us.
Aditya Khetan
Okay, sir, if you could help me what would be the total capacity of compounding business post expansion of FY ’26, including the polymers okay,
Rakesh Nayyar
We should be closer to 70,000 tons.
Aditya Khetan
Okay any, sir any rough idea like what would be the peak revenue potential on this 70,000 ton?
Rakesh Nayyar
Tonnes in the year peak revenue of INR1,000 crores, 1,000 crores.
Aditya Khetan
Okay. Thank you. Thank you.
Operator
Thank you. The next question is from the line of Daval from Sequent Investments. Please go-ahead.
Unidentified Participant
Sir, I wanted to know in the current quarter, what would be the expenses towards the new plant which we have expensed in the P&L?
Rakesh Nayyar
I couldn’t get you.
Unidentified Participant
So the plant mechanically it is complete in this quarter. Is there any expense that is expensed in the P&L?
Rakesh Nayyar
No, it is still not — as on 31st of March, it was not complete. We have said it will be complete by May only.
Unidentified Participant
Okay, okay.
Rakesh Nayyar
Until the plant is not commissioned, this is the — no expense is going to be expensed out.
Unidentified Participant
Sure, sir. Okay. Okay. Yeah. Thank you, sir.
Operator
That answer your question?
Unidentified Participant
Yeah.
Operator
The next question is from the line of from Envil Wealth Management. Please go-ahead.
Unidentified Participant
Sir, thanks for the opportunity again. Sir, when we see our compounding business, I think over the years, we have been operating in a very Narrow-Band in terms of the overall volumes. We already have PS as our base mature and now EBA is also coming up. How do we see the opportunity size in terms of our size of the opportunity or the addressable market for the compounding?
And what extra needs to be done from our side like in terms of customer approvals or building up the distribution network or getting closer to the customers in terms of their own requirements, how do we see — because in earlier remarks, you mentioned that this business has a potential to touch around INR1,000 crores of top-line. So how near or how — how much time this would be taken in terms of achieving those numbers? And if you can share those qualitative parameters in achieving this, that would be helpful.
Rakesh Nayyar
Thank you there is a work-in progress on all fronts which you have mentioned,
Unidentified Participant
Okay.
Rakesh Nayyar
And as and when our capacities get built-in the years going-forward in this year with our ABS available to us. And now with the expertise and experience and client base of Mold in our fold, we will be growing on that right now. So we already have some experience on the PS, PPPE compounds that our ex-mold has also experienced on the PPE and ABS compounds. And with our own ABS now and with our own PS, we will be growing.
We have a decent customer-base, applications are known to us and we will be working on that, right? So we have a dealer distribution network, we have relationship with our clients. So we only thing is that we have to go and target some more new clients, which is a work-in progress for us.
Unidentified Participant
Correct. And sir, in terms of the major compounds which are being used by the auto OEs, if you can rank in terms of the application where it’s like it is more of PS based or it is more of ABS based or it’s a combination of ABS, PC or ABSP. So in terms of ranking, which of the ASP?
Rakesh Nayyar
They are all PP based or ABS.
Unidentified Participant
Okay. And other polymers are being mixed into it to give the better applications.
Rakesh Nayyar
I am not the right person to comment on that.
Unidentified Participant
Okay. Okay. Okay. And sir, last bit is on one of the presentation slides, you mentioned that like now bathroom fitting, these scooters are the newer application area for ABS. So how do you see these volumes over a period of time building up in the overall ABS market in India, like currently, we are close to around 3,000 lakh 3,000 tonnes of ABS market in India. So how do you see these newer applications growing up the entire market.
Rakesh Nayyar
This has now started. We are already doing compounds where the — some of the bathroom fittings also, okay. And the business when the construction business grows and particularly in the affordable housing segment, where people will not like to go for the premium branded fittings. So these fittings will also come and the demand will be linked to the new construction coming up for the affordable housing or the middle-income growth housing.
Unidentified Participant
You. Correct. Got it, sir. Got it. Thank you so much, sir, and wish you all the best.
Operator
Thank you. Thank you. A reminder to all the participants that you may are to ask a question. The next question is from the line of Pritesh Cheda from Lucky Investments. Please go-ahead.
Pritesh Chheda
Sir, on this ABS capacity of 70,000 tonnes, so what is the status of this capacity in terms of when it should start contributing to your revenues
Rakesh Nayyar
In the second-quarter of this financial year FY ’26.
Pritesh Chheda
Okay. And I see a INR680 crore CWIP in the balance sheet. So this ABS 70,000 tonne capacity, what should be the total capex that you will incur?
Rakesh Nayyar
Approximately INR600 crores
Pritesh Chheda
To INR600 crores. And you have called out a total capex of INR1,000, right? So there is some additional INR400 crore to be spent anywhere else
Rakesh Nayyar
1,000 on worth, I heard wrong.
Pritesh Chheda
Okay. Can you give out the capex number, sir, total capex number?
Rakesh Nayyar
We have only the second-line of ABS number, which is still to be spent, which should be closer to INR250 crores to INR300 crores.
Pritesh Chheda
So is it that the second-line means over and above the 70,000 tonnes?
Rakesh Nayyar
Yeah, that’s right.
Pritesh Chheda
Okay. So the first 70,000 tons comes at INR600 crores. Correct?
Rakesh Nayyar
Yeah.
Pritesh Chheda
And then the additional — additional second-line means additional 70,000 tons comes at INR250 crores
Rakesh Nayyar
At INR200 crores. Yeah, because all the infrastructure, all the civil, the utilities, the tank forms, the — everything has already been built for the second-line has.
Pritesh Chheda
Okay. And when should the second-line be planned for?
Rakesh Nayyar
So maybe we hope to be commissioning it in the next two years or so.
Pritesh Chheda
Okay, next two years. Okay. Okay. And the last thing is this particular product-line will it — is it similar to what is already available with a couple of other players in the market?
Rakesh Nayyar
Yeah, ABS is ABS. It’s only that the process — the route to produce AVS is different. Okay. Of the day it is.
Pritesh Chheda
Okay. Okay. Okay. Okay, sir. Thank you. I’ll come back for my question. Yeah.
Operator
Thank you. The next question is from the line of Tara from UVR Natural Foods Private Limited. Please go-ahead.
Unidentified Participant
Hi, thank you for the opportunity. Sir, my first question is, what is the breakup of industries in PS EPS for us? And also what is the potential the industry breakup of ABS?
Rakesh Nayyar
Generally, all these industries have a similar client base, which is close to 50% is the OEMs and the remaining non-OEM segment is 50%. So when I say OEMs, they are all appliances side as well as the goes and the ABS will come, it will have appliances as well as automobile segment and the non-OEMs have various uses including the starting from dairy packaging maybe to the sheeting business to stationery to friends, to household items. So that the business is divided almost 50-50 between the OEMs and non-OEMs.
Unidentified Participant
Okay. Okay, sir. And sir, last year, the power cost was INR50 crores and logistics cost was INR110 crores. Can you please give us the figures for these two costs for FY ’25? Last year you say power was 50 crore.
Rakesh Nayyar
Sure, this will be this year also. It should be marginally lower because we have — we have used our solar power from October onwards, but with the costs going up as well as the are the capacity utilization going up, but the overall power cost would be similar to last year be marginal less than the last year.
Unidentified Participant
How much marginal investment can you expect?
Rakesh Nayyar
Maybe 2% to
Unidentified Participant
What are the major players in North India that have expanded the capacity in EPS?
Rakesh Nayyar
There is a company called and there is this new company which has come up in Gujarat, EPAC.
Unidentified Participant
Okay. Sir, like in the previous question, I didn’t get the figures for logistics first. Like last year it was INR110 crores. This year how much can we expect? How much is it?
Rakesh Nayyar
How much logistics cost for what area? This rate INR10 crores, which is logistics cost for outwards yes 100 crores last year. 110 crores yeah, this is around INR125 crores this year.
Unidentified Participant
Thank you so much and all the best.
Rakesh Nayyar
Thanks.
Operator
Thank you. Ladies and gentlemen, that was the last question for today. I now hand the conference over to the management from Chemical Limited for closing comments.
Rakesh Nayyar
Thank you. Thank you all for participating in this earnings con-call. If you have any further questions or would like to know more about the company, please reach-out to our Investor Relations Managers as well Advisors. Thank you so much.
Operator
Thank you. On behalf of Supreme Pro Chemical Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines.