The Supreme Industries Limited (NSE: SUPREMEIND) Q4 2025 Earnings Call dated Apr. 24, 2025
Corporate Participants:
M. P. Taparia — Managing Director
P. C. Somani — Chief Financial Officer
Unidentified Speaker
Analysts:
Aasim Bharde — Analyst
Shravan Shah — Analyst
Rahul Agarwal — Analyst
Praveen Sahay — Analyst
Keshav Lahoti — Analyst
Pujan Shah — Analyst
Sneha Talreja — Analyst
Kumar Saumya — Analyst
Aditi Loharuka — Analyst
Sonali — Analyst
Navid Virani — Analyst
Rajat Setiya — Analyst
Utkarsh Nopany — Analyst
Rudraksh Raheja — Analyst
Akash — Analyst
Manish Ostwal — Analyst
Vipulkumar Shah — Analyst
Swati Jhunjhunwala — Analyst
Pujan Shah — Analyst
Samarth Jain — Analyst
Mudit Minocha — Analyst
Manish Mahawar — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Supreme Industries Q4 FY 2025 and Full-Year 2024 ’25 Earnings Conference Call hosted by Jan Capital Advisors. As a reminder, all participant lines will remain in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal the operator by pressing star then zero on your touchstone telephone. Please note that this conference is being recorded. I now hand the conference over to Mr Ashim Barde from DAM Capital Advisors. Thank you, and over to you, sir.
Aasim Bharde — Analyst
Thank you. Thank you, and good evening to everyone who has dialed-in. We have with us the leadership team of Supreme Industries, who will take us to the quarter-four and FY ’25 performance and post which we’ll open the forum for Q&A.
M. P. Taparia — Managing Director
Thank you, and over to you, Mr. Thank you very much, Mr. I’m Taparia, Managing Director of the Industry Limited. I, along with my colleague,, Chief Finance Officer; and RJ, Vice-President, Corporate Affairs and Company Secretary, welcome all the participants who are participating in the discussion of the and consolidated financial results for the quarter and year-end 31st March 2025.
The standalone results and the consolidated results are already with you. I will be brief on company product operating performance and highlights. The company sold 6,74,510 tonne of plastic and achieved net product turnover of INR10,295 crores during the year under review against sale of 6,839,701 ton and net product turnover of INR10,022 crores in the previous year, achieving volume and product value growth of about 5% and 3% respectively.
The consolidated operating profit and profit-after-tax under here under review amounted to INR1,552 crores and INR961 crores as compared to INR1,654 crores and INR1070 crores for the previous year, resulting decrease of 6% and 10% respectively. The business scenario of all the plus product segment of the company for the year ended 31st March 2025 as compared to the previous year has been under. Plastic piping system business grew by 6% in volume and 2% in value.
Packaging Product segment grew 10% in volume and 13% in value charm. Industrial Product segment business degrew by 1% in volume and remained at flat level in value term. Product segment business decrew by 3% in volume and grew 1% in value term. The overall turnover of value-added products increased to INR4,060 crores as compared to INR3,748 crores in the previous year, achieving value growth of 8%.
The company plans to spend about INR1,100 crores towards capex during FY ’26, including carry-forward commitment of year and acquisition of building and infrastructure business evolving in India. The plan also includes setting a plant in Kanpur for PVC profile and window, facility for PP silent piping Sistry at and increasing capacity for OPVC, CPC pipe and molded fitting at various location.
Capex also includes addition of new product, SKUs and balance sheet equipment in respective product division. Entire capex shall be funded from internal accrual. This year concluded abnormal witness in our segment for the company actually plastic pricing system witness principally due to much lower spending by central estate government on infrastructure compared to year two FY24, in several part of the country and extreme volatile situation of PVC engine prices, principal raw-material price — raw-material hit by the company.
The prices of PVC has changed 14 times since July ’24 and severely impacted the plastic piloting industry. We are domestic economy oriented company. IMD forecast for this year if you have above-normal infal. This will boost crop production and contain inflation. The reports coming about rubbit harvesting is quite encouraging.
Our country economy is well-poised to have high-growth in the current year in-spite of uncertain global situation. The current global trend for crude price, it should remain range-bound at $65 to $70 per level. This should help the Gaza rupee exchange rate remaining range-bound without depreciation of the rupee in a current economy situation, polymer, which is our raw-material will also remain close to the current price level.
Just the product made by the company will remain quite affordable. The company also expects better volume growth in export market for its product portfolios given the trading issues affecting other countries severely. The overall demand forecast for agricultural and housing sector is encouraging.
The central government announced threefold increase in capital allocation in the project for the year 2026 FY compared to money spent in the year FY ’25 for augmenting drinking water supply. The country has witnessed de-growth of around 6% in volume and plastic pipe in-system and the company achieved a growth of about 6% in volume due to the year under review. In this business, the current year well for the company on business performance compared to the previous year.
The company has 45 plastic piping system in the division and plans to add five more system in the current year related to various application substituting conventional material. The company continued to expire product portfolio with additional SKUs and system for various applications as required by our country’s growing economy.
So to meet the growth and demand for piping product, the company’s initiative stay not only to do brownfield expansion at existing site, but also exploring inorganic growth opportunity. The company has signed member and number understanding with Orbia Advanced Corporation, a global leader in plastic and fitting.
Agreement, company will acquire Orbia pipes and fitting business in India and we have exclusive access to Orbia leading technology for India and Countries. The acquisition of would result in increasing the capacity of division by 73,000 tonne per annum being operated from three site situated in in Madhya Pradesh, Hydeba, and Raj.
The acquisition in facilitate catering to district areas of North and South India economically and efficiently. With all the capex incurred during the year under review, total recharge capacity of plastic instruction business to about 8,70,000 tonne per annum aged on 31st March 202 capacity of 743,040,000 tonne per annum as on 31st March and likely reach sorry that will reach 1 million ton by end of FY 2026.
The company putting up PVC profile manufacturing with 5,000 tonne annual capacity, a new acquired site at Dehar, along with window making facility at the same-site. Our liquidity equipment have been ordered and work at the site in-full strength. The company expects to start sharing standard of the shelf and customized windows from July ’25. In close film division, demand Is now shifting back to the company from Blue product reflecting growing recognition of the company’s superior quality and reliability. With substantial production capacity and strong health account for primary delivery, the company is well-positioned to meet testing and requirement of government contract and expect continued weakness in this segment. Our equipment required for the manufacture of close plastic also has been installed and drial production is underway. The overall demand for plastic while plastic furniture is witnessing a, which is affecting the growth of plastic furniture industry in the country. The company plans to focus on growth from rain as the penetration of this segment is still quite low and offers opportunity for growth. The company plans to launch eight new models in the first-quarter of 2 year 25,, which will yield in overall growth in volume during fiscal year during FY ’26. In industrial component division, automotive sector commercial vehicle showed muted demand where it was better in the passenger vehicle segment. Appliance sector air-conditioning and cooler segment witnessed good growth, though washing machine segment witnessed subdued demand, the focus of initiative distrivision remained mainly to spread the sector and customer-base for business growth and mitigate the dependencies on few large customers reaching leading result. The material revenue division performance has been renewed well in additional customer segment with its effort of reaching to new customers and providing solution with huge of plastic for warehousing and transit work-in induction and automotive project good. The Composite cylinder division experienced a challenging year with performance hiring short of expectation. Business from company major customers Indian Corporation Limited did not materialize to the expected level. Discussion for new common design are in advanced exchange was the most popular 14.2 kilo standard cylinder to be introduced by oil marketing companies as they explore incorporating cylinder into their product portfolio. The company uptake certification for high-pressure cylinder for CNG application, making it the second company in India to offer 4 high-pressure cylinder. This effort position the division for growth opportunity moving up the value chain. In Performance division, the company remains focused on performance-based product offering, emphasizing high-value segment penetration with a strong focus on End-User need, this division offers a customized product portfolio designed to meet demanding application requirement. The packaging division is putting — its continued effort to remain in the business growth. The focus of the division continued to develop customized solution, keeping and requirement in mind. The division is also expanding its certification facility in terms of capacities and development space to cater to the increasing opportunity for ready-to-use solution. Overall, as the division combined together, the number of distributors increased from 5,060 to 5,658 numbers end of 31st March 2025. The numbers of point for plastic piping system is asked of close to 200,000 numbers. This is a brief and overall summary for the quarter and year-ended review. Thank you for your presence. Now I and my colleagues CPC Sawani and Sabu are available to reply to various queries by all of you. Thank you very much
Questions and Answers:
Operator
Thank you. Ladies and gentlemen, 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 2. Participants are requested to use their handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles.The first question comes from the line of Shravan Shah from Dolat Capital. Please go-ahead.
Shravan Shah
Hi, sir. Thank you for the opportunity. Sir, couple of things to understand. So last-time also the entire FY ’25 or whatever we started the year in terms of the volume growth guidance as kept on reducing and actually we even delivered even much lower than what we discussed in the 3rd-quarter in the January.
So just now trying to understand how are now we looking at in terms of the revenue volume growth and particularly the plastic pipe volume growth and the margin front for this year FY ’26.
M. P. Taparia
So overall, the revenue growth, we anticipate turnover to rise around INR12,000 crores this year and plastic piping system, we expect our business to grow 3% to 4% more than the country’s growth. Lastly, by unusual, we grew 12% over the country growth, country added degrowth of 6% and we grew by 6%. But this year, we anticipate will be a normal year. So country may grow by 7% to 8% in plastic piping system business and our company expects to grow 3% to 4% over growth.
Shravan Shah
Okay. So roughly around 10% to 12% kind of all plastic type growth. And the overall volume growth combining everything would be how much are we looking at?
P. C. Somani
Similar range.
Shravan Shah
Sorry,
P. C. Somani
In similar range.
Shravan Shah
Okay, similar. Okay. Okay. Okay, okay. 10% to 12% range that we are looking at. And on the EBITDA margin front would be how much we are looking at for this year FY ’26
M. P. Taparia
At between 40.5% to 15.5%.
Shravan Shah
Okay, got it. Now this number, whatever we are saying, this also includes the number that we will be consolidating once the — it will be over maybe by Q1 or Q2. So that include — this guidance number includes the margin number or this is without the margin numbers?
M. P. Taparia
We hope the yield will — will be in our position from July onwards. So hopefully did everything conclude by end of June, then we will have facility under our company for nine months. And this include for Nine-Month capacity also.
Shravan Shah
Okay, okay. And then sir, now how we are looking in terms of any update on the duty and are we now seeing that the PVC prices are bottoming? Are we seeing any kind of improvement in terms of the channel level also? How would our demand now are stepping up?
M. P. Taparia
I can’t forecast anything about entry duty, it is between DGTR and Ministry of Finance and the ICO and Supreme Court. I can’t anything. I don’t know anything but definitely really pressive completely drop too much and we believe that you come close to bottom or I might have gone to bottom rise also after some time
Shravan Shah
Okay. Okay, okay. Got it, sir. Thank you and all the best.
Operator
Thank you. The next question comes from the line ofRahul Agarwal from Asset Management. Please go-ahead.
Rahul Agarwal
Hi, sir. Very good evening. Sir, three questions, all on number. Firstly, starting with other expenses. I think seasonally this number has to be higher. The quarter saw about INR347 crores, which is lower both Q-o-Q and Y-o-Y. Which line-item saw savings in cost sir?
P. C. Somani
Can you again repeat the question?,
Rahul Agarwal
The other expenses at INR347 crores for the quarter, they appear to be very low. Seasonally this quarter should see higher other expenses. Any one-off accounting has happened in this quarter, sir.
P. C. Somani
So no accounting, you see other expenses, the major portion consists of rent and advertising promotion.
M. P. Taparia
We cut your average management because we cut your we controlled utilization expenses in last quarter.
Rahul Agarwal
Got it, sir. Got it. Second question, sir, on inventory loss. For the full-year, sir, Would you have a rough estimate how much the utility loss.
M. P. Taparia
It should not be less than INR150 crores.
Rahul Agarwal
Okay. Got it, sir. And lastly, the tax-rate, it keeps on fluctuating every quarter. This quarter it was 20%. Any one-off accounting there, sir?
P. C. Somani
No, nothing, nothing specific that way. You see in the quarter where the dividend income is there, the tax-rate will be lower because the dividend is exempt income in of Supreme. So you have to look at the company as a whole year.
Rahul Agarwal
Right. So full-year, sir, it is about 22.4%. Any guidance could you provide the effective tax-rate for consolidated entity for Supreme Industries next year, fiscal ’26
P. C. Somani
Fiscal ’23 is very difficult to predict rate, but nothing unusual. Whatever, now you see, we are now getting the reversal of the deferred tax. Earlier we have catered the deferred tax liabilities to some extent it is helping because now the depreciation in the books in the histor income tax is getting reversed. So that you can answer right break of the deferred tax liability.
Rahul Agarwal
Okay. Okay. Got it, sir. Got it. That’s all from my side. I’ll come back. I’ll get back-in the queue for more questions. All the best for the new year.
M. P. Taparia
Thank you very much.
Operator
Thank you. Ladies and gentlemen, we request you to restrict to two questions per participant. The next question comes from the line of Praveen Sahai from Prabhudas Villadal Capital. Please go-ahead.
Praveen Sahay
Yeah, thank you for the opportunity. Sir, my question is related to the SGP pipeline fitting in which you had mentioned eight of your plants are manufacturing right now, the SGP pipeline fitting. So if you can give some indication, how much is the revenue contribution from there and which are the major uses applications you are currently working on.
M. P. Taparia
Now so many locations, we are supplying to the trade market where we are secured and demand will be there. Definitely our pipe PG is the top-quality pipe in the country and this is a very intensity product because the goods are sold-in coil foam form is starting from small diameter 20 millimeter 90 millimeter.
So freight is a very big component. So that’s why we put it more location. Volumes are a small use of the location. Government department generally we cater from our Variga plant and plant and plant where the demand was low this year because the government buying was quite poor for got a big last year. So any contribution on revenue, sir, if you can get trade demand was quite okay. Great demand was no problem, but Jade market for us, not a large market, maybe overall for the full-year may be around 18,000 tonne.
Praveen Sahay
Okay. Okay, fine, sir. The next question is related to the protective packaging and where you had given a around some 12% of volume growth with a 16% of value growth and ambition to reach INR1,000 odd crore of revenue. So how big current — currently that their revenue is? And how much is the contribution in terms of volume in the entire packaging business?
P. C. Somani
Volume contribution largely come from, otherwise all are in the very, very
M. P. Taparia
In packaging earlier.
P. C. Somani
Yeah, is part of packaging only. And if you look at the revenue numbers, it could be INR850 crore-plus present one.
Praveen Sahay
Okay, so currently it’s 850 odd crore and you wanted to take it to a 1,000 odd crore revenue by next year in this protective packaging. Right sir hello.
P. C. Somani
Yeah. Yeah, you are right.
Praveen Sahay
Okay. Okay. Okay. I have some more questions. I’ll come back-in the queue. Thank you.
Operator
Thank you. The next question comes from the line of Keshav Lahoti from HDFC Securities. Please go-ahead.
Keshav Lahoti
Hello. Hi, thank you for the opportunity. Sir, as you know, we have firstly want to understand more on the evolving India acquisition side, what sort of volume you would be targeting in FY ’26 and ’27, what sort of margin we should build-in? So what was the idea behind the acquisition? And more I want to understand the acquisition more from written ratio-wise deliver industry-leading kind of written ratios of 25%, what kind of normalize ratio, maybe two, three years down the line this acquisition can deliver.
M. P. Taparia
So, but you want to ask too many points you are asking. So be clear, be clear what you want to know from us, reachers.
Keshav Lahoti
I want to know more from the intent before like India acquisition, what sort of growth management have in their mind and what was the idea behind the acquisition?
M. P. Taparia
So having a good capacity of 73,000 metric ton. Normally we use 70% capacity. So with 73,000 ton full-year basis, we may share 51,000 ton volume annually with the capacity what you start. Apart the volume that we are going to use from their capacity, now we have got exclusive excess for India and some countries of all the technology which they have in portfolio and also the new technology what they develop also will be available to our company.
And is a great company in-building infrastructure business. We have several technologies in their portfolio and we are going to some of them in our product profile going-forward.
Keshav Lahoti
Okay, got it. And what kind of EBITDA margin this can do?
M. P. Taparia
You are currently what your EBITDA margin we are getting the same will come because the present product portfolio is just like all-company product portfolio.
Keshav Lahoti
Understood. Got it. So by FY ’27, its margin would be in-line with the margin. And we hear that in India, India two plants are on lease. So what kind of lean is it? How big the leave is?
M. P. Taparia
This year may be around 50 million years?
P. C. Somani
So it is seven to nine years.
Keshav Lahoti
Got it. Understood. I’ll come back-in queue. Thank you.
Operator
Thank you. The next question comes from the line of Pujan Shah from Molecule Ventures. Please go-ahead.
Pujan Shah
Hello. Thanks for the opportunity. Sir, my question pertains to OPVC. So we have procured OPVC equipment line from a domestic equipment supplier. So just wanted to know the feedback and how do we — do we plan to or intend to grow with the domestic equipment supplier or the same technology player?
M. P. Taparia
And where we purchased the company, the plant from is a Spanish company and we many more lines from the same company, which is supplied from Europe and we are very closely associated with that company and we have got more lines and more lands are going to come next year also for this year also. Some land came last year, the more land will come this year.So we are buying the lands from the Hispanish company.
Pujan Shah
So-so what? What I wanted to understand is that we have been planning for nine lands coming 13 months due to our supply trends from the molecules technology. So just wanted to understand, they have expanded the capacity so that we are — we are getting the equipments ahead of the desired
M. P. Taparia
And over a period of to 2, 8, so it is now 2, 5 only
Pujan Shah
We didn’t get you, sir.
M. P. Taparia
All the line what we ordered to come up to the year 2, 8. Okay, now now
Pujan Shah
All the lines will be commissioned in 2025 calendar year right I
M. P. Taparia
Said the line will be commissioned by 2, 8 28 okay and running them
Pujan Shah
Okay got it, got it. And sir, understanding the technologies so they also have capability in the OPVC. So are we have any plans in terms of scaling and leveraging their technology and they are trying to intense into four into market via where we —
M. P. Taparia
For larger diameter we are entered into core, we will ship with.
Pujan Shah
Okay, so more or less we will be with the type as of now.
M. P. Taparia
Yeah, hello,
Pujan Shah
Yeah, okay, okay, got it, got it. Yeah, I will get back-in the queue sir.
Operator
Thank you. The next question comes from the line of Nehar Talreja from Nuvama Wealth. Please go-ahead.
Sneha Talreja
Thanks. Thanks a lot for the opportunity, sir. Just Two questions from my end. Firstly, going ahead with your capacity expansion, like you said that you are — you’re looking at a growth of about 11%, 12-odd percent, which includes outperforming industry. I just wanted to take a sense why are we then adding capacity by 15% to 18 odd percent, like each year we are seeing capacity expansion close to about 15 to 18 odd percent. Y
Unidentified Speaker
Ou see capacity expansion takes time and then this year the capacity expansion is increasing because of the acquisition. So this 73,000 tonnes will come automatically from the acquisition point-of-view. Otherwise our brownfield expansions are not that heavy.
M. P. Taparia
And apart from that, we are going to new line of window and door. And for that we invested around INR200 crores rupeech.
Unidentified Speaker
Talking plusive piping particularly., okay, okay.
M. P. Taparia
We are investing money in our other segment also now.
Sneha Talreja
Sir, I got that. So in that case, we can assume that volumes sales will be over and above your capacity addition, I mean in terms of whatever guidance you have given
M. P. Taparia
Like in that guidance, capacity included, yeah.
Sneha Talreja
So you’re saying volume growth of 11% to 12-odd percent with acquisition versus your capacity addition in FY ’25 itself is 18%. And again, you’re planning around about 15% capacity addition in FY ’26
M. P. Taparia
Remember you had mentioned million.
Unidentified Speaker
No, no, the addition of capacity addition in ’25, ’26 is inclusive of Bhavin addition. So from 8.7, when we are paying close to-1 million, that includes 73,000 tonne capacity of also in the current year.
Sneha Talreja
Understood, right, sir, but that is close to about 30% plus if I put together both these years and we are talking volume growth of 12-odd percent. So that’s what I was just trying to get the sense from.
Unidentified Speaker
We have burned our fingers last year, Nam. So let’s go into
M. P. Taparia
Last year. We have grown by last year we’ve grown by 6% and this year we say we grow 3%, 4% more than the country growth and country may grow between 8% to 9%. So we may grow 12%, 13% further. So combined two-year, the growth will be more than 20%.
Sneha Talreja
Understood, sir. This was really helpful. Sir, my second question was related to our margin guidance where we have said 14% to 15%. On the contrary, we have also said that Wavin comes with certain losses at this point of time, of course, you’ll be converting into a profitable company equal to you, but that will happen gradually by FY ’27. Despite these scenarios, we are still aiming at 14% to 15% margin.So just wanted to take a sense from where are you expecting additional margin levers? What could be those levers?
M. P. Taparia
We anticipate overall 14.5% to 15.5% overall of the company, not alone. We have told you the operating margin company, INR12,000 crore turned over the company around and 14.5% to 15.5% operating margin, but that is all the product portfolio, not only pipe.
Sneha Talreja
Understood, sir, but that was 14% this odd year and that was 15% last year. That means we are not expecting any decline in terms of margins despite.
Unidentified Speaker
No kitchen. We will not remper our our
M. P. Taparia
Rental we are paying nearly INR5 crores are — it’s not a o
Sneha Talreja
Kay, sir. Just lastly, if at all, I may with respect to Wavin itself, what kind of products Orbia and, you know will come into India and how much margin-accretive are those product versus our existing product profile of —
M. P. Taparia
Information? We will not what are the new product we are going to hear from the. Is she classified?
Sneha Talreja
Understood sir for that. All the best, sir.
M. P. Taparia
Thank you.
Operator
Thank you. The next question comes from the line of Kumar Somia from Ambit Capital. Please go-ahead.
Kumar Saumya
Good evening. Sir, my question is just that last quarter we had plans for two meaningful plans as well at Janual Bihal. So are these plans are we postponing these plans or are we still this in that? Thank you.
Unidentified Speaker
Yeah, for the timing, we have deferred the execution,
M. P. Taparia
Not one Jamu. No, we are issued the industrial policy, they were to announce the industrial incentive policy for putting industry in that announcement not come, we now are being advised that it may come close to election time. And, we are looking for a larger piece of land. So we would have 10 land purchased from government — privately, but we applied to government for 20 land and we expect that the land from government may be allocated to us.
So if we are able to get access to a larger piece of land, then we will like to put a plant at a larger area, not a smaller area. So we are waiting for both the places policy taken by government of respective state. So project, we have to wait.
Kumar Saumya
Got it, sir. Thank you. That’s it.
Operator
Thank you. The next question comes from the line of Adity from CD Research Private Limited. Please go-ahead.
Aditi Loharuka
So my question is like despite the increase in affordability of piping products, why has volume not picked-up
Unidentified Speaker
Why volume is not picked-up? Ma’am, because of the falling prices continuously for last eight months, the market sentiments were very negative.
M. P. Taparia
But yes, there were last year and this year the volume is going very well. So the prices finally done. It fell by INR22 a kilo between second-half July to March-end, the price was dropping. So there was huge destocking taking place throughout the train each other, semi whole seller, wholesaler. Yeah, so
Aditi Loharuka
Okay. Okay, sir.
Operator
Adity, are you there?
Aditi Loharuka
Yeah.
Operator
All right. Thank you. The next question comes from the line ofSolani from Jefferies. Please go-ahead.
Sonali
Sir, this is Sonali. Thank you for the opportunity. Sir, I have two questions. Firstly, could you quantify the inventory loss because of the PVC fall this quarter in Q4 and the full-year FY ’25, please?
M. P. Taparia
Yeah. We could have on a full-year basis, we believe that we — the company might have lost INR150 crore division due to the fall in PVC prices and you far in pipe price also. So it was about all the pressure going down and we are using PVC, polythylene, we are using CPVC, we are using PP for raw-material and investing each of the polymers.
We believe that we might have lost INR1,50 crore inventory loss.
Sonali
Understood. Sir, my second question is any color you could set on CPVC volume and value growth for either Q4 or full-year FY ’25 as a whole?
M. P. Taparia
CPA business, we had 21% volume growth
Sonali
This quarter or full-year?
M. P. Taparia
Full-year.
Sonali
Okay. That’s good to know, sir. Sir, lastly, or drinking water mission. How much does it contribute to your top-line overall from a full-year perspective? I do remember you mentioned some 18,000 metric tons. Is that for that you mentioned?
M. P. Taparia
Second, INR18,000 in trade market. Just given business had a very, very slow spending last year because most of supplying to Maharashtra government and Maharashtra government has stopped placing any order. So we had a very small-business in just last year.
Sonali
So to the overall sales, is it fair to assume it contributes less than 5%?
M. P. Taparia
Yeah, yes, my question. Yes, very small-business. We are not big player in interest. But what player we had with de-growth last year.
Sonali
Understood. Sir, and just one last question. How is the uptick in agric and residential so-far in this quarter.
M. P. Taparia
This part is just restarted I mean YTD, sorry. How about you?
Unidentified Speaker
For previous year, you’re talking about ’24 25?
Sonali
Yes, sir. That is right. In fact, Jan to March or Jan to April.
Unidentified Speaker
Janu to April housing APD?
Sonali
Yes.
M. P. Taparia
We had a very growth in the quarter now. 2%, 1% 2%.
Unidentified Speaker
Yeah. So in-spite of infra not being there, we had a growth of 2% obviously. So it means agri and infra, agri and housing were doing quite good.
Sonali
Understood, sir. This is very helpful . Thank you and all the best to the team.
Operator
Thank you. The next question comes from the line ofNave Virani from Bastian Research. Please go-ahead.,
Navid Virani
Hi, sir. Good evening. Thank you for the opportunity. I have two key questions regarding the incent acquisition that we are announcing for. So sir, firstly, can you help us understand what kind of white spaces in terms of technology or products are any being willing to fill with this acquisition?
Unidentified Speaker
You see, India business is similar to business what we have, but their parent company is very large and they have the technological developments
M. P. Taparia
One question
Unidentified Speaker
How it will be helping us
M. P. Taparia
We will be having the technology what they develop now. There were many technology in their portfolio which we like to develop in Indian
Navid Virani
Okay. And can you just give us a sense on the kind of opportunity size these technologies put together will have if there are anything
M. P. Taparia
Will give us some new application, we’ll be able to better solution for many requirement in our country with character regime.
Navid Virani
Okay. Okay. And one more question is on — so now once we acquire, what will happen to the brand? Are we going to be brand going to get
M. P. Taparia
And project we will deal upon the technology will be printing made with technology. Otherwise, Gush will be sold the supreme brand?
Navid Virani
And sir, what will be the final cash outflow for this acquisition to
M. P. Taparia
Pay the INR50 million and plus what your working capital they have involved?
Navid Virani
So what will be back the to pay
Operator
The next question comes from the line of Rajat Seitia from ithought PMS. Please go-ahead.
Rajat Setiya
Hi, thanks for the opportunity. Sir, my question is about the OPVC pipes. So we are also hearing that lot of Chinese and Indian companies are entering. Wanted to ask you, are those companies successful in terms of launching their OPVC pipe?
Unidentified Speaker
We are not ava PVC line. We are not aware.
Rajat Setiya
Okay.
M. P. Taparia
We are not aware any of the product machines are making goods we can meet our specifications. We are sharing with our supply.
Rajat Setiya
Okay, we will only stick to or nobody else. As you. Okay. And sir, in terms of, you know, given — I mean, our channel check suggests that there are couple of companies which are entering. But what we don’t understand right now is that is there any criteria as per the state government tenders and all that will restrict any subpar quality player or anybody can just —
M. P. Taparia
I don’t there how can I tell you about the government policy? We made a project very much with the specification but required by the way department after we are offering them a solution which either or better than DI what they are using.
Rajat Setiya
And sir, finally, has the demand picked-up again in the OPVC side or we are still looking at sorry
M. P. Taparia
Today we are very small player, small capacity and we are able to-market by and large.
Rajat Setiya
Okay,
M. P. Taparia
We have very small capacity today.
Rajat Setiya
Yeah, sir, right. So overall demand, I mean the industry level tenders and all are the picking-up.
M. P. Taparia
Our company, we are able to share our
Rajat Setiya
Understood, sir. Thank you so much.
Operator
Thank you. Thank you. The next question comes from the line ofUtkarsh Napani from BOB Capital Markets Limited. Please go-ahead.
Utkarsh Nopany
Yeah, hi, good evening, sir. Sir, my first question is on your revenue growth guidance. Sir, if we exclude the revenue contribution of acquisition, so in our sense like it is currently generating close to around INR650 crore annual revenue, then we are just targeting a revenue growth of only 8% to 10% for FY ’26. So wanted to know why we are expecting such a muted revenue growth despite steep increase in our organic annual capex run-rate from INR500 crore in FY ’24 to around INR1,000 crore to INR1,100 crore in FY ’25 and ’26.
Unidentified Speaker
You see our revenue for the year was INR10,400 crore which we are targeting to around INR12,000 crores for the FY ’26. And so-far Bavin is concerned, their revenue for 24 months of piping business I’m talking was close to INR500 crores. And when we acquire Wavin say in July, we will have only nine months at the most per operating period. Okay. So we cannot take the annual revenue what they used to have because we will not be having full-year this year.
Utkarsh Nopany
Okay. And sir, how much generated revenue in FY ’25.
M. P. Taparia
FY ’25, then they are running the business. We are now they do business on current year basis.
Unidentified Speaker
When I’m saying ’24, it is December ’24, JM December ’24.
Utkarsh Nopany
Okay. And sir, like for the industrial segment, can you provide the rationale why we are seeing a decline in our industrial sales volume for the past three consecutive quarter.
Unidentified Speaker
You see in earlier years, there was a non-recurring business of electronic voting machine. Due to various elections in the states and the central, there was a large quantity of the volume was supplied for the voting machine which is missing in the current year. So the year which has gone by.
Utkarsh Nopany
Okay. And sir, lastly, sir, can you please provide the non-pipe segment capacity breakup also for March ’25 and how much we are expecting at the end of March ’26. That is for industrial Consumer and Packaging.
Unidentified Speaker
Yeah, March ’25, although we had given our presentation, but still for your sake of your breakup of capacity as on March 25 piping segment has a capacity of 872,000 metric ton industrial products 91,000 metric ton packaging product 101,000 metric ton and consumer product 27,000 metric ton all put together 10 lakh 91,000.
Utkarsh Nopany
And sir, how much we are expecting in March ’26 for non-pipe segment?
Unidentified Speaker
By segment. You see piping we are targeting 1 million ton. Other segments profile may come in 5,000 tonnes. Other segments very minimal capacity. So the major capacity will come in piping only and the window profile of 5,000 metric ton.
Utkarsh Nopany
Okay. Thanks a lot, sir.
Operator
Thank you. Thank you. The next question comes from the line ofRudrak S Raheja from ithought PMS. Please go-ahead.
Rudraksh Raheja
Yeah, thanks for the opportunity. With regards to OPEC pipes, how is the demand for new tenders?
M. P. Taparia
I again, we are a very small player and what we are producing we are selling.
Rudraksh Raheja
Sure, sir. And sir, any idea how many states today except OPVC in their tenders and are there more states that are adopting OPVC?
M. P. Taparia
We are registered I can come from more than 12 states earlier. And I said, because the capacity, we don’t have much, so we are going slow also. Also are quite a large number for our capacity.
Rudraksh Raheja
Understood, sir. And sir, how big is the opportunity?
M. P. Taparia
This will be approved by nothing great about it. All the ship would like to buy OPC by diameter, much economic than?
Rudraksh Raheja
Yes, okay. And sir, regarding the opportunity size, do you see OPVC taking away 30% 40% market-share of DI pipes market?,
M. P. Taparia
DI is a big market, major market, large giant meters. OPVC mostly up to 400. GI Pipe is huge up to 1.2 meter 500 millimeter. Just large-size and large-volume is a very different different size combination you DI is your large-diameter?
Rudraksh Raheja
Got it, sir. Got it. And sir, is there enough supply of OPVC lines to meet the expected demand in the industry.
Unidentified Speaker
Must we are. We are not a than that.
Rudraksh Raheja
Thank you, sir. Thank you, sir.
Operator
Thank you. Thank you. The next question comes from the line ofAkash from UTI Mutual Fund. Please go-ahead.
Akash
Sir, all my questions are answered. Thank you.
M. P. Taparia
Thank you.
Operator
Thank you. Thank you. The next question comes from the line ofManish Oswa from Nirmal Bang Securities Private Limited. Please go-ahead.
Manish Ostwal
Yes, sir. Thank you for the opportunity. I have only one question on the composite cylinder division. We mentioned in the press release that this year the was challenging and the performance was below expectation. How do you see the business to perform in F ’26? And what is the update on this order from the IOC side, when we can expect this order to come.
Unidentified Speaker
So two, three things for the current year. One is BPSL also invested tender for four lakh pieces. So apart from IOCL, no BPCL is also now coming to-market for procuring these composite tenders. That is a good initiative for our purposes. IUSL is now planning to float a tender for about 1 million pieces is what we learned from our interactions and all the oil marketing companies are working for a common size of 14.2 billion cylinder so if all those things get materialized, then definitely will be a good sign and good year for the division.
Manish Ostwal
So over the medium-term, sir, what size of opportunity is a market we can see for Supreme industries. What is the size of opportunity here?
Unidentified Speaker
Right now we have capacity of only 1 million cylinder,
Manish Ostwal
Okay.
Unidentified Speaker
And we don’t have any plan to expand as of now. So first unless we utilize it appropriately. We are not looking for a new expansion.
Manish Ostwal
What is the utilization, sir, right now?
Unidentified Speaker
It’s only 50%.
Manish Ostwal
Okay, sir. Thank you. Thank you.
Operator
Thank you. The next question comes from the line ofVipul Kumar Shah from Sumangal Investment. Please go-ahead.
Vipulkumar Shah
Hi, sir. Thanks for the opportunity. My question also relates to composite cylinder. So you have mentioned that performance falling short of expectation means is it the technical operational performance or you are just mentioning your business performance?
Unidentified Speaker
Is the business, nothing about technical. Is well-established, well addition. It’s hardship product.
Vipulkumar Shah
Okay, fast superior product.
M. P. Taparia
There is no possibility of anybody dying that the blast will burn-out. There is no possibility of any death. We hear every year several people die due to the blast in and then should only burn-out.
Vipulkumar Shah
So why we are not able to scale this business although we have a far superior product OMC,
M. P. Taparia
Oil marketing company,.
Vipulkumar Shah
Okay. So our are pricier, means cost-wise they are much costlier means how we — how we compare cost-wise
M. P. Taparia
Life, what is costly? When we say our save life then is costly.
Vipulkumar Shah
Okay. Okay, sir. Thank you.
Operator
Thank you. The next question comes from the line ofSwathi Jinjanwala from JM Financial PMS. Please go-ahead.
Swati Jhunjhunwala
Yeah. Thanks for taking my question. Sir, my question is largely broad-based. So pipe industry in general has been facing headwinds in the last few quarters because of the PVC prices. So looking ahead, are you seeing a demand coming up or are you seeing that PVC prices will now normalize or go back up or are you seeing whether you know, Maharashtra will come up with new tenders for since that is
M. P. Taparia
The government push your tender or not caring, but we know very shut certain place last year. So the destoking hit start. So this year is going to be good year for plastic piping system growth.
Swati Jhunjhunwala
Right, that is so — do you see that happening anytime soon, the destocking that you anticipated. But do you see that happening? Yeah, please
M. P. Taparia
Good demand coming just one.
Swati Jhunjhunwala
Okay. Got it, sure. And any update on, I mean, have you seen any pickup yet in any other — any other state, if not Maharashtra, even if you don’t operate there, is there any pickup that you see till now?
M. P. Taparia
Government is enough budget proposal three times and not they spend last year. Central government has made a provision of INR67,000 crore job given last year they spent we are not a very active player in this big business. We are a small player. So Maharashtra, we know that they have not buying piping system for in Maharashtra, they have not still started got it.
Swati Jhunjhunwala
All right. Thank you, sir. Thank you.
Operator
The next question comes from the line of Pujan Shah from Molecule Ventures. Please go-ahead.
Pujan Shah
So thanks for the follow-up. Just wanted to understand that as per the government direction, we are planning to complete in by 2028 and we are expanding in the last like 20, 28. And we are expanding our OPEC lines in FY 2028. So what we have been envisioning? So we have been planning to open up into new industry segment, which would help to consume that OPEC. So how we have been looking at after 2028?
M. P. Taparia
AI price are used for many other application for and many other application apart from. Gel June started only last three, four years before. DI pipe is having for many years already. DI Pipe is required by so many also for the old pipes. They were.
Pujan Shah
Right, right. But sir, ultimately, all the demand which has been for the OPUCs from right now is from. And I just wanted to understand
M. P. Taparia
You know better that we don’t know. Is it coming only from, we are not — we are not like that by anybody.
Pujan Shah
Okay. Got it. Got it, sir. Got it, sir. And sir, just wanted to clarify on the — so the expansion of lines will be on 2028. So why we are procuring is it due to the slowdown which has been affecting us to get the lines earlier or it is just as our strategy to get into a
M. P. Taparia
Their capability produce machines that capability, how many machines they can produce every year.
Pujan Shah
Okay. Okay. So that is the challenge. So that’s the challenge we have been facing is due to them. Or else we certainly.
M. P. Taparia
After us we have to put the machine based on the growth what I can perceive for my company I don’t money and then EPS title.
Pujan Shah
Right, right. Got it. Got it, sir. Thank you so much for the opportunity. Thanks.
Operator
Thank you. The next question comes from the line ofJain from Marcellus Investment Managers. Please go-ahead.
Samarth Jain
Hi, sir. Thanks for the opportunity. Just one question. So what would be the CPVC mix in our overall piping business for this fiscal FY ’25?
M. P. Taparia
Sorry,
Unidentified Speaker
CPVC mix.
M. P. Taparia
If you classify the information.
Samarth Jain
Got it. Thank you.
Operator
Thank you. The next question comes from the line of Keshav Lahoti from HDFC Securities. Please go-ahead.
Keshav Lahoti
Hi, thank you for the follow-up. Sir, I just wanted to get a sense. So in TV Interview today, you mentioned something like 12% volume growth in April. So this was industry growth you’re mentioning or company growth. And secondly, this is a growth due to primary sales or fillings of channel inventory . How should we
Unidentified Speaker
Market-share 12% volume growth, you see, we were at 12% in TV interview, he is referring to TV interview today see volume growth what we have spoken, what you have spoken.
M. P. Taparia
We continue buying a degrowth of 6% and we have grown 6%. So be to your question better than the country. Country 6% de-growth in plastic YP system by volume last year. And our company grew 6% by volume last year. So based on the country growth, we have grown 12% better than currently growth. This is what I told in the TV
Keshav Lahoti
You mentioned something on April sales. How has been the April demand growing?
M. P. Taparia
It should take 9, 8 days to go. It should let it broke down. Too far.
Keshav Lahoti
Understood. Got it. That’s it. Thank you thank you.
M. P. Taparia
Okay.
Operator
Thank you. The next question comes from the line of Mudit from M3 Investments. Please go-ahead.
Mudit Minocha
Hi. I just want to know about the anti-doubting duty status. There was a notification and then it was paused. So at the moment on PVC?
M. P. Taparia
No, the notification to come. The DGTR had to issue the final finding, their provision finding only came and their final filing is still not come. So we are waiting when the DGTR announced the final finding. Finding before final finding, nothing is going to happen. So we are waiting
Mudit Minocha
Right. And was there a resistance from CTVC manufacturer in India that they have put a case that that would be sir.
M. P. Taparia
You asked a question from the producer.
Mudit Minocha
Thanks for the time.
Operator
Thank you. The next question comes from the line ofManish Mahawar from Antique Stock Broking. Please go-ahead.
Manish Mahawar
Yes, sir. Just two questions. One, in terms of industry, when you said industry have declined minus 6% last year and we have grown 6%, what was the industry size total sir
M. P. Taparia
In terms of tonnage industry?
Manish Mahawar
Yeah, sir, industry size.
M. P. Taparia
Perfect share last year was 4.29 million
Manish Mahawar
Of 4.29 and you are expecting it will grow by 7% to 8% this year, right, sir?
M. P. Taparia
This is normal in the remain normal, normally we should grow slightly better than the country GTP growth. The most estimate issue roughly now is 6.2% GTP growth in the current year. This is forecast given by the so many experts. So we believe the country growing by 6.2%, the plastic pipe business volume should grow better than the country’s GTP growth. This is our experience previous years. So it should grow by 7%, 8%, something better than the.
Manish Mahawar
Understood, sir. And sir, in terms of this million metric tons what you said in a piping, what is the — sorry,
M. P. Taparia
4.29 million ton plastic system polymers.
Manish Mahawar
Okay, understood. And sir, secondly, in terms of one of the comments you made consistently there is a 14 or 15 times price have declined for PVC, right, and that led to a destocking in a channel. So do we have any — can you give us some sense how the chatter inventory at the moment versus the normal?
M. P. Taparia
Is a but we believe it because such a large destocking channel have to come back to proper shopping this channel for sure is it normal business cycle?
Manish Mahawar
Okay, understood. Okay, sure, sir. That’s from my side. Thank you and all the best, sir.
Operator
Thank you. Thank you. The next question comes from the line of Shravan Shah from Dolat Capital. Please go-ahead.
Shravan Shah
Sir, just trying to understand the math, when we say that the industry plastic pipe will grow at 7%, 8% and we will do a 3%, 4% higher. So let’s say 12% on the higher side. So last year FY ’25, volume is 531,000. If I do a 12% would come at around 63,700. And in that Vavin, if I consider 70% utilization for nine months, it comes around 38,000. So the — on the core front, we would be growing by 25,000 ton — ton 25,26, which is a kind of a less than a 5%, 4.8% as — which is lower than the 6% of the FY ’25. So just trying to understand where am I missing?
M. P. Taparia
We are having so many numbers here. So many number. We are company growth. Why will give us capacity equation our capacity. Our capacity already has 75,000 ton. Why will give you 73,000 ton, 73,000 in nine months, they cannot produce more than 55,000 ton. Normally you can run only in capacity. So which means what we only 36,000 tonne of volume but we are the volume, we are strong capacity, which 8.75, we have 10 of PVC system.
Unidentified Speaker
His question is, just let me repeat the question to you. Out of 5.71, if we say 12%, then maybe to 6 lakh,
M. P. Taparia
12% last year.
Unidentified Speaker
No, current year.
M. P. Taparia
I never told any question.
Unidentified Speaker
It took — the industry growth is at 7%, 8% and we go sales to 4%.
M. P. Taparia
So yes, we can close to 600,000 tonnes, right? Okay.
Unidentified Speaker
So out of which Ravin will
M. P. Taparia
Out of is 25,000, 30,000
Unidentified Speaker
This is what he is trying to a,
M. P. Taparia
Not there also achieve.
Shravan Shah
So sir, that’s what only I wanted to understand if the barwin is not there as you are saying, then this — or you can achieve a 6 lakh kind of a volume. So with, yeah. So with Vavin, it should be about INR6 lakh, 35,000, INR6 lakh 40,000. So then the growth number of maybe. Yeah. So then the growth number would be a much higher. So that’s the only thing we wanted to understand that the is
M. P. Taparia
Actually 14%. It depends on how the market demand comes. We are equipped. We can meet the demand with the market.
Shravan Shah
Okay, okay, got it, sir. Got it, sir. Thank you, sir.
Operator
Thank you very much. Thank you. As there are no further questions, I will now hand the conference over to the management for their closing comments.
M. P. Taparia
Thank you very much. We are very grateful to ask the investors and analysts who raised a very interesting question. We thank all of them for their time and the question read by them. We thank you. Thank all of them. Thank you very much.
Unidentified Speaker
Thank you team now. Thank you thank you.
Operator
On behalf of DAM Capital Advisors, that concludes this conference. Thank you for joining us. You may now disconnect your lines