Earnings Review
Supreme Ind Q2 consol PAT down 20% YoY, misses Street view
This story was originally published at 15:35 IST on 27 October 2025
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--Supreme Ind Jul-Sept consol net profit INR 1.65 bln
--Analysts saw Supreme Ind Jul-Sept consol net profit at INR 1.97 bln
--Analysts saw Supreme Ind Jul-Sept consol revenue at INR 23.49 bln
--Supreme Ind Jul-Sept consol revenue INR 23.94 bln
--Supreme Ind Jul-Sept consol net profit INR 1.65 bln vs INR 2.07 bln yr ago
--Supreme Ind Jul-Sept consol revenue INR 23.94 bln vs INR 22.73 bln year ago
--Supreme Ind Apr-Sept consol net profit INR 3.67 bln vs INR 4.80 bln yr ago
--Supreme Ind Apr-Sept consol revenue INR 50.03 bln vs INR 49.09 bln year ago
--Supreme Ind interim dividend record date is Nov 3
--Supreme Ind Jul-Sept plastic pipe revenue INR 16.02 bln vs INR 14.38 bln
--Supreme Ind Jul-Sept industrial pdts revenue INR 2.83 bln vs INR 3.28 bln
--Supreme Ind Jul-Sept packaging pdts revenue INR 3.94 bln vs INR 4 bln
--Supreme Ind Jul-Sept consumer pdts revenue INR 1.03 bln vs INR 1.04 bln
--Supreme Ind Q2 consol operating profit INR 3.12 bln vs INR 3.47 bln yr ago
--Supreme Ind Q2 consol operating profit margin 12.96% vs 15.17% yr ago
--Supreme Ind: Net cash surplus INR 490 mln Sept 30 vs INR 9.44 bln Mar 31
--Supreme Ind expects volume growth of 12-14% in FY26
--Supreme Ind expects plastic pipe ops volume growth to be 15-17% in FY26
--Supreme Ind: Expecting repeat orders in CNG cascade cylinder segment
--Supreme Ind sold 154,431 tn of plastic goods in Jul-Sept, up 11.8% on year
--Supreme Ind: Govts spent less on infra segment related to plastic pipe system
--Supreme Ind: Demand from agriculture sector hit in Q2 due to early monsoon
--Supreme Ind: Expect rebound in demand from agriculture sector in Oct-Mar
By Shreya Shetty
MUMBAI – Supreme Industries Ltd. posted a lower-than-expected bottom line for the September quarter while the company's top line beat analysts' consensus estimate by a slim margin. The company reported a net profit of INR 1.65 billion for the quarter, down more than 20% on year and nearly 19% sequentially. Analysts expected the company to report a bottom line of INR 1.97 billion for the quarter.
The company's revenue from operations rose more than 5% on year to INR 23.94 billion, slightly higher than the INR 23.49 billion expected by analysts. Sequentially, the top line was down over 8%.
In Apr-Sept, the company's consolidated net profit fell nearly 24% year-on-year to INR 3.67 billion. The pipe-maker's top line for the period rose nearly 2% on year to INR 50.03 billion. The company declared an interim dividend of INR 11 per share, the record date for which is Nov. 3.
The company's revenue from plastic pipes was INR 16.02 billion, up over 11% from a year ago. The growth in the company's plastics piping business was adversely affected due to the early arrival of the southwest monsoon, the company said. "The rains remain active for extended period, which has resulted in a severe decline in the application of plastics piping in agriculture," M.P. Taparia, managing director, Supreme Industries, said in a release.
The company sold 154,431 tonnes of plastic goods in the reporting quarter, up nearly 12% on year. The pipe-maker's revenue from industrial products fell nearly 14% on year to INR 2.83 billion. Revenue from packaging products fell slightly to INR 3.94 billion from INR 4.00 billion last year. The company's consumer products revenue was largely flat at INR 1.03 billion against INR 1.04 billion a year ago.
The company's growth was also hit due to lower incentives from the government, the company said. "Central and state governments have also provided less money in infrastructure segments related to demand in plastics pipe system. This has resulted in lower growth in plastic pipe system in first half (of 2025-26 (Apr-Mar)," Taparia said in the release.
Supreme Industries reported a consolidated operating profit of INR 3.12 billion for Jul-Sept, down 10% from a year ago. Its consolidated operating profit margin for the quarter was 12.96%, down from 15.17% a year ago.
The company had a net cash surplus of INR 490 million as on Sept. 30, against a cash surplus of INR 9.44 billion as on Mar. 31.
The company sees volume growth of 12–14% in the ongoing financial year, as it expects demand from the agriculture segment to rebound in the second half of FY26. As such, the volume growth target of 15–17% in the plastics pipe segment has been maintained for the current financial year, the company said.
Supreme Industries has begun executing its awarded contract for the supply of 200,000 10-kg capacity liquefied petroleum gas cylinders for six months to Bharat Petroleum Corp. Ltd., it said. It has also expanded its export market reach and witnessed fruitful results in terms of better capacity utilisation. The company has executed its first order of CNG cascade cylinders and it expects repeat orders in the segment.
On Monday, shares of the company closed 0.2% lower at INR 3,995.30 on the National Stock Exchange. The company announced its September quarter earnings during market hours. End
Edited by Nishant Maher
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