Supreme Industries’ profit jumps 59.31% to 262.44 crore rupees in September quarter
Key Facts
Supreme Industries reported consolidated profit before other comprehensive income of 262.44 crore rupees for the quarter ended September 30, 2026, up 59.31% from 164.74 crore rupees a year earlier. The results were for the September quarter of fiscal 2027, while CNBC-TV18 reported that the stock fell as much as 3.5% on Monday, October 26, after the announcement. Consolidated operating profit stood at 460.61 crore rupees, up 47.50% year on year. The operating margin rose to 13.67% from 12.96% in the year-earlier period. The company said geopolitical uncertainty made precise growth forecasts impossible, but it expected overall volume growth of about 10% for fiscal 2027.
Results for the first half of fiscal 2027 showed continued profit growth compared with the same period a year earlier. Consolidated operating profit was 931.61 crore rupees, up 41.94%, while consolidated profit before other comprehensive income reached 543.16 crore rupees, up 47.98%. In the second quarter, sales of value-added products rose 38% to 1,476 crore rupees, compared with 1,072 crore rupees a year earlier. The figures show that sales growth in those products accompanied quarterly profit growth, while the quarterly operating margin remained at 13.67%. The plastic piping systems business also recorded value growth that outpaced volume growth during the quarter, according to the earnings call data.
The plastic piping segment was the main source of business growth during the quarter, with sales volume rising about 24%, compared with growth of about 2% in the first half. Segment revenue was 2,274 crore rupees in the September 2026 quarter, versus 1,609 crore rupees a year earlier. Its profit also rose to 241 crore rupees from 127 crore rupees in the year-earlier period. During the earnings call, the company said its piping systems business grew 24% by volume and 42% by value. The packaging business increased 3% by volume and 22% by value in the second quarter. Other segments had mixed results: the industrial business grew 13% by volume and 49% by value, while consumer product volumes fell 14% and value rose 2%.
The company linked improved market conditions to government measures that included imposing a minimum import price on suspension-grade PVC resin and withdrawing the customs duty exemption, saying these steps helped reduce market volatility. Management said during the earnings call that the operating environment had stabilised in the second quarter after unusual volatility in polymer prices in the first quarter. Despite this stabilisation, the company said geopolitical uncertainty prevented it from making a precise growth forecast. According to the call transcript, management maintained its target operating margin range for fiscal 2027 at between 14% and 14.5%. The outlook comes as the second-quarter margin stood at 13.67%, compared with 12.96% a year earlier. The quarterly margin and annual target range refer to different periods.
Alongside its forecast for overall annual volume growth of about 10%, management said plastic piping business volumes rose 23% in the first 25 days of October. The managing director added that the company did not expect production capacity or raw material availability to be a constraint. These indicators provide a more recent picture of the segment’s performance after its 24% growth in the second quarter, while it grew about 2% in the first half. The board declared an interim dividend of 12 rupees per share for fiscal 2026-27. The company set October 30, 2026, as the record date to determine shareholders eligible for the dividend. An analyst and investor call to discuss the results was also scheduled for October 26, 2026, at 4 p.m.