The Supreme Industries (SUPREMEIND) Q2 24/25 earnings summary

Executive summary

• H1 FY25 sales volume reached 311,912 MT, up 8.94% year-over-year, with Q2 at 138,077 MT, nearly flat YoY but up 20.57% sequentially.

• H1 FY25 revenue was ₹4,909 crore, up 4.96% YoY; Q2 revenue was ₹2,273 crore, down 1.55% YoY but up 13.78% QoQ.

• H1 FY25 PAT was ₹480 crore, nearly flat YoY; Q2 PAT was ₹207 crore, down 15% YoY.

• Board approved unaudited Q2 and H1 FY25 results and declared an interim dividend of Rs. 10 per share with a record date of October 30, 2024.

• Company remains debt-free with a cash surplus of ₹674 crore as of September 30, 2024.

Financial highlights

• Q2 FY25 sales volume up 0.23% YoY and 20.57% QoQ; H1 FY25 sales volume up 8.94% YoY.

• Q2 FY25 revenue down 1.55% YoY, H1 FY25 revenue up 4.96% YoY.

• Q2 FY25 EBITDA margin at 14.05% vs 15.44% YoY; H1 FY25 EBITDA margin at 14.40% vs 14.50% YoY.

• Q2 value-added product turnover declined to INR 907 crores from INR 942 crores YoY.

• Cash EPS for H1 FY25 at ₹49.71 vs ₹47.10 YoY.

Outlook and guidance

• Plastic piping system volume growth guidance revised from 25% to 16%-18% for FY25 due to price volatility and subdued demand.

• Overall company volume growth expected at 14%-15% for FY25.

• Interim dividend declared for FY2024-25, reflecting confidence in ongoing performance.

• EBITDA margin guidance for piping segment at 14%-16%, packaging at 16%-18%.

• CapEx commitments of INR 1,500 crores for the year, with cash outflow not exceeding INR 1,000 crores, funded from internal accruals.