The Supreme Industries (SUPREMEIND) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 sales reached 162,733 tons with net turnover of INR 2,488 crore, up 3% in volume and 2% in value year-over-year; nine-month sales were 474,645 tons and turnover INR 7,336 crore, up 7% in volume and 4% in value.

• EBITDA and PAT declined in Q3 FY25, with EBITDA at Rs. 309 crore (down 18.54% YoY) and PAT at Rs. 180 crore (down 27.38% YoY); nine-month PAT was Rs. 635 crore (down 9.48% YoY).

• Company remains debt-free with a cash surplus of INR 290 crore as of Dec 31, 2024.

• Dividend income from associate Supreme Petrochem contributed significantly to other income (Rs 14.47 crore in Q3, Rs 54.98 crore YTD).

Financial highlights

• Q3 consolidated revenue: Rs 2,510 crore (up 2.48% YoY); nine-month revenue: Rs 7,419 crore (up 4.11% YoY).

• Q3 consolidated operating profit: INR 331 crore (down from INR 400 crore YoY); Q3 PAT: INR 187 crore (down from INR 256 crore YoY).

• Q3 FY25 EBITDA margin: 12.31% vs. 15.49% YoY; nine-month EBITDA margin: 13.69% vs. 14.84% YoY.

• EPS for 9M FY25: INR 50.00 vs. INR 55.24 YoY.

• Value-added product turnover in Q3: INR 961 crore, up 13% YoY.

Outlook and guidance

• No specific volume growth guidance due to PVC price uncertainty, but expects to grow 3%-4% above country growth in plastic piping.

• Margin guidance for FY25: 13.5%-14%.

• Focus on sustainable growth, innovation, and expanding renewable energy usage from 17% to 25% of total energy.

• Targeting a 17% reduction in carbon emission intensity per MT of production.

• CPVC segment expected to continue 20%+ growth.