Market Share Gains
Expected: CurrentHIGH confidence
What: Piping Volume Growth: 16%
“I have no idea, but I believe this is my conjecture our market share must have gone up.”
Supreme Industries Ltd: Stock Analysis & Fundamentals
Data from 5w agoSupreme Industries Ltd (Building Materials - Plastic Pipes) — fundamental analysis, earnings data, and key metrics. PE: 59.3. ROE: 17.1%. This stock is not currently in the Nifty 500 momentum outperformers list.
Supreme Industries Ltd Key Facts
What's Happening
💪Debt reduced 18% YoY — balance sheet strengthening
🌐FII stake decreased 5.3% this quarter
🏛️DII accumulation — stake up 5.3%
Earnings Acceleration Triggers
1. Market Share Gains
CurrentHIGH
2. New Product Or Brand Launch
FY27MEDIUM
3. Operating Leverage Inflection
FY27MEDIUM
Key Risks
1. Polymer prices (PVC, CPVC, PE) fell continuously, causing ₹100-120 Cr in invento
HIGH2. Global tensions causing volatility in commodity and crude oil prices
MEDIUM3. One-time impact of ₹15 crores due to new labour code provisions
LOWSector-Specific Signals
Piping Volume Growth16%+16%
9M Inventory Loss₹100-120 CrNot Given
CPVC Volume Growth (9M)30%+30%
Value Added Product Share45%+500 bps
Key Numbers
Current Price
₹3,802
Dividend Yield
0.89%
Market Cap
48.3K Cr
Valuation
N/AWhy Are Supreme Industries Ltd's Earnings Accelerating?
Based on Q3 FY26 earnings • Updated Apr 18, 2026
New Product Or Brand Launch
Expected: FY27MEDIUM confidence
What: Window Revenue Potential: ₹300 Cr+
“We will start sales from next month only... In excess of 300 crores, full capacity.”
Operating Leverage Inflection
Expected: FY27MEDIUM confidence
What: Capacity Utilization: 70% target
Impact: Margin improvement
“Normally, if we utilize 70%, we should be happy. So, we should expect that we should be able to sell 70% capacity next year.”
Piping Volume Growth of 16%
MEDIUM confidence
What: Piping Volume Growth of 16%
“Plastic Piping System business grew by 16 % in volume and 10 % in value terms.”
What Are the Key Risks for Supreme Industries Ltd?
Earnings deceleration risks from management commentary
Polymer prices (PVC, CPVC, PE) fell continuously, causing ₹100-120 Cr in invento
HIGHTrigger: Global supply-demand imbalance and lower crude prices.
Impact: PAT impact: ₹100-120 Cr loss
Management view: Management believes prices have bottomed out and started hardening in January.
Monitor: commodity
Global tensions causing volatility in commodity and crude oil prices
MEDIUMTrigger: Uncertainty from multiple wars and locations affecting global trade.
Management view: Not explained on call
Monitor: geopolitical
One-time impact of ₹15 crores due to new labour code provisions
LOWTrigger: Compliance with updated regulatory requirements.
Impact: PAT impact: ₹15 Cr
Management view: One-time cost already accounted for.
Monitor: labor
What Is Supreme Industries Ltd's Management Saying?
Key quotes from recent conference calls
“So last time, we were saying that around 14.5% to 15.5% kind of EBITDA margin for this year. [Previous EBITDA Margin guidance]”
“The Company expects to grow 12% to 14% in volume in this year. [Previous Volume Growth guidance]”
“Three units acquired through Wavin Business acquisition are fully integrated and realigned and shall be available for their full potential from February onwards. [Initiative: Wavin Business Integration]”
“We anticipate we may be able to produce around 250,000 windows every year... In excess of 300 crores, full capacity. [Initiative: PVC Window Business Launch]”
What Did Supreme Industries Ltd Report This Quarter?
Headline numbers from the latest earnings call
Revenue
₹2,631 Cr
YoY +3%
Why: Revenue growth was constrained by falling polymer prices which led to a 12% to 20% decline in topline realization despite volume growth.
Value growth significantly lagged volume growth due to deflationary raw material pricing.
EBITDA
₹324 Cr
YoY -11%Margin 12.3%
Why: Margins were compressed by inventory losses estimated between ₹100 crores to ₹120 crores over the nine-month period due to falling polymer prices.
Operating margins were impacted by a continuous downward trend in PVC and other polymer prices.
PAT
₹153 Cr
YoY -22%
Why: Profitability was impacted by lower operating margins and a significant drop in profit share from associates like Supreme Petrochem.
PAT decline was sharper than EBITDA due to higher interest costs and lower associate income.
Other Highlights
• Value-added product turnover reached ₹1,118 crores in Q3, a 16% growth YoY.
• Net debt stood at ₹132 crores as of December 31st, 2025.
• Piping volume grew 16% in Q3, outperforming the overall company volume growth.
What Sector Metrics Matter for Supreme Industries Ltd?
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Piping Volume Growth
16%
YoY +16%
Why: Driven by strong demand in the plumbing segment and market share gains.
9M Inventory Loss
₹100-120 Cr
YoY Not Given
Why: Result of continuous erosion in polymer prices across PVC, PE, and CPVC.
CPVC Volume Growth (9M)
30%
YoY +30%
Why: Strong outperformance in the plumbing segment.
Value Added Product Share
45%
YoY +500 bps
Why: Strategic focus on increasing the share of premium products like silent pipes and fittings.
Total Installed Capacity (Piping)
1,000,000 MT
YoY Not Given
Why: Expansion through Wavin acquisition and brownfield projects.
Net Debt
₹132 Cr
YoY Not Given
Why: Temporary increase due to Wavin acquisition and capex funding.
Inventory Value
₹1,900 Cr
YoY Not Given
Why: Increased to support optimal production capacity utilization.
Receivable Days
17 days
YoY Not Given
Why: Management is satisfied with the low level of outstandings.
What Is Supreme Industries Ltd's Management Guidance?
Forward-looking targets from management for FY26
OPM Guidance
13.5–14%
Capex Plan
₹1200 Cr
Revenue Outlook
₹11,000 crores to ₹11,500 crores
Margin Outlook
LOWERED
Capex Plan
₹1,200 Cr
Existing and new capital commitments including Wavin acquisition.
Volume
REAFFIRMED
Management Tone: BULLISH
Guidance Changes
LOWERED
EBITDA Margin: 14.5% to 15.5% → 13.5% to 14%
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 18, 2026.
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Frequently Asked Questions: Supreme Industries Ltd
Based on publicly available financial data. This is educational research, not investment advice.
What were Supreme Industries Ltd's latest quarterly results?
Supreme Industries Ltd's latest quarterly results (Dec 2025) show
- PAT Growth YoY: -18.2%
- Revenue Growth YoY: +7.1%
- Operating Margin: 12.0%
What is Supreme Industries Ltd's current PE ratio?
Supreme Industries Ltd's current PE ratio is 59.3x.
- Current PE: 59.3x
- Market Cap: 48.3K Cr
- Dividend Yield: 0.89%
What is Supreme Industries Ltd's price-to-book ratio?
Supreme Industries Ltd's price-to-book ratio is 8.4x.
- Price-to-Book (P/B): 8.4x
- Book Value per Share: ₹450
- Current Price: ₹3802
Is Supreme Industries Ltd a fundamentally strong company?
Supreme Industries Ltd's fundamental strength based on key financial ratios
- Return on Capital (ROCE): 22.0%
Is Supreme Industries Ltd debt free?
Supreme Industries Ltd has a debt-to-equity ratio of N/A.
- Total Debt: ₹322 Cr
What is Supreme Industries Ltd's return on equity (ROE) and ROCE?
Supreme Industries Ltd's return ratios over recent years
- FY2023: ROCE 26.0%
- FY2024: ROCE 29.0%
- FY2025: ROCE 22.0%
Is Supreme Industries Ltd's cash flow positive?
Supreme Industries Ltd's operating cash flow is positive (FY2025).
- Cash from Operations (CFO): ₹1,000 Cr
- Free Cash Flow (FCF): ₹206 Cr
- CFO/PAT Ratio: 104% (strong cash conversion)
What is Supreme Industries Ltd's dividend yield?
Supreme Industries Ltd's current dividend yield is 0.89%.
- Dividend Yield: 0.89%
- Current Price: ₹3802
Who holds Supreme Industries Ltd shares — promoters, FII, DII?
Supreme Industries Ltd's shareholding pattern (Dec 2025)
- Promoters: 49.0%
- FII (Foreign): 19.2%
- DII (Domestic): 17.1%
- Public: 14.6%
Is promoter holding increasing or decreasing in Supreme Industries Ltd?
Supreme Industries Ltd's promoter holding has increased recently.
- Current Promoter Holding: 49.0% (Dec 2025)
- Previous Quarter: 48.9% (Sep 2025)
- Change: +0.06% (increasing — positive signal)
Is Supreme Industries Ltd a new momentum entry or an established outperformer?
Supreme Industries Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.
What are the growth catalysts for Supreme Industries Ltd?
Supreme Industries Ltd has 4 key growth catalysts identified from recent earnings analysis
- Market Share Gains — Management believes they are outperforming the industry and gaining share, particularly in CPVC.
- New Product Or Brand Launch — Launch of the PVC window business creates a new revenue stream in the building materials segment.
- Operating Leverage Inflection — Higher volumes in Q4 and next year will spread fixed costs over a larger base.
- Piping Volume Growth of 16% — Driven by market share gains and the integration of Wavin's customer base.
What are the key risks in Supreme Industries Ltd?
Supreme Industries Ltd has 3 key risks worth monitoring
- [HIGH] Polymer prices (PVC, CPVC, PE) fell continuously, causing ₹100-120 Cr in invento — Global supply-demand imbalance and lower crude prices.
- [MEDIUM] Global tensions causing volatility in commodity and crude oil prices — Uncertainty from multiple wars and locations affecting global trade.
- [LOW] One-time impact of ₹15 crores due to new labour code provisions — Compliance with updated regulatory requirements.
What did Supreme Industries Ltd's management say in the latest earnings call?
In Q3 FY26, Supreme Industries Ltd's management highlighted
- "So last time, we were saying that around 14.5% to 15.5% kind of EBITDA margin for this year. [Previous EBITDA Margin guidance]"
- "The Company expects to grow 12% to 14% in volume in this year. [Previous Volume Growth guidance]"
- "Three units acquired through Wavin Business acquisition are fully integrated and realigned and shall be available for their full potential from Februa..."
What is Supreme Industries Ltd's management guidance for growth?
Supreme Industries Ltd's management has provided the following forward guidance for FY26
- Revenue outlook: ₹11,000 crores to ₹11,500 crores
- OPM guidance: 13.5–14%
- Capex plan: ₹1200 Cr for Existing and new capital commitments including Wavin acquisition.
- Management tone: bullish
- Milestone: [LOWERED] EBITDA Margin: 14.5% to 15.5% → 13.5% to 14%
What sector-specific metrics matter most for Supreme Industries Ltd?
Supreme Industries Ltd's most important sub-sector-specific KPIs from the latest concall
- Piping Volume Growth: 16% (YoY +16%) — Driven by strong demand in the plumbing segment and market share gains.
- 9M Inventory Loss: ₹100-120 Cr (YoY Not Given) — Result of continuous erosion in polymer prices across PVC, PE, and CPVC.
- CPVC Volume Growth (9M): 30% (YoY +30%) — Strong outperformance in the plumbing segment.
- Value Added Product Share: 45% (YoY +500 bps) — Strategic focus on increasing the share of premium products like silent pipes and fittings.
- Total Installed Capacity (Piping): 1,000,000 MT (YoY Not Given) — Expansion through Wavin acquisition and brownfield projects.
- Net Debt: ₹132 Cr (YoY Not Given) — Temporary increase due to Wavin acquisition and capex funding.
Is Supreme Industries Ltd worth studying for long term investment?
Based on quantitative research signals, here is why Supreme Industries Ltd may be worth studying
- Cash flow is positive — CFO ₹1,000 Cr
What is the investment thesis for Supreme Industries Ltd?
Supreme Industries Ltd investment thesis summary:
Research Signals (Bull Case)
- Growth catalyst: Market Share Gains
Risk Factors (Bear Case)
- Key risk: Polymer prices (PVC, CPVC, PE) fell continuously, causing ₹100-120 Cr in invento
What is the future outlook for Supreme Industries Ltd?
Supreme Industries Ltd's forward outlook based on current data signals
- Key Catalyst: Market Share Gains
- Key Risk: Polymer prices (PVC, CPVC, PE) fell continuously, causing ₹100-120 Cr in invento
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.