SUPREMEINDNSEQ4 FY'26April 27, 2026

Supreme Industries Limited

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20analyst exchanges

4executives

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Management on call

M. P. Taparia

CHAIRMAN AND MANAGING

P. C. Somani

CHIEF FINANCIAL OFFICER – SUPREME INDUSTRIES LIMITED

R. J. Saboo

VICE PRESIDENT, CORPORATE

Aasim Bharde

DAM CAPITAL ADVISORS

Key numbers — 40 extracted

753907 MT

give brief on Company’s Product Operating performance and other highlights. 1. The Company sold 753907 MT of Plastic goods and achieved Revenue from operations of Rs 11,218 Crores during the year under re

Rs 11,218 Crore

ghlights. 1. The Company sold 753907 MT of Plastic goods and achieved Revenue from operations of Rs 11,218 Crores during the year under review against sales of 674510 MT and Revenue of Rs 10,446 crores in the pr

674510 MT

chieved Revenue from operations of Rs 11,218 Crores during the year under review against sales of 674510 MT and Revenue of Rs 10,446 crores in the previous year achieving volume and revenue growth of about

Rs 10,446 crore

rations of Rs 11,218 Crores during the year under review against sales of 674510 MT and Revenue of Rs 10,446 crores in the previous year achieving volume and revenue growth of about 12 % and 7%, respectively. 2.

12 %

and Revenue of Rs 10,446 crores in the previous year achieving volume and revenue growth of about 12 % and 7%, respectively. 2. The Consolidated Operating Profit and Profit after Tax for the year unde

nue of Rs 10,446 crores in the previous year achieving volume and revenue growth of about 12 % and 7%, respectively. 2. The Consolidated Operating Profit and Profit after Tax for the year under rev

Rs. 1,654 crore

y. 2. The Consolidated Operating Profit and Profit after Tax for the year under review stood at Rs. 1,654 crore and Rs. 954 crore, respectively, as compared to Rs. 1,552 crore and Rs. 961 crore in the previous

Rs. 954 crore

ated Operating Profit and Profit after Tax for the year under review stood at Rs. 1,654 crore and Rs. 954 crore, respectively, as compared to Rs. 1,552 crore and Rs. 961 crore in the previous year. This represe

Rs. 1,552 crore

r the year under review stood at Rs. 1,654 crore and Rs. 954 crore, respectively, as compared to Rs. 1,552 crore and Rs. 961 crore in the previous year. This represents an increase of 7% in Operating Profit, whi

Rs. 961 crore

eview stood at Rs. 1,654 crore and Rs. 954 crore, respectively, as compared to Rs. 1,552 crore and Rs. 961 crore in the previous year. This represents an increase of 7% in Operating Profit, while Profit after Ta

s represents an increase of 7% in Operating Profit, while Profit after Tax declined marginally by 1% year-on-year. 3. The business scenario of all the Product Segments of the Company for the year

14 %

026 as compared to the previous year has been as under:- • Plastic Piping System business grew by 14 % in volume and 11 % in • value terms. Industrial Products Segment business degrew by 1 % in vol

Guidance — 20 items

M.P. Taparia

opening

“Company expects to sell the capacity by next year, which will also enable it to expand capacity at the same site.”

Shravan Shah

“Sir, now how are we looking at the overall volume and piping volume for FY27?”

M.P. Taparia

“So we do not anticipate now any price reduction also because rupee is getting weaker, rupee is around INR94.50.”

Shravan Shah

“And lastly, sir, this 1,10,000 capacity that we are adding, out of that how much will be in the piping segment and this entire 1,10,000 will be added by FY27?”

M.P. Taparia

“And out of the budget we're talking, 100,000 will be in piping sector only.”

M.P. Taparia

“10,000 will be mostly in Material Handling System.”

Praveen Sahay

“And also with these fluctuation in the PVC resin prices, have you seen any impact on the plumbing, especially some delay from the builder side or the project side of the business in the Q4?”

Sneha

“What would have been the industry growth in FY26?”

M.P. Taparia

“FY26 there is a volume de-growth by 9% in Plastic Piping System in the country.”

Sneha

“What's the kind of growth at an industry level that we are expecting in FY27?”

Risks & concerns — 8 flagged

targeted product to witness demand slowdown The Company’s Consumer and Packaging businesses delivered stable to encouraging performance, with innovations, customer diversification and focus on value added offerings.

— M.P. Taparia

First, polymer prices as a commodity product, they remain volatile.

— M.P. Taparia

Last year was typically too much volatile, but the way it's priced remains always volatile.

— M.P. Taparia

Our rupee has become quite weak and we are too much import-dependent.

— M.P. Taparia

And do you see any further pressure in the PVC resin prices in near future?

— Utkarsh Nopany

But in terms of exports, like in terms of competition because the pipe is usually mostly air, it's like volumetric rather than weight, won't it be difficult to compete in the international market?

— Praneet Pomesetti

Sir, you mentioned that the PVC volume decline for the entire year was 9% for FY '26.

— Karan Bhatelia

Can we further get into decline for infra, agri and plumbing at the industry level?

— Karan Bhatelia

Q&A — 20 exchanges

Hi, sir. Good evening. Thank you for the opportunity. Sir first question is on the inventory gain which we would have had in March because of higher PVC prices. Could you help with the number for the fourth quarter or for the full year, whichever you have?

M.P. Taparia

For full year there may be hardly any inventory gain because earlier quarter, there was inventory loss. Yes, sir, I'm aware of that. So for the full year, we don't see any inventory gain for the full year. But especially in the fourth quarter, there may be inventory gain net-to-net, maybe around INR70 crores to INR80 crores. Okay, sir. Got that. And sir, second and last question was on capex. You have detailed in the press release about the capex, but any plans on the packaging side where you think you should expand capacity? Packaging side, we have purchased land at JNPT. The document process

Hi, sir. Thank you. Sir, now how are we looking at the overall volume and piping volume for FY27?

M.P. Taparia

We anticipate growth of 15% to 17%. 15% to 17% in piping and overall? Overall, around 12%. 12% to 13%. 12% to 13%. And for margins, sir, how now we look at the margins? Margins between 14% to 14.5%. Okay, 14% to 14.5%. Okay. Got it. Sir, now given the PVC prices have much volatility that we have seen, INR47, INR48 up in the January to March and then again, INR32, INR33 down. Do we still see the volatility to continue or now it seems to be stabilizing? And now in last 10, 15 days, how are we seeing the channel inventory or the demand because such a volatility is there, how it is impacting the d

Hello. Thank you for the opportunity. Sir, my first question is can we bifurcate in your view the Q4 volume growth? We believe channel inventory has improved in Q4. So possibly, what would be the growth because of end demand and because of channel inventory?

P. C. Somani

It is not feasible to just quantify in that way. There are more than 50,000 retailers. We don't know now what it is. No, not possible dear friend. Okay, got it. Tell me. Hello. Am I audible? Yes, you are audible Yes. One last question from my side. Sir, can you give a sense on how channel inventory has moved in Q4 quarter, month-wise and lastly how is the channel inventory in April now? We have no idea. We have no idea, dear, friend. Okay. Got it. Thank you. That’s it.

Yes. Hi, thank you for opportunity. My first question is related to the demand, especially for the agri as we had seen a lot of fluctuation in the PVC resin prices and we also understand that Q4 and Q1 is where the agri demand comes in. So do you see any impact on the agri demand, especially because of PVC resin price fluctuation in the Q4?

M.P. Taparia

PVC resin price is now low , demand start only from Q1. Q4 demand was impacted in the month of March, but now we are talking Q1 only. Now demand has started full force. There is no issue. Big demand now coming from agriculture segment. So with the price correction, demand has picked up in the agri? Prices have come down very low. And agriculture sector, they don't keep inventory earlier. Normally, they don't keep. So now the prices are quite low, so demand will come very well. Okay. And also with these fluctuation in the PVC resin prices, have you seen any impact on the plumbing, especially so

Sir, thanks for the opportunity. A couple of questions from my end. What would have been the industry growth in FY26? Any number there or maybe even Q4 would be helpful?

M.P. Taparia

Plastic Piping System? Yes, sir. We are told by raw material producers that it was minus 9%. Minus 9% for FY26 growth? FY26 there is a volume de-growth by 9% in Plastic Piping System in the country. What's the kind of growth at an industry level that we are expecting in FY27? And any uptake that you've seen in Nal Se Jal scheme because there were very recently some allocations made? Industry level, yes, you can ask raw material producers, but they told us they anticipate 8% growth this year. Anything for Nal Se Jal, sir? Recently, there were allocations. Have we seen any pickup or government s

Sir, thank you for the opportunity and congratulations on a good set of numbers. Sir, my question is about the Middle East impact on the polymers. You did mention in your press release that the impact on polyethylene products is much higher as compared to PVC. But just wanted to understand the broader dynamics of demand supply globally as to what, in your view, can be impacted more? And what impact can trickle down to Supreme's product or supply because of that?

M.P. Taparia

Gulf impact will impact all the polymers because after all they are not only making polymers, they are also supplying feedstock for the polymer to the plant based in Far East Asia, Southeast Asia, that productions are all affected. So it's going to impact the polymer capacity worldwide big way. So sir if that is the case, in your best understanding why are the PVC prices going down right now? Is it because that the Government of India revoked the import duty for a period of 3 months or is it because globally, the supply of PVC has increased over the past 1 month? Import duty becoming zero does

Yes. Hi, sir. So just on the notes to accounts, the Note number 6, you have mentioned the change in Labor Code provisioning. I noticed that last quarter, it was mentioned that INR15.38 crores is the provisioning. And in this quarter, it is mentioned as INR14.4 crores. So just wanted to clarify if this is in addition to the INR15.38 crores that was provided in the third quarter or is there any sort of revaluation of the provision and the net full year impact is now INR14.4 crores?

P. C. Somani

Correct. It is the net full year impact. Earlier in the Q3, we have estimated based on our working, but based on the actual valuation report, which we have made now March '26, it is a full year impact. So INR15.38 crores reduced to INR14.4 crores. Okay. Understood. Thanks. And secondly on the industry, I mean, would you be able to, like for Supreme Industries, would you be able to sort of break up the volume trends that we saw in this quarter between Jan and Feb and how the trends were in March? And if you can maybe extend that to April as well, I mean, between these three periods, how were th

Hi, sir. Thanks for the opportunity. So first question is related to, sir, PVC. So what is our average procurement cost of PVC, which is standing as inventory as on 31st March?

M.P. Taparia

Inventory requirement? No, cost of the inventory what is you are carrying in inventory cost. These are the classified information. We don't really disclose those kind of things. All right. So sir, in terms of days, what would be the number of days of PVC inventory do we have as on 31st March, sir? We must give the plant adequate inventory so the plant should go on running, based on local and import both. Locally is not adequate. So import is slightly more than local. Local, you can get weekly also, but imports we have to keep in pipeline. So we take a prudent decision, so the plant should not

This is just a follow-up, just a follow-up?

P. C. Somani

So about 4,000 a month and from February, March, if you look at. So for the quarter, it could be around 10,000 tons. Got it, sir. Clear. Thank you.

Yes. Hi, good evening. Thanks for the opportunity. Firstly, if you could give us some insights on the competitive dynamics, especially after the war where we have seen significant volatility in the resin prices. Did we see accelerated market share gains and now that the resin prices have reversed, are the small and mid manufacturers coming back strongly into the market?

M.P. Taparia

We are running the plant. India is a big market. Okay. In terms of the raw material availability challenges, did you hear anything about the small manufacturers facing some issues and... We are not aware. Anyways, we are not a small scale producer, but we are not aware that anyone is not getting raw materials. PVC Resin is adequately available. Got it, got it. Okay. So my second question is on the windows business. So if you could give us some sense on what kind of revenues we can expect in the next 1 year and the margins as well? Window. At full capacity, how much we can share? Once we achiev

Hello, sir. Thank you for the opportunity. Actually, my question was similar to that labour law code provision, which has already been answered. So no more from my side.

Management

Good evening, everyone. This is Shubham. I'm relatively new and currently trying to build a better understanding of this industry. I wanted to get a sense of the broad capacity utilization scenario, both for our company and the industry. From what I've observed, utilization levels seem to be largely in the 60%, 70% ballpark range, while capacity additions are still ongoing. I wanted to ask what is the ideal utilization level? And how do you define lower and higher utilization bands, both for company and more broadly for the industry?

M.P. Taparia

Normally, we consider if we are able to do 70%, 75% is better utilization. During rainy season, demand comes down. Normally, we consider it. Always 2Q is a lean period. So this is what we consider. Depending on business situation sometimes we may not get 75%. We may get 70% or 68%, something like that. Okay. So 75% is the ceiling which we hit and it doesn't go up more than that? Remember if the business conditions are looking quite okay and if the rains remain only normal, no problem if we have rainfall because if we have problem with rainfall, then business will be affected. Okay, all right.

Yes, hi. Good evening, sir. Sir, my first question is regarding the plastic pipe sales volume growth, which you have reported for the March quarter. Sir, you have mentioned that the agri pipe demand got impacted in the month of March because the resin prices were falling and the demand for infra pipe from Jal Jeevan Mission has not yet picked up. So just wanted to know what has led to such sharp growth for us in the March quarter? Is it because of the channel...?

M.P. Taparia

In the month of March, the price went up so steeply, the farmer withdrew to buy the goods in the month of March. Now the price has come down. So now the demand is normal. Price went up by INR37 a kilo and then came down by INR33 a kilo. Now demand is normal. There is no issue. No, sir, for the March quarter, I wanted to know, sir, was it majorly driven by the plumbing pipe? And is it because of the channel refilling or we are seeing a strong growth for the plumbing pipe demand? February, March, normally season of plumbing only. February, March, demand doesn't really start big way for agricultu

Hi, sir. Good evening. Sir, a couple of questions from my side. Sir I just wanted to understand the raw material availability. You said PVC is abundant. So how is the situation on PP, polystyrene, how are they currently available in the market?

M.P. Taparia

Our raw material is available in India. We don't see problem of any raw material, which is not available. Got it. And sir, secondly, sir, you said the volume for 4Q from Wavin is about 10,000 tons since the plant started from February onwards. So is it that the plant did not contribute before that? And this is the annual volume as well? Annually, we should get 50,000 tons from them. In FY26, how much was it, sir? We took over in a month of August, then we were revamping, so we get normal production only from February. So we might have about 10,000 tons in this quarter. But now for the full yea

Thank you for the follow-up question. Just referring to the other expenditure number in the quarter is INR390 crores, and this number was similar in third quarter also. So despite 25% volume growth on a Q-o-Q basis, just wanted to understand if there is any one-off onetime adjustment to this number?

P. C. Somani

No, nothing specific. Typically, sir, this number generally in fourth quarter goes up because of higher volumes. So hence, I was wondering if there is any adjustment which is done on any line item? See, these other expenses number consists of either repairs or the advertisement and publicity, which was controlled right from quarter 3 itself when this year was not doing well. So no inflation or no increase in those kind of figures. Okay. So publicity was INR125 crores last year. So it's basically flat Y-o-Y in what you're saying? No. This year, it is INR98 crores only. Okay. Got it, sir. Thank

And thank you for the opportunity. Sir, I wanted some understanding on the depreciation. We had already capitalized when we see in the second half is roughly INR566 crores due to investments, which was about INR814 crores as of FY26, which is a INR250-odd crores of increase in the capex. But the depreciation to that extent seems to be very high. The depreciation increase in the second half seems to be very high. What could be the reason behind this?

P. C. Somani

Ma'am. You have to see the last year capital work in progress, which was more than INR400 crores, which then also has -- got capitalized this year. And our closing work-in-progress is only INR136 crores. So when you look at that, you have to look at the -- because whatever payments have been made previous years and the work-in-progress also get capitalized. Got it. Okay. And then this year, we believe it will further go up INR1,000-odd crores...? Wavin acquisition also is separately. Right. No, no. Even if I take into account Wavin, the depreciation increase seems to be higher than normal like

Hi, sir. Congratulations on a good set of numbers. Sir, a few questions. Sir, how should we understand PVC resin prices, resin made via carbide route and resin made -- resin which is made by EDC, VCM route?

M.P. Taparia

No both -- they make PVC. And PVC make the product. So there is no difference for you. Suppose some carbide make that PVC, if VCM contain more than 1%, then people don't purchase the good material for use of quality PVC pipe. Majority of them make carbide route with PVC, it means VCM contained less than 1%. So if less than 1% VCM contains PVC, there is no issue compared to carbide or resin then we don't see any problem. Sure, sir. That helps. PVC was produced by VCM for last more than 3, 4 decades in India. Okay. That is helpful. Sir, second is any update on our windows and profiles business?

Hi. Thank you for the opportunity. So I understand that it is a great performance. So I was wondering in terms of consolidation of the market, how have you seen the organization of the overall market? And in terms of CPVC also, I think Astral had very lofty goals in terms of dominating at a much higher rate. So could you explain how are you seeing the Astral CPVC? And how is it -- how are you facing competition on the ground market? And how has the organization expanded in the market?

M.P. Taparia

There are many supplier in our country. I don't follow what you want to ask from us? We have many suppliers. Astral is supplier, Ashirvad is supplier, Prince is supplier. Finolex is supplier. There are many suppliers… Sorry, I think I was not clear on my question. I was talking about the market share. How has Supreme grown in terms of its market share in its CPVC versus the other piping divisions? And what kind of market... We don't know the market share of our company in the CPVC market. We don't know. What about the other segments, sir, other than CPVC, in the piping division? Maybe 12% to 1

Sir, this question is specifically on Nal Se Jal. What we understand is there is a CAG audit, which is going on in a few states in the country. Sir, how do you read into this? Is that the reason why you indicated Nal Se Jal will actually be slow or is there any other way to actually read it?

R.J.Saboo

CAG audit is going on. That's why he says that there is a CAG audit for the Nal Se Jal. That is why we are talking less growth for Nal Se Jal. I'm not aware about it. What is CAG? Comptroller and Auditor General. We don't think so Ritesh that can be the reason here. Okay. Any other reason why the government is probably going slow, sir? No, no, unless state government participate and they release their part of contribution, the central government is not releasing the funds. So still, we don't see the funds coming into the ground. Anyway we are a small player in the water supply stream. But as y

Good evening and congratulations for a good set of numbers. Sir, question is on like you've added 5 manufacturing facilities over the last 12 months. So you added 5 manufacturing plants over the last 1 year. Could you talk about the -- how closer you've got in terms of customers and the lead distance reduction that you've been able to get because of these new plants? And is there a numerical number in terms of savings that on the logistics cost that you've been able to get because of the new manufacturing facilities you may have to move closer to the customer?

M.P. Taparia

We provide very good support to the customers. The whole idea is the customer can work with our godown -- our plant. So is there a savings that numbers in terms of percentage that you've been able to get by moving closer to the customer, 1% or 2% saving that you've been able to get savings from the logistics? The whole idea is to provide better service to our customer. So it becomes more affordable to the customer. So we are not taking the saving into our account, but we are becoming more competitive and more efficient. Sure. So the second part is you've added more SKUs, as you mentioned. Coul

Speaking time

M.P. Taparia

Moderator

P. C. Somani

Ritesh Shah

Praneet Pomesetti

Rahul Agarwal

Shravan Shah

Bhavin Vithlani

Praveen Sahay

Sneha

Opening remarks

M.P. Taparia

'26 Post Earnings Call. So we have, as usual, the senior management of the company led by Mr. M.P. Taparia, Chairman and Managing Director; Mr. P.C. Somani, CFO; and Mr. R.J. Saboo, VP, Corporate Affairs and Company Secretary. Thank you, and over to Mr. Taparia for his opening comments. Thank you, very much. I am M.P. Taparia, Chairman & Managing Director of The Supreme Industries Limited. I along with my colleagues Mr. P C Somani, CFO and Mr. R J Saboo, Vice President (Corporate affairs) & Company Secretary welcome all the participants, who are participating in the discussion of the audited Standalone and Consolidated Financial Results for Quarter and year ended 31st March, 2026 The Standalone results and the consolidated results are already with you. I will give brief on Company’s Product Operating performance and other highlights. 1. The Company sold 753907 MT of Plastic goods and achieved Revenue from operations of Rs 11,218 Crores during the year under review against sales of 6745

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