Supreme Industries now anticipates only single-digit growth for its P&F business for the full financial year, compared to its earlier guidance of 15% to 16%.
The company also said that its Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) margin for the fourth quarter is likely to be similar to the December quarter due to lower PVC resin prices compared to higher procurement cost.Supreme Industries’ procurement price also remains higher than market prices because of Chinese imports, which could lead to continued margin pressure in the fourth quarter, the brokerage said.
For the full financial year, Supreme Industries is anticipating double-digit growth in its agriculture volume, plumbing growth to remain flat and infrastructure volumes to decline on a year-on-year basis.A slowdown in overall pipe volumes and flat plumbing volumes will result in single-digit to high-double-digit volume growth in financial year 2026, the company said.
Prabhudas Lilladher expects Supreme Industries revenue and EBITDA to grow at a Compounded Annual Growth Rate (CAGR) of 13% and 16.4%, while net profit CAGR is anticipated at 18.6% between financial year 2025-2027. EBITDA margin is likely to expand by 80 basis points over the same time frame.
Of the 26 analysts that have coverage on the stock, 16 have a “buy” rating, six have a “hold” rating and four have a “sell” rating.
Shares of Supreme Industries are trading 4.5% lower at ₹3,372.1. The stock is down 48% from its peak of ₹6,460.
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