Supreme Industries Q1 Review - Subdued Performance Marred By Second Wave Of Covid-19: IDBI Capital

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

IDBI Capital Report

Supreme Industries Ltd.’s Q1 FY22 result was below our and consensus estimates.

Statewide lockdowns amid second wave of Covid-19 dented product sales volume in April and May, particularly for agri-pipes which generally attracts higher traction pre-monsoon.

Supreme Industries reported net sales of Rs 13.4 billion, declined by 23.7% YoY, while Ebitda came in at Rs 2.2 billion, a robust growth of 89.6% over Q1 FY21.

It reported net profit of Rs 1.7 billion, higher by 319% YoY.

Higher sale of value added products supported margins expansion despite lower net sales in Q1 FY22.

The management reiterated to remain focused on capacity addition and increasing share of value added products in total sales in future.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.