Supreme Industries lifts Q4 operating margin to 17.66%
Revenue grew 16.54% YoY while expenses rose 11.25%, though other income contributed 10.9% of pre-tax profit.
Filed 27 Apr 2026, 12:50 IST · Supreme Industries Ltd (SUPREMEIND)
Key takeaways
- Consolidated operating margin expanded 5.98 percentage points sequentially to 17.66% as revenue growth outpaced expense growth.
- Net profit rose 47.50% year on year to Rs 433.57 cr, despite a 1.66 percentage-point rise in the tax rate.
- The stock's initial +0.78% response was below its 3.25% median absolute post-results move, but it was down 5.94% after 15 sessions.
Price around the results
Revenue growth outpaced costs in Q4FY26
Supreme Industries reported consolidated revenue growth of 16.54% year on year and 31.29% sequentially. Expenses grew more slowly, at 11.25% YoY and 22.39% QoQ, lifting operating profit growth to 49.69% YoY and 98.58% QoQ. The result was a 3.91 percentage-point margin expansion from Q4FY25 and a 5.98 percentage-point expansion from Q3FY26.
Margin rebound came with a meaningful non-operating contribution
Other income contributed 10.9% of pre-tax profit, so reported earnings included a material non-operating component. The sequential tax-rate decline of 3.97 percentage points also supported the 182.70% QoQ rise in net profit. Year on year, however, the tax rate increased by 1.66 percentage points, while interest expense rose 203.37%.
Operating margin moved above the Industrials peer median
The 17.66% operating margin was 2.00 percentage points above the 15.66% median for 71 Industrials companies that had reported the same quarter. This marks a sharp recovery from the 11.68% margin in Q3FY26, after margin had declined from 12.42% in Q2FY26.
Initial market reaction was muted, followed by a wider decline
The stock opened 1.01% higher and ended the results session up 0.78%, with volume at 2.98 times normal. That initial move was smaller than the 3.25% median absolute move across its eight recent results reactions, which were evenly split between four rises and four falls. The stock was down 0.90% after five sessions and 5.94% after 15 sessions.
Q4FY26 at a glance
Consolidated figures as filed with NSE — cross-checked against an independent source.
| Line item | Q4FY26 | Q3FY26 | QoQ | YoY |
|---|---|---|---|---|
| Revenue | ₹3,528 cr | ₹2,687 cr | +31.29% | +16.54% |
| Other income | ₹60 cr | ₹13 cr | +357.51% | +33.38% |
| Expenses | ₹2,905 cr | ₹2,373 cr | +22.39% | +11.25% |
| Operating profit | ₹623 cr | ₹314 cr | +98.58% | +49.69% |
| Operating margin (%) | 17.66% | 11.68% | — | — |
| Interest | ₹9 cr | ₹11 cr | -20.96% | +203.37% |
| Depreciation | ₹121 cr | ₹110 cr | +10.85% | +32.87% |
| Profit before tax | ₹553 cr | ₹206 cr | +168.37% | +50.63% |
| Tax | ₹119 cr | ₹53 cr | +126.68% | +63.17% |
| Net profit | ₹434 cr | ₹153 cr | +182.70% | +47.50% |
| EPS (₹) | ₹34.13 | ₹12.07 | +182.77% | +47.49% |
Operating margin of 17.66% compares with a Industrials sector median of 15.66% across 71 peers that have reported Q4FY26.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | +0.78% | -0.04% |
| Next session | -0.88% | — |
| 5 sessions | -0.90% | -1.46% |
| 15 sessions | -5.94% | — |
| 30 sessions | -4.79% | — |
Volume on the results session was 2.98× its 20-day average.
What to watch
- Whether consolidated operating margin holds above 17.66% after the Q4FY26 rebound.
- Whether expenses continue to grow slower than revenue, as they did at 11.25% versus 16.54% year on year.
- Whether other income remains near 10.9% of pre-tax profit.