SUPREME PETROCHEM LIMITED

During the earnings conference call for Q1 FY27, management reported a standalone revenue of INR 1693 crores, marking a 22% year-on-year growth, attributed to increased raw material prices despite a 24.5% decline in sales volume. The operating EBITDA rose to INR 331 crores, with margins improving to 19.53%. Management noted that geopolitical tensions in West Asia disrupted supply chains, affecting exports and leading to elevated styrene monomer prices. They established alternate supply arrangements to meet domestic demand. Expansion projects were discussed, including a new polystyrene production line and increased compounding capacity, with a total investment of INR 450 crores planned. Management indicated that the demand from the non-OEM segment was subdued, while OEM demand remained stable. They emphasized a long-term view on capacity expansion despite current market challenges.

Management highlighted both growth in revenue and challenges in volume sales due to external factors.