Sleepwell mattress maker Sheela Foam hits 20% upper circuit after strong Q4 results, dividend announcement

The stock advanced as much as 20% to ₹652 per share, its upper-price band level, on the National Stock Exchange (NSE). At 9:35 am, it was up 16.38% to ₹632.35 apiece.

Sheela Foam Q4 results

Sheela Foam posted a 597.85% increase in its consolidated profit after tax to ₹91.28 crore in the March quarter of the financial year 2025-26. The company had reported a net profit of ₹13.08 crore in the year-ago period, according to an exchange filing.

Revenue from operations stood at ₹1,050.06 crore in January-March 2025-26, up 23.59% year-on-year (YoY) from ₹849.61 crore in the year-ago period.

The company's board also approved and recommended a final dividend of 20%, i.e., ₹1 per share (face value of ₹5 each) for FY26. The dividend will be paid within 30 days from the date of approval from shareholders.

During the quarter under review, the mattress segment registered volume growth of 13%, and the foam segment climbed by 34%.

Core EBITDA grew by 90% to ₹121 crore in the fourth quarter FY26 from ₹64 crore a year back, with margins expanding by 400 bps to 11.5% from 7.5% YoY backed by higher volumes, improved gross margins and operating leverage, Sheela Foam said in an exchange filing.

Commenting on earnings, Rahul Gautam (Chairman & Managing Director) said, "Fiscal year 2026 has been a year of realising the benefits of the Kurlon acquisition and its integration with Sheela Foam. Both Sleepwell and Kurlon brands delivered strong growth, while the foam segment also recorded commendable momentum. This broad-based performance has translated into healthy growth across both revenue and profitability."

"I am pleased to share that the company has achieved its highest-ever turnover and EBITDA in its history, reflecting the strength of our integrated platform, focused execution and continued commitment to profitable growth," he added.