Supreme Industries shares surge 13% on strong Q4 results and expansion plans
Upstox
2 min read • Updated: April 29, 2024, 1:02 PM
Summary
Supreme Industries witnessed a significant uptick in its share price, surging more than 13 following the release of its strong financial results for the March quarter. The company reported a notable 33% increase in sales volume, reaching 195,369 MT compared to the previous year. Also, the company demonstrates robust financial performance and ambitious growth initiatives.
Shares of India’s leading plastic products maker Supreme Industries jumped more than 13% on Monday, April 29, after the company reported strong financial results for the March quarter.
Supreme Industries shares gained as much as 13.8% to hit a 52-week high of ₹4,939 per share on the NSE in morning trade. More than 10 lakh shares of the company changed hands on the stock exchange.
As of 12:45 pm, the stock was trading 12.9% higher at ₹4,898 per share on the NSE.
Supreme Industries last week reported a 33% jump in sales volume for the March quarter. Plastics goods sold rose to 195,369 MT in the March quarter compared to 147,414 MT in the March quarter of FY23, according to a company release.
The company reported a 16% growth in total income in Q4 of FY24 to ₹3025.99 crore compared to ₹2,609.61 crore in Q4 of FY23.
Standalone profit after tax was marginally up at ₹314.48 crore in the March quarter compared to ₹310.56 crore in the year-ago period.
The overall turnover of value-added products increased to ₹3,737 crore compared to ₹3,329 crore in the previous year, achieving growth of 13%.
The company also announced that its board has recommended a final dividend of ₹22 per equity share of ₹2 each or 1100% for the year ended 31st March, 2024. The company had announced an interim dividend of ₹8 per share earlier. Total dividend payout will be ₹30 per share for FY 2023-24.
Total outflow for dividend shall absorb a sum of ₹381 crores as against ₹ 330 crores in the previous year, the company said.
The company also announced that it has plans to invest ₹1,500 crore as capital expenditure. The company plans to set up a manufacturing facility at Malanpur, Madhya Pradesh, to manufacture varieties of Industrial valves and Ball valves and likely to go into production during the second quarter of current year.
It also plans to put up a manufacturing facility at Kanpur to manufacture uPVC Profiles/Windows & Doors. The first phase of production is planned to commence by June 2025.