Synopsis:
Supreme Power Equipment Ltd has delivered a strong performance in Q1 FY26, marked by healthy order inflows, a robust sales and profit trajectory, and fundraising plans to support future growth.
In Q1 FY26, the company secured fresh orders, taking the total order book to approximately Rs. 198.12 crore. To strengthen its balance sheet, the company has also announced plans to raise funds. On the financial front, sales grew 50% YoY and 38% QoQ, while net profit surged 31% YoY and 40% QoQ.
With market capitalization of Rs. 542 cr, the shares of Supreme Power Equipment Ltd are currently trading at Rs. 216 per share from its previous close of Rs. 217.55 per share.
News
Supreme Power Equipment Ltd. posted a strong YoY performance in Q1FY26, with sales rising 50% to Rs. 38.2 crore from Rs. 25.4 crore in Q1FY24. EBIDT grew 30% to Rs. 5.52 crore, while net profit increased 31% to Rs. 4.45 crore. EPS also improved 31% to Rs. 1.78, reflecting consistent growth across all key financial metrics.
In Q1 FY26, the company reported strong performance with fresh orders worth Rs. 106.58 crore, including its largest ever single order of Rs. 60.90 crore, boosting the total order book to around Rs. 198.12 crore. To further strengthen its balance sheet and support expansion, the company announced a fundraise of Rs. 21.07 crore. Financially, sales rose 50% YoY while net profit grew 31% YoY.
Management Commentary
Supreme Power Equipment Ltd. (SPEL) has started FY26 strongly with record order inflows, including its largest-ever order from NLC India and repeat business from TNPDCL. The company also entered Karnataka through an order from KPTCL, while renewable energy projects continue to boost its presence in high-growth sectors.
With an order book of about Rs. 198.12 crore and a planned Rs. 21.07 crore fundraise for capacity expansion and technology upgrades, SPEL expects sustained growth momentum in FY26 and remains confident of creating long-term value for stakeholders.
About the company
Supreme Power Equipment Ltd (SPEL) is engaged in the manufacturing and supply of power and distribution transformers, catering mainly to utilities, state electricity boards, and industrial clients. The company provides energy-efficient and reliable electrical equipment that supports power transmission and distribution infrastructure. Its focus is on delivering high-quality products while expanding its presence in both domestic and international markets.
The company has showcased strong financial efficiency with a ROCE of 27.5% and a ROE of 22.4%. The company has delivered an impressive profit growth of 117% CAGR over the last five years, supported by a healthy 3-year ROE track record of 30.6%.
Operational metrics have also improved significantly, with debtor days reducing from 141 to 110 and working capital requirements coming down sharply from 82.9 days to 46.5 days, reflecting better cash flow management and overall business efficiency.
Written by Manideep Appana
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