Synopsis:-Supreme Power Equipment Limited has reported consolidated total income of Rs.182.10 crore for FY2026, up 21.78 percent year-on-year, alongside the commissioning of a new Kannur facility that expands annual manufacturing capacity from 2,500 MVA to 9,000 MVA; with an order book of Rs.588.17 crore as of May 27, 2026.
Shares of an NSE Emerge-listed power transformer manufacturer came into focus after the company filed audited financial results and a press release for the half-year and year ended March 31, 2026 on June 1, 2026. The filing confirmed a year of double-digit revenue growth and a transformative capacity expansion, with commercial production at the new facility having commenced in February 2026.
With a market capitalization of Rs.583.54 crore, the shares of Supreme Power Equipment Limited were last recorded at Rs. 233.5 per share, down 0.45 percent from its previous close of Rs.234.55 . It is trading at a P/E of 28.35.
On a consolidated basis, total income for FY2026 stood at Rs. 182.10 crore, up 21.78 percent from Rs. 149.54 crore in FY2025. EBITDA grew 14.52 percent to Rs. 33.29 crore, while net profit rose 9.89 percent to Rs. 20.44 crore. Full-year EPS came in at Rs. 8.15 against Rs. 7.44 in FY2025.
The revenue growth is creditable for a company of this scale. However, the profit expansion trail is narrower than the revenue increase, and that gap points to a margin squeeze. EBITDA margin contracted from approximately 19.4 percent in FY2025 to around 18.3 percent in FY2026, and net profit margin thinned from roughly 12.4 percent to 11.2 percent. The drag is partly attributable to ramp-up costs at the new Kannur facility, which only started commercial production in February 2026 a partial-year contribution that carries full overhead. If utilization at the new plant improves through FY27, margin recovery is plausible, but it is not guaranteed.
One disclosure quirk in the filing deserves mention: the consolidated results table compares H2 FY26 against “H1 FY25” rather than H2 FY25, which makes the 41.66 percent half-year growth figure misleading as a YoY comparison. Readers should rely on the full-year numbers, which are on a proper like-for-like basis.
Capacity Expansion
The more consequential development is not the FY26 income statement but what happened to the company’s manufacturing infrastructure. The Kannur facility, located in Thiruvallur District near Chennai, is capable of producing transformers up to 200 MVA and 220 kV, a significant step up from the prior ceiling of 25 MVA/132 kV. Annual manufacturing capacity has moved from 2,500 MVA to 9,000 MVA, a 3.6x increase.
The company places the revenue potential of this facility at Rs. 500–550 crore at optimal utilization. Against FY26 consolidated revenue of Rs. 182 crore, that implies revenues would need to roughly treble to fill the new capacity. Achieving that will depend on order conversion rates, execution timelines, and working capital, all of which deserve attention as the company scales.
The new capability, particularly the 200 MVA/220 kV rating opens doors to utility transmission projects, renewable energy grid connections, and data centre infrastructure, categories that were previously inaccessible given the prior capacity ceiling.
Order Book and Recent Wins
The order book stood at Rs. 588.17 crore as of May 27, 2026, representing approximately 3.23 times FY26 consolidated revenue. This provides meaningful revenue visibility heading into FY27 and FY28.
Recent order inflows driving the pipeline include Rs. 264.27 crore from Karnataka-based EPC companies for 20 MVA, 110/11 kV, 66/11 kV, and 110/33-11 kV power transformers; Rs. 57 crore from Kerala State Electricity Board for 25 MVA, 110/33 kV power transformers; and Rs. 159.94 crore from Tamil Nadu Power Distribution Corporation for distribution transformers across varied capacities. Together these three order categories account for Rs. 481.21 crore, spread across state utilities and EPC-driven infrastructure, a reasonably diversified customer base for a company of this size.
Business Overview
Supreme Power Equipment Limited was founded in 1994 as a partnership firm and later incorporated in 2005. The Tamil Nadu-based company specialises in manufacturing power and distribution transformers. With three decades of industry experience, the company has manufactured over 20,756 transformer units and supplies to state electricity utilities across South India.
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