Suprajit Engineering gains 14% on posting 161% YoY rise in Q4 profit

Suprajit Engineering shares gained 13.8 per cent on BSE, logging an intra-day high of ₹507 per share. However, at 9:43 AM, Suprajit Engineering’s share price pared some gains, but was up 11.1 per cent at ₹494.85 per share. In comparison, the BSE Sensex was up 0.1 per cent at 76,569.03. 

The buying on the counter came after the company released its Q4FY26 results on Monday, after market hours. In the March quarter, Suprajit Engineering reported a jump of 161 per cent year-on-year (Y-o-Y) in consolidated net profit to ₹71.1 crore, from ₹27.2 crore a year ago. 

Its revenue from operations came in at ₹1,041.9 crore, up 18.8 per cent Y-o-Y from ₹876.9 crore.   CATCH STOCK MARKET UPDATES TODAY LIVE 

 

The board has recommended final dividend of ₹2 per equity share of ₹1 each for the year 2025-26, making the total dividend ₹3.5 (350 per cent)against total dividend of ₹3 (300 per cent) per equity share of ₹1 each, paid during 2024-25. The aggregate dividend payout for the year under report is ₹48 crore against ₹41.14 crore paid during the previous year. 

The company, in its filing, said that the recent geopolitical conflict in West Asia has added risks of inflation, higher oil and commodity prices, etc. This further increases uncertainties in the company’s operating businesses apart from ongoing tariff and geopolitical issues. 

Apart from the geopolitical conflicts, trade restrictions by various nations have led to supply chain constraints both in terms of availability and cost pressures.  READ | City Gas Distribution stocks rally on CNG price hike; IGL jumps 5%, MGL 3%

Management commentary

The management expects overall revenue growth of the group to be in double digits. The Earnings before interest, tax, depreciation and amortisation (Ebitda) margin is expected to be in the range of 12-13.5 per cent, including the operations of the erstwhile SCS entities. However, this is subject to the following concerns:

• The ongoing turmoil and conflicts in West Asia are a major cause for concern during the current year. This has led to a significant increase in oil prices, leading to commodity price increases, inflation, transportation challenges and supply shortages.
• Delayed resolution of these conflicts could add to business uncertainties.
• The assessment for the year has been made based on customers’ expected launches of new products, which may change depending on the prevailing ground realities at the time of launch, leading to variations in business volumes.
• The company will carefully monitor these developments, and should there be a significant change in these events, revised guidance will be provided at an appropriate time.