Suprajit Engineering Ltd-$ — Q4 FY26 earnings call
Summary generated by AI from the official transcript Suprajit Engineering Ltd-$ filed with BSE on 01 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Suprajit Engineering reported Q4 FY26 consolidated PBT of about Rs 97 crore, nearly double the prior year, with quarterly revenue crossing the Rs 1,000 crore run rate. Full-year consolidated revenue grew about 17% and EBITDA grew about 19-20%, with the SCS turnaround reaching EBITDA positive in Q4 after restructuring across Poland, Germany, Mexico and China facilities. Management also announced a renaming of its divisions and set out FY27 guidance for double-digit group revenue growth and consolidated EBITDA margin of 12% to 13.5%.
Numbers mentioned
Dividend per share: INR 3.50 (FY26)
p. 3
“We have declared a higher dividend overall for the year, INR 3.50 per share against last year’s INR 3.00.”
Ajith Kumar Rai, page 3 of the filed PDF · View the filing
Consolidated PBT: INR 97 crores (Q4 FY26)
p. 4
“Q4’s consolidated profit before tax of some INR 97 crores was almost double that of last year.”
Ajith Kumar Rai, page 4 of the filed PDF · View the filing
Full-year revenue growth: about 17% (FY26)
p. 4
“Full-year revenue grew about 17% and EBITDA grew also by about 19-20%.”
Ajith Kumar Rai, page 4 of the filed PDF · View the filing
Consolidated revenue excluding SCS: INR 3,377 crores (FY26)
p. 4
“The consolidated revenue excluding SCS for the year ended 31st March 2026 was INR 3,377 crores, as against INR 3,106 crores for the corresponding previous year, recording a growth of 8.7%.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
Consolidated operational EBITDA: INR 443 crores (FY26)
p. 4
“The consolidated operational EBITDA for the year ended March 2026 was INR 443 crores, as against INR 401 crores for the corresponding previous year, recording a growth of 10.5%.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
Standalone revenue: INR 1,840 crores (FY26)
p. 4
“The standalone revenue for the year ended March 31st, 2026, was INR 1,840 crores, as against INR 1,719 crores for the corresponding previous year, with a growth of 7.1%.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
Standalone operational EBITDA: INR 305 crores (FY26)
p. 4
“The standalone operational EBITDA for the year ended March 2026 was INR 305 crores, as against INR 298 crores, recording a growth of 2.4%.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
Total debt: INR 785 crores (March 2026)
p. 4
“The total debt level was INR 785 crores, as on March 2026.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
Surplus cash in mutual funds: INR 235 crores (March 2026)
p. 4
“The surplus cash balance invested in the mutual funds was INR 235 crores, as on March 2026.”
Medappa Gowda J, page 4 of the filed PDF · View the filing
SCD EBITDA margin: 11% (FY26)
p. 5
“We ended the year at 11% there.”
N.S. Mohan, page 5 of the filed PDF · View the filing
Controls division growth: 15% (FY26)
p. 4
“The Controls division had a 15% growth.”
Ajith Kumar Rai, page 4 of the filed PDF · View the filing
Electronics Division growth: 30% (FY26)
p. 4
“Electronics Division grew at about 30%.”
Ajith Kumar Rai, page 4 of the filed PDF · View the filing
CAPEX for FY27: about INR 200 crores (FY27)
p. 10
“We have a CAPEX allocated for about INR 200 crores.”
Akhilesh Rai, page 10 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Group revenue growth — double-digit growth · FY27
stated conditionally by Akhilesh Rai
p. 9
“Firstly, from a group revenue standpoint, we see and expect a double-digit growth this year.”
Akhilesh Rai, page 9 of the filed PDF · View the filing
Consolidated EBITDA margin — 12% to 13.5% · FY27
stated conditionally by Akhilesh Rai
p. 9
“Consolidated EBITDA, we are guiding for a 12% to 13.5% range for the year.”
Akhilesh Rai, page 9 of the filed PDF · View the filing
GCM EBITDA margin — 10% to 12% · FY27
stated conditionally by Akhilesh Rai
p. 9
“And we are expecting that this year to the EBITDA margin to be 10% to 12%.”
Akhilesh Rai, page 9 of the filed PDF · View the filing
ICM (formerly DCD) revenue growth — double-digit growth · FY27
stated firmly by Akhilesh Rai
p. 9
“We again see double-digit growth here, despite the single-digit sector outlook.”
Akhilesh Rai, page 9 of the filed PDF · View the filing
SCD revenue growth — double-digit growth · FY27
stated firmly by Akhilesh Rai
p. 9
“SCD will have another strong year of double-digit growth.”
Akhilesh Rai, page 9 of the filed PDF · View the filing
Electronics Division margin — comfortable double digit · FY27
stated conditionally by Ajith Kumar Rai
p. 15
“I think we will be in a comfortable double digit.”
Ajith Kumar Rai, page 15 of the filed PDF · View the filing
China EV customer market share — at least 20% of that customer's business · next two, three years
stated as an aspiration by Ajith Kumar Rai
p. 20
“I would say over a period of time, I think maybe in China, at least if we do not get, let us say, 20% of that customer’s share of business in the next two, three years’ time, maybe we would think that we have not been very successful.”
Ajith Kumar Rai, page 20 of the filed PDF · View the filing
301 tariff recovery case — $6 million · next three to six months
stated conditionally by Ajith Kumar Rai
p. 20
“We are in the final stages of coming to a resolution by the Court, which I am hopeful that in the next three to six months, we will hear from.”
Ajith Kumar Rai, page 20 of the filed PDF · View the filing
STC building completion — Q3 of coming quarter
stated firmly by Akhilesh Rai
p. 7
“The new STC building, we are slightly delayed, but we are expected to complete in Q3 of this coming quarter.”
Akhilesh Rai, page 7 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said confidence comes from already-won business and expects commodity cost increases to be largely passed through to customers.
Answered by Ajith Kumar Rai
Asked by Viraj Kacharia: Given cost inflation from the Middle East conflict, what gives confidence in the growth and margin guidance, especially at SCD?
p. 11
“But we will be pushing our customers for compensation for commodity prices, which have increased.”
Ajith Kumar Rai, page 11 of the filed PDF · View the filing
Management estimated underlying growth was around 12-14% after normalizing for price cuts and Phoenix Lamps.
Answered by Ajith Kumar Rai
Asked by Viraj Kacharia: Adjusting for the price reduction and Phoenix Lamps decline, what was the underlying India business growth?
p. 11
“I think we are talking about maybe 12%, 13% growth for India business.”
Ajith Kumar Rai, page 11 of the filed PDF · View the filing
Management said some tariff recoveries are yet to happen and may be affecting the margin, but was not fully certain of the cause.
Answered by Ajith Kumar Rai
Asked by Gokul Maheshwari: Is the recent gross margin softness related to tariff under-recoveries, and will it normalize?
p. 12
“Yes, the margin, there are some tariff recoveries that are yet to happen. So, maybe that is the one that is skewing the whole number.”
Ajith Kumar Rai, page 12 of the filed PDF · View the filing
Management confirmed the guidance assumes full tariff recovery.
Answered by Ajith Kumar Rai
Asked by Gokul Maheshwari: Is the SCD margin guidance dependent on tariff recoveries?
p. 12
“Yes, of course. This is a fully recovered situation.”
Ajith Kumar Rai, page 12 of the filed PDF · View the filing
Management explained DCD's operating margin is strong but absorbs corporate and STC overheads, while Phoenix Lamps margin fell due to weak top-line and Middle East/aftermarket softness, with recovery expected.
Answered by Ajith Kumar Rai
Asked by Amit Hiranandani: Why have DCD and Phoenix Lamps margins struggled, and how confident is management in maintaining margins next year?
p. 15
“DCD operating margin has remained absolutely strong and the best amongst the group divisions.”
Ajith Kumar Rai, page 15 of the filed PDF · View the filing
Management estimated $1-2 million in unrecovered tariff cost absorbed into material cost, expected to continue.
Answered by Ajith Kumar Rai
Asked by Chirag Chitrakut: What is the quantum of US tariff charged to the P&L, and will it recur in FY27?
p. 19
“It would be $1 million to $2 million as an additional charge, which is charged to the P&L, yes.”
Ajith Kumar Rai, page 19 of the filed PDF · View the filing
Management confirmed the guidance excludes any benefit from the pending $6 million tariff case.
Answered by Ajith Kumar Rai
Asked by Chirag Chitrakut: Is the $6 million Section 301 tariff case included in the margin guidance?
p. 20
“Our margin guidance is without considering that, yes.”
Ajith Kumar Rai, page 20 of the filed PDF · View the filing
Management said sourcing motors from an Indian supplier instead of China has removed the tariff exposure on that component.
Answered by Ajith Kumar Rai
Asked by Ravi Purohit: Has the shift of motor sourcing from China to India reduced tariff risk?
p. 23
“So, that has completely avoided the tariff structure.”
Ajith Kumar Rai, page 23 of the filed PDF · View the filing
Management said last year included restructuring-related costs and expects the employee cost ratio to improve this year.
Answered by Ajith Kumar Rai
Asked by Ravi Purohit: Was last year's elevated employee cost-to-sales ratio a one-off, and is 21-22% now a fair base?
p. 23
“So, from that point of view, I would expect that by this year’s number should be an improvement.”
Ajith Kumar Rai, page 23 of the filed PDF · View the filing
Risks flagged
Middle East geopolitical conflict disrupting business and raising commodity costs
p. 3
“Of course, we are currently facing the Middle East geopolitical headwind, which we hope will be resolved in the near future so that businesses do not get disrupted.”
Ajith Kumar Rai, page 3 of the filed PDF · View the filing
Unresolved US tariff matters affecting recoveries
p. 4
“On the tariff side, I think both from the customers and from the government, the recoveries are ongoing.”
Ajith Kumar Rai, page 4 of the filed PDF · View the filing
Phoenix Lamps unable to pass on commodity cost increases, pressuring EBITDA
p. 6
“This happened primarily because we were not able to pass on the price increases that happened in the commodity markets like Moly, Tungsten, etc. and also the volumes, did not grow to that extent.”
N.S. Mohan, page 6 of the filed PDF · View the filing
TRIFA brand sales decline due to Middle East conflict
p. 6
“TRIFA brand sales also was down due to Middle East conflict.”
N.S. Mohan, page 6 of the filed PDF · View the filing
Customer launch timing delays outside company's control affecting growth guidance
p. 10
“These kinds of things are not in our hands.”
Ajith Kumar Rai, page 10 of the filed PDF · View the filing
Unrecoverable Mexico steel tariffs permanently embedded in material cost
p. 19
“Mexico tariffs are ongoing. So, it will continue to be there in this year also.”
Ajith Kumar Rai, page 19 of the filed PDF · View the filing
Slow North American non-automotive off-road market demand
p. 18
“But generally, the business growth has been very tepid still.”
Ajith Kumar Rai, page 18 of the filed PDF · View the filing
Forecasts subject to change based on Middle East resolution and commodity/supply chain impact
p. 8
“Firstly, needless to say, these forecasts are subject to many changes and the Middle East situation and the commodity impact it may cause the supply chain stability globally and some customer launch timings changing as per what they have given us as a schedule.”
Akhilesh Rai, page 8 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.