SG Mart Limited , a rapidly growing B2B construction materials marketplace, has announced its financial results for the first quarter of fiscal year 2026, demonstrating resilience in the face of subdued industry demand and cautious buyer sentiment across infrastructure and construction sectors.

Financial Highlights

• Revenue from operations stood at ₹1,143.77 crore, a marginal increase of 1% year-over-year (YoY)
• Net profit after tax rose to ₹32.31 crore, marking a significant 23% YoY growth
• Business EBITDA improved to ₹359.00 million, up 45% YoY
• Business EBITDA margin expanded by 96 basis points YoY to 3.10%

Operational Performance

SG Mart has continued to expand its product offerings and customer base:

• The company now offers more than 48 product categories, encompassing over 4,000 SKUs
• Registered customers increased to 2,312, up from 2,257 at the end of the previous quarter
• Registered suppliers grew to 246, compared to 225 in the preceding quarter

Strategic Developments

1. Expansion into Renewables: SG Mart has ventured into the renewables sector by launching the supply of solar mounting structures, diversifying its product portfolio.

2. Service Center Network: The company operates five service centers and plans to add 5-7 new centers each year, enhancing its distribution capabilities.

3. New Product Lines: In response to increasing demand, SG Mart has introduced tiles, cement, bath fittings, laminates, and paints to its product range.

4. Board Changes: The company announced the appointment of Shri Arun Agarwal as a Non-Executive Director and the resignation of Shri Shiv Kumar Bansal as Whole Time Director, effective July 31, 2025.

5. Employee Stock Option Plan: SG Mart has approved the institution of the 'SG Mart Employees Stock Option Plan 2025', with a pool of 20,00,000 options, subject to shareholder approval.

Management Commentary

Mr. Shiv Bansal, Joint MD of SG Mart, commented on the results: "Q1FY26 has been a muted quarter for the steel industry overall, largely due to macroeconomic headwinds, moderated infrastructure spending, and fluctuating raw material prices. We remain focused on strengthening our distribution capabilities, deepening customer engagement, and expanding our service centre network."

Future Outlook

Despite the challenging market conditions, SG Mart remains optimistic about its growth prospects. The company is emphasizing operational efficiency, inventory agility, and strategic partnerships to navigate volatility and prepare for the anticipated recovery in Q2FY26. With its strong platform and focus on network expansion, branded product penetration, and diversification into green infrastructure solutions, SG Mart is well-positioned to capitalize on India's infrastructure boom and drive long-term value for its stakeholders.

As SG Mart continues to evolve its business model and expand its reach, investors and industry observers will be keenly watching the company's performance in the coming quarters, particularly as it navigates the current market challenges and positions itself for future growth opportunities in India's dynamic construction materials sector.

SG Mart Limited , a rapidly growing B2B construction materials marketplace, has announced its financial results for the first quarter of fiscal year 2026, demonstrating resilience in the face of industry challenges.

Financial Highlights

For Q1 FY26, SG Mart reported:

• Consolidated revenue of ₹1,143.77 crore, a modest 1% year-on-year increase
• Net profit of ₹32.31 crore, up 23% from the same quarter last year
• Business EBITDA of ₹35.90 crore, showing a significant 45% year-on-year growth
• EBITDA margin improved to 3.1%, up 96 basis points year-on-year

Operational Performance

Despite a challenging market environment, SG Mart continued to expand its reach:

• Registered customers increased to 2,312 by the end of Q1 FY26
• Registered suppliers grew to 246
• The company maintained a robust product portfolio with over 4,000 SKUs across 48 product categories

Strategic Developments

1. New Director Appointment: The Board approved the appointment of Arun Agarwal as a Non-Executive Director, effective July 25, 2025, subject to shareholder approval.

2. Director Resignation: Shiv Kumar Bansal, Whole Time Director, resigned effective July 31, 2025, citing personal reasons.

3. Employee Stock Option Plan: The company approved the institution of 'SG Mart Employees Stock Option Plan 2025', covering 20 lakh options exercisable into equity shares of ₹1 face value each.

4. Secretarial Auditor Appointment: M/s. Parikh & Associates were recommended as Secretarial Auditors for a five-year term, pending shareholder approval.

Management Commentary

Mr. Shiv Bansal, Joint MD of SG Mart, commented on the results: "Q1 FY26 has been a muted quarter for the steel industry overall, largely due to macroeconomic headwinds, moderated infrastructure spending, and fluctuating raw material prices. We remain focused on strengthening our distribution capabilities, deepening customer engagement, and expanding our service centre network."

Future Outlook

Looking ahead, SG Mart is positioning itself to capitalize on India's infrastructure boom. The company plans to focus on:

1. Network expansion
2. Branded product penetration
3. Diversification into green infrastructure solutions

With a strong platform in place and strategic initiatives underway, SG Mart aims to navigate market volatility and drive long-term value in the evolving construction materials sector.

Note: All financial figures are based on consolidated results unless otherwise specified.