Supreme Petrochem Ltd , a leading petrochemical company, reported a significant decline in its second-quarter profits, while also announcing an interim dividend for its shareholders.

Financial Performance

The company's financial results for Q2 paint a picture of reduced profitability amidst challenging market conditions:

Supreme Petrochem experienced a substantial 46.7% year-over-year decline in net profit, which dropped to ₹481.90 crore from ₹903.40 crore in the same quarter last year. Revenue also saw a significant decrease of 26.9%, falling to ₹1,100.00 crore from ₹1,504.00 crore in the corresponding period.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) contracted sharply by 59.6% to ₹50.50 crore, compared to ₹125.00 crore in Q2 of the previous fiscal year. Consequently, the EBITDA margin narrowed to 4.59% from 8.32%, representing a decline of 373 basis points.

Dividend Announcement

Despite the challenging quarter, Supreme Petrochem's Board of Directors has declared an interim dividend of ₹2.50 per equity share. This dividend represents 125% of the face value of ₹2 per share.

Operational Highlights

The company reported significant developments in its manufacturing capabilities:

1. Supreme Petrochem commissioned its first line of the ABS (Acrylonitrile Butadiene Styrene) project with a capacity of 70,000 TPA at Amdoshi, Dist Raigad, Maharashtra. This project, under license from M/s Versalis S.P.A., Italy, commenced production on September 25, 2025.

2. The company also expanded its ABS Compounding facility, which began production in September 2025.

These operational expansions may potentially contribute to the company's future performance and market position in the petrochemical industry.

Market Implications

The significant decline in profitability and revenue might raise concerns among investors about the company's short-term outlook. However, the declaration of an interim dividend and the expansion of production facilities suggest that the management maintains a positive long-term view on the company's prospects.

Investors and market analysts will likely keep a close watch on how Supreme Petrochem navigates the current challenging environment and whether the new production facilities will help in improving the company's financial performance in the coming quarters.

Supreme Petrochem Ltd , a leading petrochemical company, has announced a board meeting scheduled for October 24, 2025. The meeting, set to commence at 3:30 p.m., will address several key financial matters that may interest investors and market watchers.

Key Agenda Items

The board meeting will focus on the following primary agenda items:

1. Financial Results Review: The board will consider and approve the standalone and consolidated unaudited financial results for the second quarter and half year ended September 30, 2025. This review will include the statement of assets & liabilities and cash flow statement.

2. Interim Dividend Consideration: The board will deliberate on the possibility of declaring an interim dividend on the paid-up equity share capital for the financial year 2025-2026.

3. Record Date Determination: If an interim dividend is approved, the board will also fix the record date for determining eligible shareholders.

Meeting Details

Trading Window Closure

In compliance with insider trading regulations, Supreme Petrochem has implemented a trading window closure:

This measure is designed to prevent insider trading and ensure fair market practices during the sensitive period leading up to and following the financial results announcement.

The company has stated that this information will be available on its official website ( www.supremepetrochem.com ) as well as on the websites of BSE Limited ( www.bseindia.com ) and the National Stock Exchange of India ( www.nseindia.com ).

Investors and stakeholders are advised to monitor these official channels for updates following the board meeting, as the decisions made could potentially impact the company's stock performance and dividend payouts.