Supreme Power Equipment Bags ₹11.40 Crore Transformer Supply Order

Supreme Power Equipment Limited has secured a domestic order worth ₹11.40 crore for the manufacture and supply of heavy-duty power transformers, strengthening its order book and providing revenue visibility over the next 12 months.

The stock was trading at ₹242, compared with the previous close of ₹244.45. The company has a market capitalisation of about ₹604 crore and trades at a P/E ratio of 29.6 times, slightly above the industry median of 18.89 times.

₹11.40 crore transformer supply contract

The order has been awarded by a customer based in Karnataka and forms part of the company’s core transformer manufacturing business.

The contract is divided into two equal parts of ₹5.70 crore each, taking the total value to ₹11.40 crore. The transaction is a domestic equipment supply contract and does not involve any related-party transactions.

Supply of 20 MVA power transformers

Under the agreement, Supreme Power Equipment will manufacture and supply 20 MVA, 110/33-11 kV power transformers, which are used in transmission and distribution networks to step down high-voltage electricity for safe and efficient power delivery.

The project is scheduled to be executed over a period of approximately 12 months.

The timeline allows for:

  • Procurement of key raw materials such as copper and electrical steel
  • Manufacturing and assembly
  • Testing and quality assurance
  • Timely delivery of equipment

Strategic significance

The order provides steady business and supports revenue growth over the coming year.

It also expands the company’s customer base beyond its traditional markets by adding a client from Karnataka, helping diversify its geographical exposure.

Successful execution of the project could enhance the company’s track record in high-capacity transformers and improve its prospects for securing larger orders in the future.

Financial performance

H2 FY26 versus H2 FY25

  • Revenue increased to ₹109 crore from ₹90 crore, a rise of 21.1%.
  • Operating profit rose to ₹16 crore from ₹14 crore.
  • Operating margin stood at 15%, compared with 16% a year earlier.
  • Profit before tax remained at ₹15 crore.
  • Net profit was steady at ₹11 crore.
  • EPS stood at ₹4.41, compared with ₹4.59 in H2 FY25.

Compared with H1 FY26, revenue improved from ₹81 crore and net profit rose from ₹9 crore, indicating stronger performance in the second half of the year.

About the company

Supreme Power Equipment Limited manufactures power and distribution transformers for industrial and utility customers involved in electricity transmission and distribution.

The business is largely order-driven, with demand linked to investments in grid expansion and electrification projects. The company focuses on supplying high-capacity transformers used in critical power infrastructure.

TL;DR

Supreme Power Equipment has secured an ₹11.40 crore domestic order for the supply of 20 MVA power transformers. The project, to be executed over one year, provides revenue visibility and expands the company’s presence into Karnataka.

AI summary

  • Supreme Power Equipment won a ₹11.40 crore transformer order.
  • The contract involves supplying 20 MVA, 110/33-11 kV transformers.
  • Execution is scheduled over 12 months.
  • The deal adds revenue visibility and expands geographical presence.
  • H2 FY26 revenue rose 21.1% to ₹109 crore.
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