Press Release
SGMART · price
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SG Mart Ltd reported strong Q4FY26 results with revenue of Rs. 18.2 billion (+14% YoY) and PAT of Rs. 415 million (+25% YoY, +286% QoQ). For FY26, total revenue grew 8% YoY to Rs. 63.2 billion with PAT of Rs. 1,111 million (+7% YoY). Business EBITDA improved 33% YoY to Rs. 1,367 million with margin expansion of 40 bps to 2.2%. Operating cash flow turned positive at Rs. 3.0 billion compared to negative Rs. 2.9 billion in FY25. The company operates across 4 segments: B2B Metal Trading, Network of Service Centres, Renewable Structures, and Steel Profiling Products. Working capital days improved from 30 to 20. The company has 2,470 registered customers and 452 vendors, with net cash position of Rs. 7.5 billion.
SG Mart shows improving operational performance with margin expansion and strong cash generation. The 286% QoQ PAT jump in Q4 indicates recovery momentum. However, ROCE declined from 22% to 15% which may concern return-focused investors. The low EBITDA margins (2.2%) remain a concern for the steel trading/processing business model.