Supreme Industries Ltd.'s (SIL) Q3FY21 result was ahead of our and consensus estimates on all parameters. Strong demand traction in agri segment led to healthy volume growth, while lower raw material cost aided operating margin improvement. The company reported net sales of Rs18.4bn, increased by 34.3% YoY, while EBITDA came in at Rs4bn, a robust growth of 81.7% over Q3FY20. It reported net profit of Rs3.1bn, higher by 153% YoY. Our interaction with the management suggest that SIL will remain focused on capacity addition, new products launches and increasing share of value added products to strengthen future earnings growth. To factor in margins beat and...