Jindal Supreme Top 10 Suppliers Made Up to 76.23% of Purchases

Jindal Supreme (India) Limited reported that its top 10 suppliers accounted for 70.92% to 76.23% of raw-material purchases across Fiscal 2024, Fiscal 2025, Fiscal 2026 and the period ended June 30, 2026. The highest concentration was 76.23% in Fiscal 2026, when the top 10 supplied purchases worth Rs 474.1204 crore.

How concentrated were Jindal Supreme’s top 10 supplier purchases?

Jindal Supreme’s top 10 suppliers made up more than 70% of purchases in every disclosed period, with their share ranging from 70.92% in Fiscal 2025 to 76.23% in Fiscal 2026. The company defines the figures as purchases of raw materials, which include inputs required for its manufacturing processes. The Fiscal 2026 top-10 purchase amount was Rs 474.1204 crore, compared with Rs 388.9845 crore in Fiscal 2025 and Rs 456.6081 crore in Fiscal 2024.

The concentration ratio declined by 4.81 percentage points from 75.73% in Fiscal 2024 to 70.92% in Fiscal 2025, then increased by 5.31 percentage points to 76.23% in Fiscal 2026. For the period ended June 30, 2026, the top 10 suppliers accounted for Rs 107.5572 crore, or 72.31%, of purchases. Jindal Supreme states that financial information for the period ended June 30, 2026 is not indicative of full-year results and is not comparable with annual financial statements.

Jindal Supreme did not disclose the names of the suppliers in the top-10 tables, citing confidentiality reasons. It also says suppliers included in the rankings for one fiscal or period may not be the same suppliers in another. The disclosures therefore establish concentration among the largest suppliers in each period, but do not establish that the same 10 entities accounted for purchases throughout Fiscal 2024 to the period ended June 30, 2026.

Which Jindal Supreme supplier positions accounted for the largest purchases?

Jindal Supreme’s two largest supplier positions accounted for 38.15% of purchases in the period ended June 30, 2026. Supplier 1 supplied Rs 29.8465 crore, or 20.07% of purchases, while Supplier 2 supplied Rs 26.8901 crore, or 18.08%. The remaining eight suppliers in the top 10 accounted for 34.16% of purchases in that period.

Fiscal 2026 shows a larger share concentrated among the first three ranked supplier positions. Supplier 1 represented 19.21% of purchases, Supplier 2 represented 15.85%, and Supplier 3 represented 14.61%, making their combined share 49.67%. The Fiscal 2026 top-10 group represented 76.23%, leaving 23.77% of purchases with suppliers outside the 10 largest positions.

The supplier rankings cannot be linked to named entities because Jindal Supreme withheld their identities and says the composition can change between periods. The company nevertheless identifies an operating risk: if a supplier cannot provide a required specific raw material, Jindal Supreme may need to procure it from another supplier without assurance of obtaining the same price or meeting the same delivery timeline. It also says a supplier may need replacement where products or services do not meet safety, quality or performance standards.

What does Jindal Supreme disclose about VVJ Enterprise purchases?

Jindal Supreme identifies VVJ Enterprise Private Limited, formerly J J Jindal Infin Private Limited, as one of the suppliers included in its supplier data. VVJ Enterprise is part of Jindal Supreme’s promoter group and is a related party, meaning an entity connected to the company through a specified relationship. Purchases from VVJ Enterprise were Rs 37.3637 crore in Fiscal 2025 and Rs 40.3622 crore in Fiscal 2024.

Purchases from VVJ Enterprise fell by Rs 2.9985 crore between Fiscal 2024 and Fiscal 2025. Jindal Supreme does not disclose VVJ Enterprise purchase amounts for Fiscal 2026 or the period ended June 30, 2026. It also does not disclose VVJ Enterprise’s ranking among the top 10 suppliers, so the available figures do not establish its proportion of total purchases or whether its purchasing share changed after Fiscal 2025.

Jindal Supreme states that all related-party transactions were carried out at arm’s length and in compliance with the Companies Act, 2013, Indian Accounting Standard 24, or Ind AS 24, and applicable regulations. Arm’s length describes transactions conducted on terms comparable to those between unrelated parties. Jindal Supreme further states that related-party transactions after the issue will remain subject to approvals required under applicable laws and Securities and Exchange Board of India Listing Regulations.

How can supplier concentration affect Jindal Supreme’s costs and operations?

Jindal Supreme says reliance on a select supplier group may constrain its ability to negotiate procurement arrangements and may affect uninterrupted raw-material supply. This exposure is material to the cost structure because raw-material purchases were Rs 601.9467 crore, equal to 93.21% of total expenses, in Fiscal 2026. A delay, shortage or inability to supply a specified input could disrupt manufacturing operations, according to the company’s risk disclosure.

Raw-material purchases represented 93.40% of total expenses in Fiscal 2025, when the amount was Rs 534.5993 crore, and 92.77% in Fiscal 2024, when the amount was Rs 589.8094 crore. For the period ended June 30, 2026, raw-material purchases were Rs 143.2702 crore, or 79.57% of total expenses. The partial-period percentage differs from the annual ratios, but Jindal Supreme cautions that the June 30, 2026 financial information is not comparable with annual results.

Jindal Supreme identifies Mild Steel Coils, MS Hot-Rolled Coil and galvanizing materials as primary raw materials. It says the prices of these materials are volatile and influenced by factors outside its control. A supply interruption could therefore require Jindal Supreme to find alternative material while facing the prospect of a different procurement price, which the company says could affect margins and financial performance.

Jindal Supreme also requires working capital, or funds used to finance day-to-day operating needs, for raw-material procurement. Its working-capital requirement rose to Rs 131.4725 crore in Fiscal 2026 from Rs 91.0054 crore in Fiscal 2025 and Rs 72.3949 crore in Fiscal 2024. Fiscal 2026 funding comprised Rs 89.8182 crore of borrowings and Rs 41.6543 crore of internal accruals, making supplier payment terms and financing availability relevant to procurement continuity.

Conclusion

Jindal Supreme’s disclosures show that supplier concentration persisted across four reporting periods, with the top 10 suppliers accounting for 70.92% to 76.23% of purchases. The Fiscal 2026 figure of 76.23%, together with the 49.67% share supplied by the first three ranked supplier positions, indicates that procurement depends substantially on a limited group in each reported period. Purchases from promoter-group related party VVJ Enterprise added Rs 40.3622 crore in Fiscal 2024 and Rs 37.3637 crore in Fiscal 2025.

The next disclosure to watch is whether Jindal Supreme reports Fiscal 2026 or later-period purchase values from VVJ Enterprise, and whether the top-10 supplier share changes from the 72.31% reported for the period ended June 30, 2026. Jindal Supreme has disclosed that future related-party transactions after the issue will require applicable approvals, but it has not disclosed a plan to reduce supplier concentration or identify alternative suppliers.