SG Mart Ltd Q3 FY26 – ₹1,644 Cr Quarterly Revenue, 42× P/E, 1.9% Margins & ₹600 Cr Capex: Retail Mall Valuation on Wholesale Margins?

1. At a Glance – The 30-Second Reality Check

SG Mart is that stock which looks like a construction material Amazon on the surface but behaves like a thin-margin kirana store in the P&L. Market cap of ₹4,361 Cr, current price ₹349, trailing P/E of 42.4, ROE 9%, ROCE 11.3%, operating margin 1.93%, and quarterly PAT ₹10.7 Cr despite doing ₹1,644 Cr of Q3 revenue.

Yes, this is a company selling steel, tiles, wires, and literally everything that can fall on your foot at a construction site — but earning margins thinner than tissue paper.

Promoters? Reduced from 75% to 36% over time.
Other income? ₹77 Cr doing heavy lifting in earnings.
Capex? ₹600 Cr announced.
Valuation? Priced like a tech platform, operating like a distributor.

This is not a boring stock. It is a confusing stock. And confusing stocks are where retail emotions and institutional spreadsheets fight daily.

So let’s unpack this properly — without hopium.

2. Introduction – From Kintech Renewables to Steel Supermarket

SG Mart was earlier called Kintech Renewables Ltd — which already tells you that the current business model is not what the original shell was built for.

Post change in control, the company reinvented itself as a tech-enabled B2B construction material marketplace, offering 27+ product categories and 2,500+ SKUs.

Think of it as:

“We don’t manufacture steel, we move steel. We don’t make tiles, we move tiles. We don’t invent margins, we survive on volumes.”

The takeover story added masala — relatives of Sanjay Gupta of APL