Apollo Tyres Q2 Results Net Profit Decline by 37 Percent

Apollo Tyres Ltd., one of the top tyre producers in India and the world, was established in 1972. The company, which has its headquarters in Gurugram, Haryana, has grown from a minor regional player to a global enterprise that now serves more than 120 nations. Tires for passenger cars, commercial vehicles, two-wheelers, and off-road applications are among the many products that the company offers. It has maintained its position at the forefront of the industry with a strong emphasis on sustainability and high-performance products thanks to its dedication to technological advancements and innovation.

Q2 FY25 results for Apollo Tyres Ltd

On November 13, Gurugram-based Apollo Tyres Ltd. revealed that its net profit for the second quarter, which concluded on September 30, 2024, had decreased 37.3% year over year (YoY) to Rs. 297.4 crore. Apollo Tyres reported a net profit of Rs. 474 crore for the same quarter in the previous fiscal year. The company’s operating revenue climbed 2.5% to Rs. 6,437 crore from Rs. 6,280 crore during the same period last year.

Compared to Rs. 6,280 crore in the same period last year, the company’s operating revenue climbed 2.5% to Rs. 6,437 crore. Operating-wise, EBITDA fell 24.3% to Rs. 877.8 crore in the second quarter of this fiscal year compared to Rs. 1,160 crore in the same period last year. Compared to the same quarter in FY24, when the EBITDA margin was 18.5%, it was 13.6% in the reporting quarter. Earnings before interest, taxes, depreciation, and amortization is known as EBITDA.

Fundraising is being done by Apollo Tyres Ltd

The company stated that the issuance of non-convertible debentures, to be distributed in one or more tranches through private placement, was authorized by the board to raise up to Rs 1,000 crore. Onkar Kanwar, chairman of Apollo Tyres, said, “We saw a weak demand scenario in the OEM (Original Equipment Manufacturer) segment in our largest market — India, which negated the strong growth in the replacement segment.” The passenger vehicle segment, which is Apollo’s largest in that region, saw positive revenue growth for the company in Europe, he continued.

Apollo Tyres Ltd. has increased by 4% today

Apollo Tyres Ltd.’s stock is currently trading at Rs. 473.60, up almost 4% today, and it was previously trading at Rs. 478.55 per share.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.