Apollo Tires Q1 results: Apollo Tires on Wednesday, August 7 announced its April-June quarter results for the financial year 2024-25 (Q1FY25), reporting a 24 percent decline in net profit at ₹302 crore. While it was ₹397 crore last year. Same period last year. The Chennai-based tire maker’s revenue from operations rose 1.4 percent to ₹6,335 crore in the first quarter of the current financial year, compared to ₹6,244 crore in the year-ago period.
The company’s net profit has declined due to lower sales and increased raw material costs. Apollo Tires’ operating performance or EBITDA (earnings before interest, taxes, depreciation and amortization) stood at ₹909.4 crore, registering a decline of 13.5 percent compared to ₹1,051.4 crore in the year-ago period. Margins fell to 14.4 percent, from 16.8 percent in the year-ago period.
Apollo Tires Q1 results: Key metrics
Sooner this year, White Iris Investments, a accessory of private equity giant Warburg Pincus, on Wednesday sold 3.5 percent stake in Apollo Tires in a bulk deal on the BSE. The transaction, which involved 22.4 million shares priced at ₹477.35 per share, helped the company earn ₹1,073 crore.
The divestment of White Iris Investments led to buying interest from ICICI Prudential and Morgan Stanley, which acquired 0.66 percent and 0.63 percent stake respectively in Apollo Tires at the same price band.
Omkar Kanwar, Chairman, Apollo Tyres, said, “Talking about our quarterly performance, we have seen good growth in replacements and exports from India and we expect this to continue in the coming quarters as well.”
The Indian business sector suffered losses due to weak domestic demand and high rubber costs. “Europe continues to perform well in the current market conditions,” he said. Ahead of the announcement of Q1FY25 results, shares of Apollo Tires closed 1.04 percent higher at ₹520.75 on the BSE.
