JK Tyre reports soaring profits, income in H1

ERJ staff report (DS)

New Delhi, India -- JK Tyre & Industries Ltd has reported strong results for the six months ended 31 March 2008. Gross sales were up to Rs 17 636 million (Euro 280 million) from Rs15920 million (Euro 252.8 million) a year earlier. Profit before interest and tax stood at Rs 1200 million, compared with Rs 766 million a year earlier

The board said this had been achieved by a 'relentless drive to reduce costs and improve efficiency," JK Tyre also said the company has bid for 100 percent of the shares in Tornel in Mexico, which will give it free access to the NAFTA markets. JK said that the acquisitin would bring daily capacity to 940 tonnes perday, making it India's largest tyre maker (excluding those making 2-wheeler tyres), with a turnover above $1000 million per year.

In a press release, the comapny said, "The Expansion of capacities in the Truck/Bus Radials, OTR and manufacture of Specialty tyres an an outlay of Rs.480 crores (Euro 76 million) is well under implementation. To part finance the expansions, the Board has already announced Rights Issue of one Equity Share for 3 shares held. The Company has already tied up all the finances for these Expansion projects."

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Results from JK TYre

Press release from JK Tyre (via infibeam blog)