Ceat sees Camso integration extending into 2027

Mumbai, India – Ceat Ltd expects to complete the integration of its acquired Camso off-highway tire and track operations by the first quarter of FY2028, which starts 1 April 2027.

The Indian tire maker had previously targeted completion by the end of FY2027, but the work could extend into the following quarter, managing director and CEO Arnab Banerjee said during a 15 Oct earnings call.

"We did say that it will be by end of this financial year. It may spill over to quarter one of next year," Banerjee said.

However, he stressed that "there is no significant delay," adding that Ceat expected to ramp up the complete manufacturing value chain during the quarter ending June 2027.

The company has already transferred around 85% of Camso customers to its own operations and expects to complete the remaining transition during the third quarter of FY2027.

Ceat said it also has established local entities in the US, Canada, UK, France, Germany and Poland, enabling it to serve customers directly rather than exporting from Sri Lanka.

Meanwhile, Banerjee said capacity utilisation at the Sri Lankan facility remains below 50%, 'leaving significant room for expansion.'

The company expects Camso volumes to increase by around 20% in the second half of FY2027 compared with the first six months.

Ceat is budgeting INR1–1.5 billion (€10–14 million) for upstream manufacturing equipment during the current financial year, in addition to its planned INR14 billion standalone capital expenditure.

According to the Ceat leader, the business is expected to approach EBITDA break-even or turn positive during the second half, with further improvements anticipated in FY2028.

Ceat acquired Michelin's Camso off-highway tire and rubber track business in September 2025, including manufacturing operations in Sri Lanka, as part of its expansion into international speciality tire markets.  (ERJ report)