Gurgaon, India – Apollo Tyres Ltd has seen a strong rebound in sales and operating profit in the second quarter of its financial year, ending 30 March 2021.
Operating profit for the quarter rose 40% year-on-year to Rs 7.3 billion (€85.4 million) on 8% higher sales of Rs 42.3 billion, Apollo announced 4 Nov. Net profit for the quarter jumped 58% to Rs 2 billion.
Over the half-year period, operating profit was up 6% at Rs10 billion, while sales declined 13% to Rs 7.2 billion. First half net profit fell 71% to Rs 650 million, reflecting a net loss of Rs 1.3 billion in the first quarter.
During the quarter under review, Apollo said demand recovery continued to be “extremely positive” for the company, with growth being reported in India, and “a flattish top line” in Europe.
Commenting on the company’s performance, chairman Onkar S Kanwar said Apollo reported its “best ever volumes” in the replacement truck-bus and passenger car tire categories in India during the three months to end of September.
In Europe, he said, Apollo has gained market share in ultra high-performance (UHP) and ultra ultra high performance (UUHP) passenger car tire segments.
Still noting uncertainty around Covid-19, Kanwar said Apollo sees “healthy demand momentum on ground.”