Gurgaon, India – Apollo Tyres Ltd has posted a 91% year-on-year increase in fiscal third quarter (October to December) operating profit, to Rs1,053 crores (€120.9 million).
The earnings rebound was achieved on consolidated sales of Rs4,965 crores, 14% higher than in the final three months of last year, unaudited group results, issued 4 Feb, show.
For the nine months to 31 Dec, Apollo reported earnings (EBITDA) up 37.6% to Rs2,050 crores on sales 4.1% lower at Rs12,027 crores.
Third-quarter sales at the tire maker’s Indian operations grew 20% year-on-year, reflecting improved OE and replacement tire demand, according to a statement issued 4 Feb.
In Europe, Apollo said that “despite a sluggish demand environment”, the company had continued to make progress in the premium tire market.
“Our performance across geographies, has been robust in the past quarter, and we continue to be extremely positive on the demand environment,” said Onkar Kanwar, chairman, Apollo Tyres Ltd.
With investments planned for new capacity, R&D, branding and distribution, alongside cost optimisations, Kanwar said Apollo is now “extremely well placed to leverage demand recovery across segments and geographies.”
Indian government moves to grow the country’s economy, including a scrappage policy, will “be a boost for us going forward,” the Apollo chairman added.