BackApollo Tyres Q4 profit zooms twofold to Rs281.62 crore
Consolidated total income rose to `3,229.27 crore from `3,041.99 crore a year earlier
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New Delhi: Apollo Tyres Ltd’s consolidated net profit doubled to 281.62 crore in the quarter that ended on 31 March, mainly on account of increased sales.
Profit was ₹ 141.05 crore in the corresponding quarter of the previous fiscal, Apollo Tyres said in a filing to BSE.
Consolidated total income rose to ₹ 3,229.27 crore from ₹ 3,041.99 crore a year earlier, it added.
The board approved setting up a facility in eastern Europe costing about €500 million over four years.
“We are aggressively pursuing organic growth opportunities," Apollo Tyres chairman Onkar S. Kanwar said. “Considering the increased demand for our tyres in Europe, along with capacity constraints in our existing facility in Enschede, the Netherlands, has made us prioritize our investment into a greenfield facility in the region", he added.
Consolidated net profit for the fiscal year that ended on 31 March rose to ₹ 1,005.05 crore from ₹ 613.80 crore in the previous fiscal year, crossing the ₹ 1,000 crore mark for the first time.
“Last year, we saw the consolidation of our two brands, Apollo and Vredestein, and their entry into newer markets. All this, along with better product and customer mix across geographies, has helped us report incremental revenues," Kanwar said.
The company had exceptional items of ₹ 46.78 crore representing expenses related to the proposed acquisition of Cooper Tire and Rubber Co., which was terminated, and profit on sale of Apollo Tyres South Africa (Pty) Ltd to Sumitomo Rubber Industries Ltd according to the filing.
Apollo Tyres said its board recommended a final dividend of ₹ 0.75 per share, amounting to ₹ 37.80 crore on equity shares of ₹ 1 each for the year.
Shares of Apollo Tyres traded at ₹ 176.45 in afternoon trade on the BSE, up by 5.37%.
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