Apollo Tyres Ltd, established in 1972, is a leading manufacturer of bias and radial tyres as well as tubes, serving both OEM and replacement markets with production facilities in Kochi, Vadodara, Pune, and Chennai. The company offers a broad range across truck & bus, light truck, passenger car, and farm vehicle segments. Below are its Q1 FY26 Earnings Results
Q1 FY26 Earnings Results
- Revenue: ₹6,561 crore, up 3.57% year-on-year (YoY) from ₹6,335 crore in Q1 FY25.
- Total Expenses: ₹6,172 crore, up 4.56% YoY from ₹5,903 crore.
- Consolidated Net Profit (PAT): ₹13 crore, down 95.7% from ₹302 crore in the same quarter last year.
- Earnings Per Share (EPS): ₹0.20, down 95.80% from ₹4.76 YoY.
Operational & Strategic Update
- Top-line Growth: Revenue grew modestly by 3.6% YoY, supported by stable demand in both OEM and replacement segments.
- Rising Costs: Expenses increased at a higher rate of 4.56%, driven by elevated input costs, higher wages, and logistics outlay.
- Sharp Profit Decline: Net profit and EPS plunged by over 95%, reflecting significant margin contraction. This was due to cost escalation, price competition, and potential one-off extraordinary costs not present last year.
- Product & Market Diversification: Apollo continues to serve a wide customer base across the automotive value chain, leveraging well-known brands and a diversified portfolio, but faced margin pressure in the quarter.
- Strategic Focus: The company is prioritizing cost optimization, capacity utilization, and innovations in product technology to regain profitability.
Corporate Developments in Q1 FY26 Earnings
The Q1 FY26 results underscore a challenging margin environment for Apollo Tyres, affected by rising costs and static price realization. Management’s ongoing drive focuses on operational efficiencies and product competitiveness.
Looking Ahead
Apollo Tyres Ltd aims to restore profitability by emphasizing operational improvement, prudent cost management, and brand-led growth strategies. Expansion into high-value products and increased focus on technology and exports are expected to drive better results in coming quarters.
Explore the company’s past earnings and latest concall transcripts, click here to visit the AlphaStreet India News Channel.