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CEAT Ltd Shares Slide After Q3 FY26 Earnings

CEAT Ltd (NSE: CEATLTD), an Indian tyre maker, closed lower on Tuesday with the stock at around ₹3,710, down about 4.4% in intraday trade, reflecting cautious investor response to its latest quarterly results. The share fell from an opening near ₹3,920, ending the session significantly below its prior close. Market data show the stock touched an intra-day high of about ₹3,980 and a low near ₹3,600. Today’s market close price implies an intraday percentage decline of about 4.4%.

Market Capitalisation


At the market close on Jan. 20, CEAT Ltd’s market capitalisation stood at approximately ₹15,000 crore on the NSE.

Latest Quarterly Results


For the third quarter ended Dec. 31, 2025, CEAT reported consolidated revenue of ₹4,157 crore, up 26 % from the year-ago quarter. Consolidated net profit for the period was ₹155 crore. EBITDA margin was reported at 13.66 %. On a standalone basis, revenue was ₹3,957 crore, a 20 % year-on-year increase, and standalone net profit was ₹192 crore with an EBITDA margin of 14.08 %.

Charts – Financial and Market Trends

Market Performance – 1-Month Share Price

Business & Operations Update


CEAT’s latest earnings release highlighted revenue growth across domestic and export markets, attributed in part to GST rate reductions improving domestic demand and expansion in international markets. The company recognised about ₹58 crore in provisions related to new labour codes and maintained capex funded largely through internal accruals, with debt levels remaining broadly unchanged quarter-on-quarter.

M&A or Strategic Moves


In a prior strategic move, CEAT agreed to purchase the Camso brand from France’s Michelin in a deal valued at $225 million, aimed at expanding its off-highway tyre segment, including two manufacturing facilities in Sri Lanka.

Equity Analyst Commentary
Institutional research has previously noted valuation considerations on CEAT’s stock. In mid-2025, ICICI Securities revised its assessment on CEAT to a “Hold” stance, reflecting expectations of limited near-term upside given valuation levels.

Guidance & Outlook


While the company did not issue explicit guidance in the recent press release, market observers will watch for seasonal demand trends in automotive tyre segments, raw material price movements, and execution of capacity expansions in PCR and TBR plants.

Performance Summary


CEAT’s stock fell about 4.4% on Jan. 20 after markets digested its Q3 FY26 numbers showing higher revenue and improved margins. Consolidated quarterly revenue rose 26 % to ₹4,157 crore, with net profit at ₹155 crore. Segment performance signals growth across both standalone operations and consolidated results.

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