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Apollo Tyres Q4FY23 PAT grows 4-fold to Rs427 crore on sharp fall in rubber prices

May 10, 2023

By: BlinkX Research Team

Apollo Tyres Ltd reported 11.99% growth in total revenues for the March 2023 quarter on consolidated basis at Rs6,247cr. On a sequential basis, the revenues were down -2.73%. In In terms of regional performance, the company saw sales expanding sharply in the APMEA and the Europe region while the rest of the world market saw contraction in exports due to demand constraints amid rising macroeconomic uncertainty.

The big boost came from operating profits. The operating profits from the APMEA region grew nearly 3-fold while the operating profits from the Europe region more than doubled yoy. This boost to the operating profits came from higher revenues from auto sales and from lower prices of rubber, a key component in the manufacture of tyres.

Financial highlights for Mar-23 compared yoy and sequentially

However, the net cash generated from operations remained stable in Fy23 as compared to FY22. On a yoy basis, the company has seen a sharp improvement in the interest coverage ratios and the debt service coverage ratios. The board of Apollo Tyres has recommended a final dividend of Rs4 per share and a special dividend of Rs0.50 per share.