Chennai TBR plant capacity expanded
Consolidated annual revenues of Apollo Tyres Ltd. for the fourth quarter of 2016-17 grew 11 per cent to close at Rs. 130.6 billion (Rs. 13,063 crores). During the same period the company reported a net profit of Rs. 11 billion (Rs. 1,099 crores). Net sales for the quarter witnessed a growth of 10 per cent, as compared to the same quarter last fiscal, to close at Rs. 32.7 billion (Rs. 3,269 crores). Net profit reported for Q4 was Rs. 2.3 billion (Rs. 228 crores).
Commenting on the results, Mr. Onkar S. Kanwar, Chairman, Apollo Tyres Ltd., said: “All our key operations have done well, despite the challenges in the last fiscal. Raw material prices, which have increased sharply quarter-on-quarter, continue to pose challenges for us, and have impacted our margins. There has been a healthy volume growth in the passenger vehicle segment across geographies in the past fiscal. However, the truck radial segment in India, while it has grown in the 4th quarter, has been impacted by the dumping of low cost tyres, especially from China, through the year.”
He added: “With tyres rolling out from our Hungarian Greenfield and also from the expanded truck-bus radial facility in Chennai, we are looking forward to a good volume growth in the current fiscal, in addition to a gradual increase in our market share in Europe over the next few years.”
The Board of Directors has recommended a dividend payout of 300 per cent, to be approved by the shareholders at the forthcoming annual general meeting later in the year.