European operations lead the way as Apollo Tyres reports 16% increase in profitability

At the end of the second quarter ended 30 September 2022, Apollo Tyres Ltd reported double-digit increases in sales and profitability that point to even great performance in the first-half of the company’s current financial year. And the data shows that company’s European operations are at the forefront of leading the company’s strong performance.

During the second quarter, on a consolidated level, Apollo registered revenue of 59.56 billion rupees (741.41 million euros; US$746.79 million), an increase of 17 per cent over the comparable period last year.

For the first six months of the fiscal year (April – September), the company’s revenue closed at 118.98 billion rupees (1.496 billion euros; $1.516 billion), an increase of 23 per cent over the same period last year.

Both Indian and European Operations witnessed healthy revenue growth in the second quarter, with Indian Operations growing upwards of 16 per cent while European Operations grew more than 30 per cent (in local currency terms). And with Apollo’s European president aiming for 50 per cent growth in multiple segments, there is every indication that the trend identified in the latest figures is set to continue.

Commenting on the results, Onkar Kanwar, chairman, Apollo Tyres Ltd said: “We continued with our resolve towards profitable growth, despite the headwinds. Our cost control measures, and timely pricing actions, have helped maintain our profitability in a quarter where the raw material prices were at their peak. While the demand situation in India remained subdued, in Europe our growth was better than the market. With raw material prices tapering off, there is some respite going forward.”