Q2 grows amidst challenging market conditions

The Board of Directors of Apollo Tyres Ltd today approved the company’s unaudited financial results for the 2nd quarter and the first 6 months of the financial year 2012 - 13.

Apollo Tyres' consolidated revenues for the 2nd quarter saw a healthy growth of 18%; and for the first half of the year by 15%. Most of the July to September growth was driven by India, which grew 24% riding on increased sale of truck-bus radials. South Africa, which is witnessing an upward trend in the automotive sales -- a positive sign for the company, saw a topline growth of 29%. European Operations’ revenue too grew despite the larger economic concerns and slowing automotive sales across the continent.

Quarterly Performance Highlights

Quarter 2 FY2012-13 (July-September) vs Quarter 2 FY2011-12

• Net sales up 18% at Rs 33.7 billion (Rs 3374.8 crores) from Rs 28.7 billion (Rs 2871.2 crores)
• Operating profit up 55% at Rs 3.8 billion (Rs 380.9 crores) from Rs 2.4 billion (Rs 246.2 crores)
• Net profit up 96% at Rs 1.5 billion (Rs 152.2 crores) from Rs 0.8 billion (Rs 77.8 crores)

Half Yearly Performance Highlights

FY2012-13 (April-September) vs FY2011-12

• Net sales up 15% at Rs 65.4 billion (Rs 6539.5 crores) from Rs 56.9 billion (Rs 5693.6 crores)
• Operating profit up 51% at Rs 7.4 billion (Rs 742.3 crores) from Rs 4.9 billion (Rs 490.7 crores)
• Net profit up by 87% at Rs 2.9 billion (Rs 290.2 crores) from Rs 1.5 billion (Rs 154.9 crores)

Speaking on the results, Onkar S Kanwar, Chairman, Apollo Tyres Ltd, said “Despite the challenging circumstances, we have succeeded in maintaining a healthy topline and bottomline. Our revenues received a booster dose, riding on the replacement demand, more so in India and South Africa. Our investment decision, made at a difficult time, to set up the Chennai Plant is now paying off, as the market seeks more Truck & Bus radial tyres from us."

Cross Currency Reference Chart for Key Financials