This Article is From Nov 10, 2014

Apollo Tyres Q2 Profit Rises 17.5 Per Cent to Rs 257.94 Crore

Apollo Tyres Q2 Profit Rises 17.5 Per Cent to Rs 257.94 Crore

New Delhi: Apollo Tyres Ltd on Monday reported a 17.52 per cent increase in consolidated net profit at Rs 257.94 crore for the second quarter that ended on September 30, 2014-15, driven by higher exports.

The company had reported a net profit of Rs 219.47 crore for the corresponding quarter a year ago.

Net sales in the quarter ended September 2014 were Rs 3,300.64 crore, down 3.86 per cent as against Rs 3,433.45 crore in the year-ago period, the company said in a filing to the BSE.

"Our 18-24 months of planning and smart execution has resulted in incremental exports out of India, and with additional demand for our products in the Middle East and ASEAN region, we expect this to grow further," Apollo Tyres chairman Onkar S Kanwar said.

"Taking into account the export growth, and the expected revival of the commercial vehicle segment in India, our expansion projects in Chennai and Kochi, both in the southern part of India, is moving ahead full steam."

Exports have grown over 30 per cent, which has led to a strong performance by the Indian operations, the company said in a statement.

Apollo said sale of part of its African business in the last fiscal year led to the company reporting flat revenue growth on a consolidated level in the second quarter and half year of this fiscal year.

Overall expenses in Q2 were at Rs 2,928.77 crore compared with Rs 3,085.32 crore in the year-ago period.

For the first half of 2014-15, the company has logged a net profit of Rs 485.8 crore on net sales of Rs 6,536 crore.

In the first half of 2013-14, the company had reported a net profit of Rs 385.4 crore and net sales of Rs 6,623 crore.

Shares in Apollo Tyres, on Monday, ended at Rs 236.05 apiece on the BSE, up 1.29 per cent from the previous close.