Apollo Tyres Q1 results: Net profit rises 49.21% to Rs 191 crore

The company said its board has approved raising Rs 1,000 crore through issuance of non-convertible debentures (NCDs) on private placement basis in one or more tranches.

Apollo Tyres Ltd on Friday reported 49.21 per cent increase in consolidated net profit at Rs 190.68 crore for June quarter 2022-23 riding on higher sales.

The company, which had posted a net profit of Rs 127.78 crore for the year-ago period, said its board has approved raising Rs 1,000 crore through issuance of non-convertible debentures (NCDs) on private placement basis in one or more tranches.

Revenue from operations during the period under review stood at Rs 5,942 crore as against Rs 4,584.47 crore in the year-ago quarter, Apollo Tyres said in a regulatory filing.

Total expenses were higher at Rs 5,714.17 crore as against Rs 4,462.63 crore in the corresponding quarter last fiscal year. Cost of materials consumed was higher at Rs 3,405.46 crore as compared to Rs 2,356.33 crore earlier.

"Tighter control on costs, enrichment of product mix and timely pricing actions across markets helped us tide over the continued spike in raw material prices in Q1," Apollo Tyres Chairman Onkar Kanwar said.

Both Indian and European operations did well in the first quarter and reported strong topline growth, aided by healthy demand across segments, especially passenger vehicle tyres, he added.