Apollo Tyres (APOLLOTYRE) Q4 25/26 earnings summary

Executive summary

• Q4 consolidated revenue grew 14.2% YoY to INR 73,357 Mn, with EBITDA margin at 14.6% and PAT margin at 8.6%.

• FY26 consolidated revenue reached INR 284,706 Mn, up 9% YoY, with EBITDA up 16% and PAT at INR 13,724 Mn.

• Indian operations saw strong double-digit growth in both replacement and OE markets; Europe had low single-digit volume growth.

• Balance sheet strengthened, with net debt to EBITDA improving to 0.4x by March 2026.

• Final dividend of ₹2.50 per share recommended, totaling ₹6.00 per share for FY26, subject to approval.

Financial highlights

• Q4 consolidated revenue: INR 73.4 billion, up 14% YoY; EBITDA: INR 10.7 billion, margin 14.6%.

• India Q4 revenue: INR 52.4 billion, up 14.3% YoY; EBITDA margin 14.6%.

• FY26 standalone revenue: INR 198,162 million, up 9% YoY; consolidated net profit: INR 13,724.16 million.

• Standalone EBITDA margin improved to 14.59%; consolidated operating margin rose to 14.55%.

• Basic EPS (standalone) for FY26 was ₹29.22; consolidated EPS was ₹21.66.

Outlook and guidance

• Strong demand outlook across categories and channels in India, supported by GST rate reduction and enhanced brand visibility.

• Europe expects better growth in Q1 FY27, but margins will be pressured by raw material, energy, and logistics cost volatility.

• Adoption of a concessional tax regime from FY27 will reduce the effective tax rate to 25.17% from 34.94%.

• CapEx of INR 35 billion planned for FY 2027, with 80% for growth and capacity expansion.

• Management continues to monitor regulatory changes, especially regarding labor codes.