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Informist, Friday, Nov. 14, 2025

--Apollo Tyres: Q2 consol EBITDA INR 10.21 bln, up 16.3% on year

--Apollo Tyres: Q2 consol EBITDA margin 14.9%, up 130 bps on year 

--Apollo Tyres: See Europe ops operating performance improving going forward 

MUMBAI – Apollo Tyres Ltd. expects a better operating performance by its European business going forward, driven by a recovery in demand and cost-optimisation efforts. Although revenue from its Europe operations grew on year in the September quarter, margins fell due to geopolitical uncertainties, the company said in an investor presentation Friday. The European market contributed 28% to the company's consolidated revenue in the first six months of 2025-26 (Apr-Mar). 

For the quarter ended September, Apollo Tyres' revenue from the European market increased nearly 9% on year to 177 million euros. In rupee terms, the consolidated sales from this region were up almost 14% at INR 21.91 billion. However, the earnings before interest, tax, depreciation, and amortisation margin for the region contracted 213 basis points on year to 12.7%, as per the investor presentation. Its capacity utilisation in Europe was 88% during the first half of FY26 and that in India was 81%. 

For its India business, which accounted for 64% of its total revenue in Apr–Sept, the Gurugram-based company posted its highest on-year growth in the past 10 quarters, supported by the government's goods and services tax rate cuts and a recovery in exports, it said. Its revenue from the domestic business rose nearly 6% on year to INR 47.15 billion in the September quarter and EBITDA margin expanded by 321 bps to 15.3%. "We will continue to focus on business fundamentals, cost optimisation and free cash flow generation," the company said. 

For the reporting quarter, Apollo Tyres' consolidated EBITDA rose over 16% on year to INR 10.21 billion and EBITDA margin improved by 130 bps to 14.9%. Its consolidated net profit fell 13% from the year-ago quarter to INR 2.50 billion while revenue increased 6% to INR 68.31 billion. During the first half of the current financial year, the company's capital expenditure was INR 5 billion and free cash flow was INR 3 billion. Its net debt increased to INR 26 billion as of Sept. 30 from INR 25 billion at the end of March. 

The company posted its quarterly results after market hours Thursday and released the post-earnings investor presentation Friday. At 1228 IST, Apollo Tyres' shares were 1.7% lower at INR 528 on the National Stock Exchange.  End

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Reported by Anjana Therese Antony

Edited by Subhojit Sarkar

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