A well known company, in the Indian corporate world but not much fancied on the bourses, the company’s financial performance for the third quarter ended 31st December 2007 has been encouraging. The company’s sales were up 15.37% on a q-on-q basis. The component of other income was down almost 10 times at Rs.37 lakhs (Rs.3.49 crore). Total expenditure surged 14.53% and yet, EBIDTA was up 17.67%. PBT rose 23.37% and net profit was up 21.66%. OPM was slightly up at 13.48% (13.21%) and NPM was up at 6.38% (6.05%).
The company, in August 2007, sub-divided its Rs.10 face value shares into 10 equity shares of Re.1 per share.
The company, in August 2007, sub-divided its Rs.10 face value shares into 10 equity shares of Re.1 per share.
Apollo Tyres is planning to step up its truck-bus radial tyre capacity in the next fiscal. The company had set up its radial tyre facility for heavy commercial vehicles on pilot basis at Vadodara, using indigenous technology, in this fiscal. The pilot plant has nearly exhausted its capacities and is currently producing 1,000 tyres a day. Apollo is the second Indian company to make foray in truck-bus radial tyres after JK Tyres.
The company is likely to be the after-sales partner for the Tata Nano and later graduate to an original equipment supplier. Apollo may also soon become the OE partner for Czech auto maker Skoda and Korean auto maker Hyundai.
On the forthcoming off-the-road (OTR) tyre facility at Vadodara to meet the demands of Bharat Earth Movers, production is expected to commence by end-2008. The company is also planning production of speciality and industrial tyres such as docking tyres and those used in forklifts.
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