india

JK Tyre profit surges to ₹2,30.46 cr. on rise in vehcle demand

JK Tyre & Industries on Thursday posted consolidated net profit of ₹2,30.46 crore for the third quarter ended December 31, a multi-fold increase from ₹10.27 crore in the year-earlier period.

The growth was mainly driven by increased demand from all vehicle segments, including passenger, commercial as well as farm.

Revenue from operations grew to ₹2,769.28 crore against ₹2,199.80 crore.

“For the quarter, exceptional items include favourable foreign exchange fluctuation of ₹40.18 crore,” the company said.

“JK Tyre turned out an excellent performance in Q3 in terms of sales and profitability. This was largely driven by the increased demand for passenger, commercial vehicles as well as farm tyres,” JK Tyre & Industries CMD Raghupati Singhania said.

He added that continued focus on improvement in operating efficiencies and reduction in interest costs, contributed to improved profitability.

The company said during the third quarter all its nine plants in India operated at close to 96% capacity, while its subsidiary Cavendish Industries also achieved capacity utilisation of almost 95% at its three plants.

“The company foresees sustained sales and profitability during the coming period,” it added.

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