Apollo Tyres Reports Q1 Net Loss Of Rs 135 Crore

The tyre maker had reported a net profit of Rs 142 crore in the April-June last fiscal

Homo grown tyre major, Apollo Tyres on Wednesday reported a consolidated loss of Rs 135 crore for the quarter ended June 30, 2020, due to the disruption caused in the business by the Coronavirus outbreak.

While the pandemic deeply impacted the operations across geographies in the quarter under review, the company still recorded its highest ever sales in the replacement market in India in the month of June. The European Operations continued with its better than the industry performance, despite the pandemic related challenges across different countries, said the company in a release.

Apollo Tyres had posted a consolidated profit of Rs 141.6 crore in the corresponding period of the previous fiscal.

Net sales during the quarter under review declined to Rs 2,828 crore, from Rs 4,272 crore in the year-ago period, Apollo Tyres said in a statement.

Commenting on the first quarter results, Onkar S Kanwar, Chairman, Apollo Tyres Ltd said, “The teams across geographies have shown tremendous resilience amidst the pandemic, and have adopted to the new normal for business continuity. Keeping the Apollo Family safe is our primary concern during these trying times.”

“While the first half of the first quarter was almost a complete washout, our performance has been excellent since the markets opened up, especially in the replacement market. While the uncertainty will continue, and we will have to find opportunities for growth, I am hopeful of the markets further recovering and the sales bouncing back around the festive season in India. In Europe, we are performing better than the industry, which is likely to continue going forward as well.”