APOLLOTYRE

Pressure from raw-material costs

1. Recent quarterly performance Apollo Tyres reported steady growth in its latest quarterly results. Revenue increased year-on-year, supported by higher demand in the replacement market and stable growth in the India business. Profit also improved due to better operating margins and cost management. 2. Strong India demand outlook The company expects double-digit growth in the Indian market, driven by higher demand from passenger vehicles, commercial vehicles, and the replacement tyre segment. 3. Pressure from raw-material costs Tyre stocks including Apollo Tyres have faced volatility because of fluctuations in crude oil and rubber prices, which directly affect production costs and margins. 4. Europe business challenges Apollo Tyres has been facing slower demand in Europe due to weak economic conditions and competition from low-cost imports. The company is working on restructuring and improving efficiency in its European operations. 5. Capacity expansion in India Apollo Tyres is expanding capacity at its Andhra Pradesh manufacturing plant to meet growing domestic demand and strengthen its long-term growth plans. 6. Dividend announcement The company recently declared an interim dividend for FY26, indicating stable cash flows and confidence in business performance. 7. Market sentiment Investors are closely watching raw-material price trends, demand from the auto sector, and margin expansion. These factors are expected to influence Apollo Tyres stock movement in the near term.