APOLLO TYRES LTD
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BSE Code:
500877
NSE Code:
APOLLOTYRE
Business Profile
Business Profile
The flagship of the Raunaq Singh group Apollo Tyres Limited (APOLLOTYRE) was incorporated in 1972. The company`s main business is the manufacture and sale of automobiles tyres, tubes and flaps. Its product range includes truck and bus bias, light truck bias and radial, passenger car radial, farm bias and radial. It also exports its products to South America, Pakistan, South East Asia, Middle East countries and Africa.
It has a network of around 4,500 dealerships in India, of which over 3,000 are exclusive outlets and nearly 230 multi-brand Dunlop accredited dealers in South Africa and Zimbabwe.
APOLLOTYRE has plants in Perambra, Kerala, Vadodara, Gujarat and Pune. It is the second largest tyre manufacturer in India with a total installed capacity of 250,000 million TPA. The company`s joint venture with Michelin, France for producing dual branded truck & bus radial tyres in India is the market leader in the category. APOLLOTYRE in technical collaboration with General Tire International Company USA, produces some of India`s most advanced tyres for trucks, tractors, light commercial vehicles and cars. Mahindra and Mahindra and TAFC are its major OEM clients.
APOLLOTYRE plans to enter the healthcare sector with a 500-bed hospital in Gurgaon with an investment of Rs 2,500 million. Artemis Health Sciences, a group company, would be a wholly-owned subsidiary of APOLLOTYRE and will have interests in medical education, research and manufacturing of medical accessories. The phase I would be completed in the next 18 months with an investment of around Rs 1,450 million. The company will also invest Rs 400 million in truck and bus radial (TBR) tyre projects in Limda.
Financials
The company reported a steep drop in standalone net profit for the quarter ended March 2009. During the quarter, the profit of the company declined 22.06% to Rs 461.92 million from Rs 592.65 million in the same quarter last year. Net Sales for the quarter rose 10.91% to Rs 11105.66 million, while total income for the quarter rose 11.70% to Rs 11184.93 million, when compared with the prior year period. It posted earnings of Rs 0.92 a share during the quarter, registering 25.20% decline over previous year period.
Recent Developments
18-MAY-09
The company through its special purpose vehicle (SPV) has successfully concluded the acquisition of 100% shareholding of Dutch company `Vredestein Banden B.V. ` (VBBV).
31-MAR-09
The company through its managers ICICI Securities announced that the company would be commencing the buy-back offer from Apr. 23, 2009. The buy-back would conclude on Mar. 18, 2010.
08-DEC-08
The company announced its decision to pass on the benefits of the recent reduction in excise duty rates to its customers with retrospective effect from December 1.