Companies

Apollo Tyres net dives 43% on slowdown

Our Bureau New Delhi | Updated on November 05, 2019 Published on November 05, 2019

Onkar S Kanwar, Chairman, Apollo Tyres   -  Kamal Narang

Hit by weak performance in the domestic market, Apollo Tyres reported a consolidated net profit of ₹83 crore for the second quarter ended September 30, down 43 per cent against ₹146 crore in the corresponding period last year.

Net sales declined to ₹3,926 crore (₹4,192 crore).

While the company’s European operations reported a single-digit growth in revenue, both in the second quarter and in first half of the fiscal, the Indian operations’ (standalone) revenue was impacted by the slowdown in the domestic market, especially in the original equipment segment, Apollo Tyres said.

Replacement market

“Amidst challenging market conditions across the automotive sector in India, we did see positive volume growth in the replacement market, both in passenger vehicle and commercial vehicle tyre segments in India,” Onkar S Kanwar, Chairman, said.

European operations have also reported positive volume growth, on the back of exemplary test results for winter and all-season tyres by leading auto magazines, for both Apollo and Vredestein brands, he said.

For the six months ended September 30, the company reported net profit of ₹225 crore, against ₹398 crore in the same period last fiscal. Net sales for the period stood at ₹8,198 crore (₹8,442 crore).

Shares of Apollo Tyres closed at ₹180.25 apiece on the BSE on Tuesday, down 2.91 per cent from the previous close.

MRPL suffers ₹574-cr loss

Mangalore Refinery and Petrochemicals Ltd (MRPL) registered a loss of ₹574.45 crore in the second quarter of 2019-20 as against a loss of ₹81.16 crore in the corresponding period last fiscal.

The company informed the stock exchanges on Monday that it recorded a net loss of ₹574.45 crore and GRM (gross refining margin) of $0.68 a barrel. GRM was at $4.41 a barrel in Q2 2018-19. (GRM is the difference between the price of crude and the end products such as diesel, petrol, etc.)

The company attributed the low GRM in Q2 this fiscal to the refinery shutdown following a minor landslide on the premises during the monsoon period.

NCC posts lower profit

NCC Ltd has posted a lower profit of ₹80.04 crore for the second quarter ended September 30, against a profit of ₹125.65 crore in the corresponding quarter of last year, on a standalone basis.

The Hyderabad-based construction major registered a steep fall in total income at ₹1,802.32 crore (including other income) for the second quarter against ₹3,137.88 crore in the corresponding quarter of the previous year.

Berger Paints net up

Berger Paints India reported an over 72 per cent jump in standalone net profit to ₹174 crore for the second quarter ended September 30, 2019. Standalone net profit in the corresponding year-ago-period stood at ₹101 crore.

Revenue from operations during the period under review saw a near 8 per cent jump to ₹1,430 crore.

JSPL posts ₹399-cr loss

Jindal Steel and Power Ltd reported ₹399.31-crore consolidated net loss for the second quarter of the current fiscal. The company had reported a consolidated profit of ₹279.17 crore for the quarter ending September 30, 2018.

The JSPL group’s total income declined to ₹8,939.47 crore in the quarter under review against ₹9,982.25 in the corresponding quarter of the previous financial year.

Published on November 05, 2019
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