JK Tyres & Industries on Friday reported a consolidated net profit of ₹67 crore for the third quarter ended December 31 — up 24 per cent year-on-year (YoY) against ₹54 crore in the corresponding period last financial year.

Consolidated total income rose by 17 per cent to ₹3,623 crore for the quarter under review against ₹3,080 crore in October-December quarter 2021, the company said in a statement.

“We continued to maintain our profitability growth in yet another quarter with strong performance across the segments with double digit revenue growth. Our profit margins improved, supported by softening in raw material prices, continued focus on cost control and timely price revisions,” Raghupati Singhania, Chairman and Managing Director, JK Tyre, said.

Strong demand outlook

Going forward, the tyre industry is set to witness healthy demand in the domestic market emanating from improved vehicle utilisation and thrust on infrastructural development, he said. He further said that Cavendish Industries and JK Tornel, Mexico — subsidiaries of the company — continue to contribute well, to the robust growth of the company.

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Meanwhile, the board approved raising up to ₹240 crore through the issue of securities.

It has approved the issuance of 24,000 compulsorily convertible debentures to International Finance Corporation (acquirer) by way of a preferential issue on a private placement basis. It will be converted into equity shares of the company at a conversion price of ₹180.50 each, subject to approval of shareholders, JK Tyre said.

Shares of JK Tyre closed at ₹167.60 apiece on the BSE on Friday — up 1.36 per cent from the previous close.

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