JK Tyre & Industries Ltd (JK Tyre) reported a consolidated net profit of ₹171.66 crore for the fourth quarter ended March 31, up 54 per cent year-on-year (y--o-y) compared with ₹111.56 crore in the corresponding period last year.

Consolidated total income also rose two per cent y-o-y to ₹3,714 crore for the fourth quarter compared with ₹3,645 crore in the January-March period last year.

For the full year, the company’s net profit more than doubled to ₹811 crore in the last financial year (2023-24) compared with ₹265 crore. Total income grew 2.50 per cent to ₹15,046.13 crore (₹14,681.46 crore).

Meanwhile, the company board recommended a dividend of ₹4.50 per equity share (including interim dividend of ₹1.00 per equity share already paid), which is 225 per cent for the financial year ended March, 2024.

Raghupati Singhania, Chairman and Managing Director, said the company plans to invest around ₹1,400 crore over the next 18-20 months to enhance the production capacity, especially the passenger car tyres.

“JK Tyre achieved highest ever sales and profits during FY2024. Sales at ₹15,046 crore was marginally higher with EBIDTA of ₹2,122 crore increasing by 59 per cent...This performance is attributed to our continued focus on product premiumisation, widening market reach and tech enabled manufacturing and digitalisation across operations achieving better efficiencies,” Singhania, said.

Moreover, the company’s strategic initiatives to fortify its balance sheet through equity infusion yielded fruitful results, reinforcing its financial resilience, he said.

During the year exports were flat due to geo-political disruptions including freight hikes. In the coming quarters, the company expects to improve it’s export volumes, Singhania said.

JK Tyre’s subsidiaries, Cavendish Industries Ltd (CIL) and JK Tornel, Mexico, continued to make significant contributions to the overall revenues and profitability of the company, he said.

“We remain optimistic on tyre demand outlook led by robust infra-spends and buoyed economic activities which will help us move towards our vision of becoming a green and trusted mobility partner. During FY24, JK Tyre raised Rs.500 crore through QIP that helped deleverage in balance sheet,” he added.

Shares of JK Tyre closed at ₹404.30 apiece on the BSE on Tuesday, up 0.36 per cent from the previous close.