Indag Rubber Limited’s shares were up by 3.18 per cent after the company released its audited financial results for the quarter and fiscal year ending March 31, 2024.

For FY24, the company reported a total revenue of ₹261.2 crore, marking a 4 per cent year-over-year increase from FY23. The company’s EBITDA rose by 26 per cent to ₹27.7 crore, with an EBITDA margin improvement of 190 basis points to 10.6 per cent. Profit After Tax (PAT) for the year was ₹16.7 crore, showing a 27 per cent increase.  

The Board of Directors have recommended a final dividend of ₹2.1 per equity share, bringing the total dividend for FY24 to ₹3 per equity share, including an interim dividend of ₹0.90 per share. 

Vijay Shrinivas, CEO of Indag Rubber Limited, said, “In the last quarter, we observed lower STU volumes due to reduced construction activity on account of elections. However, we are confident that STU volumes will return to normal, which would boost our margins and growth moving forward. At Indag, we are witnessing several positive industry trends. Escalating cost pressures among fleet owners are prompting a shift towards retreading solutions. Additionally, the widespread adoption of radialisation in commercial vehicle tyres is enabling multiple retreading cycles, enhancing tyre longevity and sustainability. The company remains highly focused on volume-driven growth. 

There is a notable government emphasis on fostering a circular economy, particularly through the introduction of Extended Producer Responsibility (EPR) norms. Fleet operators are increasingly prioritizing environmental sustainability and recognizing the importance of reducing their carbon footprint. As a result, many are turning towards greener alternatives, including retreading.” 

The shares were up by 3.18 per cent to ₹170.25 at 1.48 pm on the BSE.  

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