Apollo Tyres on Tuesday reported a consolidated net profit of ₹78 crore for the fourth quarter ended March 31, down 7 per cent as compared to ₹84 crore in the corresponding period last year.

The consolidated net sales of the company also declined by 15 per cent to ₹3,551 crore during the January-March quarter, as compared to ₹4,176 crore in the same period previous fiscal.

The Board at the meeting has not recommended any final dividend and the interim dividend of ₹3 per equity share declared by the Board at its meeting held on February 26, will be considered as final dividend for FY2020, the company said in a statement.

Covid-19 impact

“Along with the demand in the replacement market, we saw some improvement in demand from original equipment manufacturers (OEMs) as well in the fourth quarter, before the widespread disruption caused by Covid-19 put us all in an uncharted territory,” Onkar S Kanwar, Chairman, Apollo Tyres, said.

He also said that now with lockdowns easing, the demand has started picking up gradually across product and market segments.

The company said the Indian operations continued with its growth in the replacement market for the full year in most of the product categories, led by a strong performance in the passenger vehicle segment, industrial tyres and light commercial vehicle segment.

The OEM segment, though improved sequentially in the fourth quarter, remained under pressure for the full year. European Operations as well saw growth in some of the product segments for the full year, it said.

Net profit falls

For the full financial year, the company reported a 30 per cent decline in net profit at ₹476 crore, as compared with ₹680 crore the previous year.

Net sales closed at ₹16,096 crore, as compared to ₹17,273 crore in the previous fiscal, the company said adding that operating profit reported was ₹1,962 crore.

Shares of Apollo Tyres closed at ₹91.75 apiece on the BSE on Tuesday, up 0.11 per cent from the previous close.

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