CEAT’s Q4 net profit slides 23% to ₹102 crore, declares dividend of ₹30

Tyre maker CEAT Ltd on Thursday (May 2) reported a 22.7% year-on-year (YoY) dip in net profit at ₹102.3 crore for the fourth quarter that ended March 31, 2024. In the corresponding quarter, CEAT posted a net profit of ₹132.4 crore, the company said in a regulatory filing

The company’s revenue from operations increased 4.1% to ₹2,991.9 crore as against ₹2,874.8 crore in the corresponding period of the preceding fiscal. At the operating level, EBITDA increased 6.5% to ₹391.7 crore in the fourth quarter of this fiscal over ₹367.8 crore in the corresponding period in the previous fiscal.

EBITDA margin stood at 13.1% in the reporting quarter as compared to 12.8% in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation.

Arnab Banerjee, MD and CEO of CEAT said, The company ended the year on a positive note, we saw a recovery in volumes in the second half of the quarter in replacement and international markets with stable margins for the quarter and significant improvement in the margins on a full-year basis and expect the positive momentum in Q1 FY25.

We have achieved commendable growth, largely attributable to share gain in passenger categories both in 2W and 4W and substantial expansion within the export segment. Overall, our profits & margins grew significantly during the year, he added.

The board has recommended a final dividend of ₹30, i.e. 300% per equity share of the face value of ₹10 each fully paid up, for the financial year ending March 31, 2024, subject to the approval of the members at the ensuing annual general meeting.

The results came after the close of the market hours. Shares of CEAT Ltd ended at ₹2,620.70, up by ₹57.10, or 2.23% on the BSE.