Ceat Share Price

Conference Call with Ceat Ltd. Management and Analysts on Q1FY27 Performance and Outlook. Listen to the <a href="https://youtu.be/SIXZCjO0CCE">full earnings transcript</a>. <br>

• Trendlyne
• 7 hours 11 minutes ago

<h3><span style="font-size:16px;"><strong>Auto Tyres & Rubber Products company Ceat announced Q1FY27 results</strong></span></h3> <p _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Standalone Financial Highlights:</strong></p> <ul> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Revenue from Operations:</strong> The standalone revenue from operations for Q1FY27 stood at Rs 4,163 crore, representing a YoY increase of 18.23% from Rs 3,521 crore in Q1FY26 and a QoQ increase of 3.15% from Rs 4,036 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Total Income:</strong> The total income reached Rs 4,185 crore in Q1FY27, up by 17.99% YoY from Rs 3,547 crore in Q1FY26 and an increase of 2.12% QoQ compared to Rs 4,098 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Net Profit:</strong> The company reported a net profit of Rs 98 crore for Q1FY27, which is a YoY decline of 27.41% from Rs 135 crore in Q1FY26 and a QoQ decrease of 65.37% from Rs 283 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Profit Before Tax:</strong> Standalone profit before tax for Q1FY27 was Rs 132 crore, down by 27.07% YoY from Rs 181 crore in Q1FY26 and a decrease of 65.45% QoQ from Rs 382 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Operating Margin:</strong> The operating margin (EBITDA margin) for Q1FY27 stood at 9.13%, compared to 11.11% in Q1FY26 and 14.55% in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Earnings Per Share (EPS):</strong> Basic and diluted EPS for the quarter was Rs 24.41, compared to Rs 33.46 in Q1FY26 and Rs 70.29 in Q4FY26.</li> </ul> <p _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Consolidated Financial Highlights:</strong></p> <ul> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Revenue from Operations:</strong> Consolidated revenue from operations for Q1FY27 was Rs 4,318 crore, marking a 22.36% YoY growth from Rs 3,529 crore in Q1FY26 and a 2.35% QoQ growth from Rs 4,219 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Total Income:</strong> The consolidated total income stood at Rs 4,324 crore in Q1FY27, reflecting a YoY increase of 22.35% from Rs 3,534 crore in Q1FY26 and a QoQ increase of 1.86% from Rs 4,245 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Net Profit:</strong> Consolidated net profit for Q1FY27 was Rs 4 crore, showing a significant YoY decline of 96.43% from Rs 112 crore in Q1FY26 and a QoQ drop of 98.36% from Rs 244 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Profit Before Tax:</strong> Profit before tax for the quarter was Rs 32 crore, down 79.49% YoY from Rs 156 crore in Q1FY26 and down 90.59% QoQ from Rs 340 crore in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Operating Margin:</strong> The consolidated EBITDA margin for Q1FY27 was 8.56%, compared to 10.94% in Q1FY26 and 14.18% in Q4FY26.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Earnings Per Share (EPS):</strong> Basic and diluted EPS for the quarter stood at Rs 1.07, compared to Rs 27.80 in Q1FY26 and Rs 60.45 in Q4FY26.</li> </ul> <p _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Business Highlights:</strong></p> <ul> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Capacity Expansion:</strong> The Board approved a capital expenditure of approximately Rs 1,205 crore for augmenting the manufacturing capacity of two-wheeler tyres by approximately 53,000 tyres per day. This expansion is expected to be implemented progressively in phases by the end of FY31.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Capacity Utilization:</strong> The existing manufacturing capacity is approximately 80,000 tyres per day, with a utilization rate of ~95% of the installed capacity.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Strategic Acquisition:</strong> CEAT OHT Lanka (Private) Limited, a wholly-owned subsidiary, entered into an agreement to acquire the Camso brand’s Off-Highway construction equipment tyre and tracks business for a deal valued at 225 million USD. For this transaction, the company remitted Rs 274 crore as investment in equity and Rs 719 crore as a loan to its subsidiary.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Investment in Subsidiary:</strong> The company made an additional investment of Rs 3 crore in TYRESNMORE Online Private Limited on April 21, 2026.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">New Subsidiary Incorporation:</strong> A wholly-owned step-down subsidiary, "CEAT Gmbh," was incorporated in Germany on April 20, 2026.</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Exceptional Items:</strong> During Q1FY27, the company recorded an expense of Rs 7 crore related to the Voluntary Retirement Scheme ('VRS').</li> <li _ngcontent-ng-c1517154722=""><strong _ngcontent-ng-c1517154722="">Finance Cost Reassessment:</strong> The subsidiary Ceat OHT Lanka Pvt ltd reassessed the classification of an exchange loss of Rs 48 crore from operating expenses to finance costs during Q1FY27.</li> </ul> <p><strong>Kumar Subbiah, CFO, CEAT, said:</strong> “Commodity cost inflation due to West Asia War had a significant impact on our raw material costs leading to drop in our Q1 margins. We have taken cumulative price increases of 5%. We expect raw material costs likely to remain at inflated level in Q2 and hence, we will continue to balance our pricing actions and cost prudence to progressively mitigate the impact on our margins. Our performance across other key parameters, however, remained satisfactory. We stayed invested on our capex to the tune of Rs 300 crore largely to enhance our capacities to meet our business plan while maintaining tight control over discretionary expenses and routine capex to conserve cash and ensure profitability.”</p> <p><a class="lb" href="/get-document/post/pdf/5733854/" target="_blank">Result PDF</a></p>

• Trendlyne
• 14 hours 8 minutes ago

Ceat stock plunged to a low of 3,471 on the NSE after the company's consolidated net profit dropped by 96.4 per cent to 4 crore owing to forex losses.

• Business Standard
• 14 hours 17 minutes ago