Business

Apollo Tyres skids into red

Apollo Tyres Ltd. has posted a consolidated net loss of ₹135 crore for the first quarter ended June 2020 against a net profit of ₹142 crore registered for the corresponding year-ago period.

During the period under review, revenue from operations contracted to ₹2,828 crore from ₹4,272 crore.

“While the first half of the first quarter was almost a complete washout, our performance has been excellent since the markets opened up, especially in the replacement market. While the uncertainty will continue, and we will have to find opportunities for growth, I am hopeful of the markets further recovering and the sales bouncing back around the festive season in India. In Europe, we are performing better than the industry, which is likely to continue going forward as well,” said Onkar S Kanwar, chairman, Apollo Tyres Ltd in a statement.

Regarding its subsidiary in Netherlands, the company said the management of Apollo Vredestein B.V., had initiated certain steps which included a plan to change product/sourcing mix and its resultant impact on the current work force.

At Wednesday’s board meeting, the company decided to issue non-convertible debentures of ₹1,000 crore through private placement basis and 5.40 crore compulsorily convertible preference shares of ₹100 each to the investors belonging to public category by way of preferential allotment.

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Printable version | Sep 27, 2020 4:32:50 AM | https://www.thehindu.com/business/apollo-tyres-skids-into-red/article32278973.ece

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