Indian tyre industry major, JK Tyre & Industries announced its results for the financial year ending 31st March 2019. According to the report, its sales at Rs 10,370 crore for the year grew by 24 percent while operating profit for the year at Rs 1,196 crore was 35 percent higher. JK Tyre reported its Q4 sales at Rs 2,706 crores which was also a growth of 18 percent over the corresponding period.
Commenting upon the results, Dr Raghupati Singhania, chairman and managing director of the company said, “FY19 was indeed a landmark year for the company. JK Tyre sales crossed the Rs 10,000 crore-mark while achieving a robust growth of 24 percent over the previous year, surpassing the industry growth. Despite Q4 profitability being impacted due to high raw material prices, the operating margins for the year as a whole increased by 35 percent”.
JK Tyre volumes is said to have grown by 20 percent despite a slowdown in the automotive sector in the second half of the year. The company could enhance its market presence across categories, led by the high capacity utilisation of Cavendish, the recently acquired subsidiary of the company
Dr Singhania added: “The company continues to maintain its leadership position in India’s Truck/Bus Radial tyres segment. Capacity expansion of Truck/Bus Radials undertaken at Cavendish will help the company further bolster its position in this segment.”
Furthermore, the sales of 2-3 wheeler segment at JK Tyre is said to have grown by over 40 percent and the company has established itself as a recognised player in this segment as well, which it entered only recently.
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