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Apollo Tyres total operating income on consolidated basis in Q1FY27 stood at ₹ 7,398 crores

ICICIdirect Research 07 Aug 2026 DISCLAIMER

News: Apollo Tyres total operating income on consolidated basis in Q1FY27 stood at ₹ 7,398 crores, up 13% YoY. EBITDA for the quarter stood at ₹ 868 crore with EBITDA margins at 11.7%, down ~285 bps QoQ. Consequent consolidated PAT for Q1FY27 came in at ₹ 349 crores. On standalone basis it reported an EBITDA margin of 12%, down 260 bps QoQ. Double digit revenue growth at Indian operations was however comforting amid healthy underlying OEM and replacement market demand. 

View: Revenue from Indian operation grew by 14.5% YoY at ₹5,529 crores while Europe operation reported a steady growth of 10.3% YoY at ₹2,039 crores. Company witnessed decline of ~550 bps in gross margins on standalone basis (better than peers which were down by 625 bps QoQ) amidst inflated commodity costs while reported 260 bps QoQ decline at the EBITDA level (better than peers which were down by 542 bps QoQ). Nosedive in gross margins came in as expected amidst inflated commodity prices. However, amid lower other overhead costs company contained the decline, which was commendable & was a beat to our estimates. Management commentary on margins recovery will be the key monitorable, along with demand prospects both in domestic and foreign markets.

Impact: Positive

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