JK Tyre & Industries Q1 Results: Net profit tumbles 73% at Rs 44.09 crore
In the first quarter of FY27, JK Tyre & Industries reported a staggering 73 percent decline in profits, primarily due to soaring raw material prices linked to the West Asia crisis. Their consolidated net profit plummeted to Rs 44.09 crore from Rs ...
By PTI |
BCCL - Non Copyright
JK Tyre & Industries on Friday reported a 73 per cent decline in consolidated net profit to Rs 44.09 crore in the first quarter ended June 20, 2026, hit by higher raw material costs amid the West Asia war.
The company had posted a consolidated net profit of Rs 163.35 crore in the corresponding quarter of the previous fiscal, JK Tyre & Industries Ltd said in a regulatory filing.
Consolidated revenue from operations in the quarter under review stood at Rs 3,946.24 crore as against Rs 3,868.94 crore in the same period a year ago.
Total expenses in the first quarter were higher at Rs 3,912.75 crore as compared to Rs 3,695.08 crore in the year-ago period, the company said.
During the quarter, costs of materials consumed were higher at Rs 3,036.51 crore, up from Rs 2,266.69 crore in the year-ago period, it added.
"The continuing West Asia crisis led to a sharp increase in raw material prices, which impacted our gross and operating margins. ...Approximately 70 per cent of the tyre industry raw materials are petro-based, hence, it is highly vulnerable to oil price movement," JK Tyre & Industries CMD Raghupati Singhania said.
He, however, said the company continued its steady performance in Q1 FY27 supported by strong demand momentum across segments.
"The performance is driven by sharp focus on customer centricity, product excellence and disciplined execution across markets," Singhania said.
During the quarter, domestic volumes grew by 25 per cent on a year-on-year basis, across both replacement (12 per cent) and Original Equipment (OE) markets (42 per cent), with increasing contribution from higher-value added products, he noted.
The company had posted a consolidated net profit of Rs 163.35 crore in the corresponding quarter of the previous fiscal, JK Tyre & Industries Ltd said in a regulatory filing.
Consolidated revenue from operations in the quarter under review stood at Rs 3,946.24 crore as against Rs 3,868.94 crore in the same period a year ago.
Total expenses in the first quarter were higher at Rs 3,912.75 crore as compared to Rs 3,695.08 crore in the year-ago period, the company said.
During the quarter, costs of materials consumed were higher at Rs 3,036.51 crore, up from Rs 2,266.69 crore in the year-ago period, it added.
"The continuing West Asia crisis led to a sharp increase in raw material prices, which impacted our gross and operating margins. ...Approximately 70 per cent of the tyre industry raw materials are petro-based, hence, it is highly vulnerable to oil price movement," JK Tyre & Industries CMD Raghupati Singhania said.
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He, however, said the company continued its steady performance in Q1 FY27 supported by strong demand momentum across segments.
"The performance is driven by sharp focus on customer centricity, product excellence and disciplined execution across markets," Singhania said.
During the quarter, domestic volumes grew by 25 per cent on a year-on-year basis, across both replacement (12 per cent) and Original Equipment (OE) markets (42 per cent), with increasing contribution from higher-value added products, he noted.
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