CEAT records net loss of Rs 20 cr in December end quarter
ROADS & HIGHWAYS

CEAT records net loss of Rs 20 cr in December end quarter

Indian tyre manufacturing major CEAT Limited reported a net loss of Rs 20 crore during the December-end quarter because of muted demand.

Earlier, the company reported a net profit of Rs 132 crore during the third quarter (Q3) of FY 2020-21.

According to a report, the company's revenue from operations increased by Rs 2,413 crore in Q3, compared to Rs 2,221 crore during the same period a year ago.

Managing Director of CEAT, Anant Goenka, said that the company is witnessing muted demand in the replacement department due to tepid consumer sentiment, higher prices of fuels and a softer uptick in the rural markets of India. The ongoing shortage of semiconductors affects the original equipment manufacturer (OEM) passenger segment sales.

He added that the company's margins continue to face a crisis due to increasing prices of the commodity that have begun to taper down towards the end of Q3.

Moreover, CEAT is taking necessary actions to reduce costs and are looking at appropriate price increases forward.

Goenka said that the tyre manufacturers have gained market share in the passenger segment and witnessed robust growth in the off-highway tyre (OHT) and overseas business. The two-wheelers segment is another space that will continue to remain strong.

Image Source


Also read: CEAT to reinvent tyres with IOS sensors, GPS trackers, AI systems

Indian tyre manufacturing major CEAT Limited reported a net loss of Rs 20 crore during the December-end quarter because of muted demand. Earlier, the company reported a net profit of Rs 132 crore during the third quarter (Q3) of FY 2020-21. According to a report, the company's revenue from operations increased by Rs 2,413 crore in Q3, compared to Rs 2,221 crore during the same period a year ago. Managing Director of CEAT, Anant Goenka, said that the company is witnessing muted demand in the replacement department due to tepid consumer sentiment, higher prices of fuels and a softer uptick in the rural markets of India. The ongoing shortage of semiconductors affects the original equipment manufacturer (OEM) passenger segment sales. He added that the company's margins continue to face a crisis due to increasing prices of the commodity that have begun to taper down towards the end of Q3. Moreover, CEAT is taking necessary actions to reduce costs and are looking at appropriate price increases forward. Goenka said that the tyre manufacturers have gained market share in the passenger segment and witnessed robust growth in the off-highway tyre (OHT) and overseas business. The two-wheelers segment is another space that will continue to remain strong. Image SourceAlso read: CEAT to reinvent tyres with IOS sensors, GPS trackers, AI systems

Next Story
Technology

AirBrick Infra Sets Rs 1 billion Target, Expands to Dubai and Tier-II Cities

AirBrick Infra, one of India’s fastest-growing AI-led commercial interior design and build firms, has announced a sales order target of Rs 1 billion for FY 2025–26. The projection represents a 50 per cent growth over the previous fiscal year and reflects rising demand, increased repeat business, and the company's robust tech-first delivery model.  Now in its third year of operations, AirBrick continues its rapid scale-up, having successfully delivered over 70 projects spanning 3 lakh sq ft in FY 2023–24. FY 2024–25 witnessed the onboarding of several Fortune 500 clients, sett..

Next Story
Resources

Virtusa Foundation Powers Green Education Drive in Bengaluru

The Virtusa Foundation, CSR arm of digital engineering and technology leader Virtusa Corporation, has announced key infrastructure and mobility initiatives at the Ramakrishna Mission, Shivanahalli, Bengaluru. The launch marks the inauguration of a 16-room residential facility for lady teachers and the deployment of two solar-powered electric buses, underscoring Virtusa’s commitment to its core pillars of Education, Environment and Empowerment (3Es).  Located on the forest fringe near Bannerghatta National Park, the initiative supports tribal and underserved communities, complementi..

Next Story
Infrastructure Urban

Godrej Enterprises Drives India’s Smart Green Logistics Shift

As India accelerates its transformation into a global manufacturing and logistics hub, Godrej Enterprises Group (GEG) is taking the lead with its smart, sustainable intralogistics solutions. Through its Material Handling Equipment (MHE) and Storage Solutions businesses, GEG is redefining operational efficiency in modern warehouses and factories using IoT, automation, and AI. GEG has consistently maintained a 20–25 per cent market share in the intralogistics sector over the past three years. Today, over 37 per cent of GEG’s revenues come from its Good & Green portfolio, and its net..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?