Pre-Tax Profit Skyrockets at JK Tyre

Revenues of Rs 8,178 billion (£100 million) were recorded for the quarter and the company reported EBIDTA of Rs 725.3 million (£8.8 million), up from the Rs 444.9 million (£5.4 million) achieved last year. Pre-tax profit rose to Rs 312.3 million (£3.8 million), a huge jump from a year ago when profits before tax stood at Rs 56.1 million (£683,700). The earnings per share for the quarter stands at Rs 6.56 (£0.08).

Commenting on the company’s impressive performance, vice chairman and managing director of JK Tyre & Industries Raghupati Singhania credited the company’s growth in revenue and profit to a number of factors including previously initiated cost reduction measures and robust vehicle sales in India.

Singhania added that the large investments JK Tyre was making to increase truck tyre radial output would further strengthen the company’s position in the nation’s tyre market. JK Tyre is in the process of investing Rs 3.6 billion (£44 million) to expand radial truck tyre and speciality tyre output. Radial truck tyre capacity will more than double from its current 367,000 units per annum up to 800,000.

The Goodyear Tire & Rubber Company said its first quarter 2024 sales were $4.5 billion, with tire unit volumes totaling $40.4 million. For the first quarter, Goodyear's net loss was $57 million compared to a Goodyear net loss of $101 million a year ago. Leadership said the year-over-year improvement was driven by increases in segment operating income. The 2024 period also included items like, on a pre-tax basis, Goodyear Forward costs of $28 million and rationalization charges of $22 million, compared with pre-tax rationalization charges of $32 million in 2023. Goodyear said Goodyear Forward costs are comprised of advisory, legal and consulting fees and costs associated with planned asset sales.