Apollo Tyres Limited — Others, 08-07-2025: Shareholders meeting

Apollo Tyres has announced a board meeting on July 31, 2025, to consider the financial results for the quarter and half-year and declare a final dividend of ₹5.00 per equity share for FY25. The company proposes the continuation and reappointment of Mr. Francesco Gori as a Non-Executive Non-Independent Director. M/s. N.P. Gopalakrishnan & Co. has been appointed as Cost Auditors for FY26 with a remuneration of ₹4.00 lakhs plus expenses, and M/s. DMK Associates will be appointed as Secretarial Auditors for five years from FY26 to FY30.

For FY25, Apollo Tyres reported consolidated revenue of ₹26,123 Cr, a 3% increase over the previous year, with net profit declining to ₹1,121 Cr from ₹1,722 Cr due to higher raw material costs, especially natural rubber and crude-based materials. Operating profit (EBITDA) dropped to ₹3,572 Cr from ₹4,447 Cr. Capital expenditure stood at ₹769 Cr. The company’s net debt to equity ratio improved to 0.17. Premium product mix increased notably, with passenger car radial (PCR) premium mix crossing 40%.

Apollo Tyres continues brand strengthening through global campaigns and OEM partnerships, notably for BMW and Volkswagen models in Europe. It advanced digitalization and AI in manufacturing, leading to productivity and scrap reduction gains. Sustainability efforts exceeded targets, with a 35% reduction in scope 1 emissions intensity, 39% reduction in scope 2 emissions intensity, and 33% renewable energy of total power consumption against a 30% target for FY26. Water withdrawal intensity improved 28%. The company’s biodiversity initiatives include planting over 430,000 trees and mangrove conservation benefiting local communities.

The company maintains a robust risk management and internal control framework. Corporate governance practices comply with SEBI regulations, detailed in the report, including the appointment of independent directors, audit committee oversight, and shareholder grievance mechanisms. Apollo Tyres has introduced an Employee Stock Option Scheme (ESOP 2025) approved by shareholders to incentivize and retain talent.

Key operational and financial risks include raw material price volatility, economic slowdown risks in key markets, and supply chain disruptions. The company is investing in capacity expansion at Hungary and Andhra Pradesh plants, driving growth in new geographies like North America and the Middle East, and focusing on product premiumisation and sustainability for long-term value creation.

No material changes affecting financial position occurred post-FY25 year-end except a consultation process for discontinuing tyre production at the Netherlands plant by summer 2026, including provision for impairment of related assets. The Company is contesting a Competition Commission of India penalty case, currently in appeal before the Supreme Court.

Overall, Apollo Tyres remains focused on implementing strategic initiatives around digital transformation, sustainability, premium product development, operational efficiency, and global market expansion to drive profitable growth and shareholder value despite macroeconomic and industry challenges.