Shares of Apollo Tyres Ltd. opened higher on Friday, May 15, following its March quarter earnings announcement, but later reversed gains to trade as much as 6% lower despite reporting largely in-line results. The stock's volatility reflects investor uncertainty over the mixed brokerage reactions to the quarterly performance. The company delivered exceptional results for Q4 FY26, with consolidated net profit surging 241.76% year-on-year to ₹630.97 crore, compared with ₹184.62 crore in the corresponding quarter last year.
The company delivered exceptional results for Q4 FY26, with consolidated net profit surging 241.76% year-on-year to ₹630.97 crore, compared with ₹184.62 crore in the corresponding quarter last year. Revenue from operations jumped 14.19% YoY to ₹7,335.67 crore in the quarter ended March 31, 2026. EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) rose 28% year-on-year to ₹1,069 crore from ₹837 crore, while EBITDA margin expanded to 14.6% from 13% last year. The company reported exceptional items amounting to ₹456.13 crore during the quarter.
On the segmental front, revenue from the Asia Pacific, Middle East and Africa (APMEA) region increased 15% year-on-year to ₹5,346.44 crore, while revenue from Europe rose 15.28% to ₹2,180.25 crore. However, revenue from other regions declined 80.95% YoY to ₹225.57 crore during the quarter. Chairman Onkar Kanwar highlighted that India's performance remained robust, particularly in replacement and OE segments, with truck-bus radials recording growth of over 20% in Q4. The company reported healthy growth across both its India and Europe businesses, with both segments registering nearly 15% year-on-year growth during the quarter.
Morgan Stanley maintained an 'Equalweight' rating on the stock with a target price of ₹535, noting that consolidated revenue, EBITDA and adjusted profit after tax grew 14%, 28% and 69% year-on-year respectively. Consolidated EBITDA of ₹1,070 crore came 5% ahead of Morgan Stanley's estimates, led by stronger-than-expected performance in the India business. JPMorgan Chase maintained a 'Neutral' rating with a target price of ₹445, highlighting that consolidated revenue and EBITDA were 5% and 6% below its estimates respectively, though results remained broadly in line with Street expectations. JPMorgan highlighted that the India business outperformed forecasts, with EBITDA coming in 10% higher than expected and EBITDA margin remaining stable sequentially at 14.6%.
For the full financial year FY26, the company posted a 22.39% increase in consolidated net profit to ₹1,372.42 crore, while revenue from operations grew 8.98% to ₹28,470.60 crore compared with FY5. The board recommended a final dividend of ₹2.50 per equity share for FY26, subject to shareholders approval at the ensuing AGM. This is in addition to the interim dividend of ₹3.50 per equity share already declared and paid during FY26, taking the total dividend for FY26 to ₹6 per equity share, or 600%.
