JK Tyre & Industries (530007) Q1 25/26 earnings summary

Executive summary

• Achieved consolidated Q1 FY26 revenue of ₹3,891 crore, up 6% year-on-year, with robust domestic and export growth, supported by premiumization and digital initiatives.

• Q1 FY26 PAT reached ₹163.35 crore, up from ₹98.66 crore in Q4 FY25 but down from ₹218.30 crore in Q1 FY25; total comprehensive income was ₹208.62 crore.

• Maintains a leading position in India’s tyre market with global reach, strong R&D, and recognized among the top 15 strongest tire brands globally.

• Export volumes surged 39% year-on-year, with deepened market penetration and new dealer additions.

• FY25 consolidated revenue was ₹14,772 crore, down 2% year-over-year, with PAT at ₹516 crore, a 36% decline.

Financial highlights

• Q1 FY26 consolidated revenue was ₹3,891 crore, up 6% year-on-year; EBITDA stood at ₹424 crore, margin at 10.9%, up from 10.2% in the previous quarter.

• Q1 FY26 net profit after tax was ₹155 crore; cash profit rose 17% quarter-on-quarter to ₹309 crore.

• Earnings per share for Q1 FY26 were ₹6.03, up from ₹3.54 in Q4 FY25 but down from ₹7.72 in Q1 FY25.

• Net debt reduced to ₹3,862 crore, down by ₹219 crore sequentially; net debt to equity at 0.74x as of June 30.

• Net worth as of June 30, 2025, was ₹5,064.10 crore, up from ₹4,642.71 crore a year ago.

Outlook and guidance

• Double-digit consolidated revenue growth expected for the full year, led by replacement demand and margin expansion from benign raw material prices and improved product mix.

• CapEx projects of ₹1,400 crore progressing on schedule, with new capacities to come online from Q3.

• Focus on innovation, sustainability, and expanding product lines, including EV and green tyres.

• Premium product mix in passenger car radials targeted to rise from 26% to 40% in coming quarters.

• Continued investment in R&D and sustainability initiatives to drive future growth.