CEAT shares declined 2% after the company reported a 27.7% year-on-year drop in net profit for the first quarter of FY25, coming in at ₹112 crore compared to ₹154 crore a year ago. As of 9:40 AM, the shares were trading 2.11% lower at Rs 3,773.60.
Revenue for the quarter rose 10.5% to ₹3,529 crore from ₹3,193 crore in Q1 FY24, backed by strong performance in both the OEM and replacement segments. EBITDA saw a marginal rise of 1.3% to ₹387 crore. However, margins slipped to 11%, down from 12% in the same quarter last year, mainly due to higher marketing expenses.
On the demand front, the domestic market remained robust, with good volume growth across key OEM categories and stable replacement sales. The international segment, however, stayed flat, impacted by broader macroeconomic pressures.
In a key management update, the company’s board approved the reappointment of Arnab Banerjee as Managing Director & CEO for another two years, starting April 1, 2026, pending shareholder approval. The move follows a recommendation from the Nomination and Remuneration Committee.
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