Apollo Tyres Ltd appointed Rajeev Kumar Sinha as Whole-time Director, effective August 13, 2026. The company's Board of Directors approved the appointment during its meeting held on the same date, following a recommendation from the Nomination and Remuneration Committee. The appointment is categorised as an Additional Director and is subject to approval by shareholders through a postal ballot.

Sinha currently serves as the Chief Manufacturing & Sustainability Officer and will hold the position for a term of five years. The company confirmed that Sinha is not debarred from holding the office of a director by SEBI or any other authority.

Leadership profile

Sinha joined Apollo Tyres on April 2, 2025, initially as Chief Manufacturing Officer before being designated as Chief Manufacturing & Sustainability Officer. In this capacity, he leads the global manufacturing and sustainability team, overseeing strategy, performance optimization, plant management, and the deployment of Advanced Manufacturing Systems, including AI/ML solutions. He holds a Mechanical Engineering degree from IIT Kanpur and possesses more than 36 years of experience leading geographically dispersed teams across multiple industries.

His previous roles span several prominent organisations:

The Board meeting commenced at 2:30 am and concluded at 2:55 am. Seema Thapar, Company Secretary & Compliance Officer, signed the disclosure filed with the National Stock Exchange of India Ltd and BSE Ltd pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Apollo Tyres Ltd reported a 12.8% year-on-year rise in consolidated revenue to ₹73,978 million for Q1FY27, driven by record-breaking performance in its India operations. While top-line growth was robust, EBITDA remained flat at ₹8,680 million due to a 17% surge in raw material costs. In a significant leadership change, Chief Financial Officer Gaurav Kumar announced his resignation after more than 22 years with the company, citing the completion of the Enschede plant restructuring project as the catalyst for his departure.

The Board of Directors approved the unaudited financial results on August 7, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by the Audit Committee, and S.R. Batliboi & Co. LLP, the statutory auditors, issued their limited review report. The company also released an investor presentation detailing segment-wise performance and balance sheet health.

Key Financial Metrics

The table below summarises Apollo Tyres' consolidated financial performance for Q1FY27 compared to Q1FY26:

Segment Performance and Pricing Actions

India operations delivered their highest-ever quarterly revenue of ₹54,619 million, up 15.6% year-on-year. This growth was volume-led, with double-digit gains across replacement (13%), OEM (10%), and export (15%) channels. Despite strong volumes, EBITDA margins contracted to 12.0% from 13.6% due to raw material inflation. Management implemented staggered price hikes of 7–9% during the quarter, but noted that full pass-through requires further increases. In July, an additional 1–2% hike was announced, with another expected in August to cover the projected 8% sequential raw material cost rise in Q2.

Europe operations saw muted top-line growth of 0.5% to €147 million, weighed down by the transition costs associated with closing the Enschede plant in the Netherlands. The plant ceased production in June 2026 as planned. EBITDA margins declined to 8.9%, impacted by overlapping costs during the transition. However, management indicated that without these transition overlaps, margins would have been around 11%. The company expects financial benefits from the restructuring to materialise in H2FY27. Reifen, a subsidiary, reported €43 million revenue with a 3% EBITDA margin.

Capacity Shifts and Outlook

Apollo Tyres is shifting capacity from the Netherlands to Hungary and India. Approximately 750,000 tyres previously manufactured in the Netherlands will move to Hungary, while lower-end tyre production shifts to India. This process, initiated after Works Council clearance in September 2025, is expected to complete by September–October 2026. The Hungary facility will expand passenger car tyre capacity from 17,000 to 21,000 units per day, with production ramp-up beginning in H2. India’s new capacity is expected to come online towards the end of FY27.

On the balance sheet, consolidated net debt stood at approximately ₹1,700 crore, maintaining a Net Debt-to-EBITDA ratio of 0.4x. Capital expenditure for Q1FY27 was ₹650 crore at the consolidated level, with India-specific CapEx at ₹500 crore. Management anticipates being a net borrower in FY27, with leverage potentially rising slightly.

What the Numbers Show

The divergence between strong top-line growth and flat EBITDA underscores the immediate impact of input cost inflation. While revenue expanded by nearly 13%, operating profits did not keep pace, resulting in margin compression. The significant jump in net profit is largely attributable to the absence of large exceptional items recorded in the prior year period. With raw material costs projected to rise 8% in Q2 and plant restructuring benefits expected in H2, the trajectory of margins over the remainder of the fiscal year will be closely watched. The resignation of CFO Gaurav Kumar adds a layer of uncertainty regarding future financial strategy execution, although he confirmed that strategic initiatives like the Enschede closure are on track.