CEAT Limited , a leading Indian tyre manufacturer, has announced robust financial results for the second quarter, demonstrating significant growth and improved profitability.

Key Financial Highlights

• Consolidated revenue rose to Rs. 3,772.70 crore, marking a 14.2% year-over-year increase
• EBITDA margin expanded to 13.5%, up 240 basis points from the same quarter last year
• Net profit surged to Rs. 185.70 crore, reflecting a 52.9% year-over-year growth

Performance Breakdown

CEAT's strong performance was driven by healthy volume growth, particularly in the OEM and International Business segments. The company's OEM volume growth was bolstered by robust performance across all key segments, with festive inventory demand acting as a strong tailwind.

The financial results showcase CEAT's resilience and strategic positioning in the market:

Management Commentary

Arnab Banerjee, MD & CEO of CEAT Limited, commented on the results, stating, "We have maintained strong double-digit growth this quarter, with revenue rising by approximately 12%. One of the key developments in this quarter has been reduction in GST rates on tyres and vehicles, which we hope will have positive impact on demand across domestic categories."

Banerjee also highlighted the integration of Camso into the CEAT family, marking a significant milestone in the company's global premiumisation strategy. Looking ahead, he expressed optimism about maintaining double-digit growth in the second half of the year.

Financial Position

CEAT's balance sheet remains robust, with a debt-to-equity ratio of 0.64x. The company's CFO, Kumar Subbiah, noted that while debt has increased due to the acquisition of Camso's assets and dividend payouts, the balance sheet continues to be healthy and well-positioned to support future growth.

Operational Highlights

• Awarded the Sustainability Certificate in the Progressive Category by the Confederation of Indian Industry (CII)
• Recognized as the "Great Indian ESG Organisation of the Year (Manufacturing)" at ESG & Cleantech Summit and Awards 2025
• Launched SecuraDrive CIRCL – India's first passenger car tyre with up to 90% sustainable materials

Outlook

With a positive growth momentum and strategic initiatives in place, CEAT appears well-positioned to capitalize on market opportunities. The company's focus on sustainability and innovation, coupled with its strong financial performance, suggests a promising outlook for the remainder of the fiscal year.

Investors and market observers will likely keep a close watch on CEAT's performance in the coming quarters, particularly in light of its recent acquisition and ongoing efforts in sustainable manufacturing practices.

CEAT Limited , one of India's leading tyre manufacturers, has announced the completion of a significant acquisition that is set to bolster its position in the global Off-Highway Tyres (OHT) market. The company has successfully acquired Michelin Group's CAMSO Construction Compact Line Business for $171.00 million, marking a major milestone in its expansion strategy.

Key Highlights of the Acquisition

• Strategic Assets: The acquisition includes manufacturing plants in Sri Lanka, specifically the Midigama plant and the Casting Product plant in Kotugoda.
• Brand Rights: CEAT has secured global ownership of the CAMSO brand, which will be permanently assigned across categories after a three-year licensing period.
• Market Access: The deal provides CEAT access to over 40 global original equipment manufacturers (OEMs) and premium distributors.
• Product Range: The acquisition expands CEAT's presence in the construction equipment tire segment, complementing its existing strong agricultural portfolio.

Impact on CEAT's Global Footprint

The integration of CAMSO's compact construction equipment business into CEAT's operations is expected to significantly enhance the company's global manufacturing footprint. This strategic move aligns with CEAT's long-term vision of becoming a major player in the Off-Highway mobility sector.

Arnab Banerjee, MD & CEO of CEAT Limited, commented on the acquisition: "The integration of compact construction equipment business and the acquisition of the CAMSO brand is a pivotal step in advancing CEAT's long-term vision of becoming a significant player in Off Highway mobility. We are confident that our enhanced strengths in products, capabilities, and markets will enable us to enter new geographies, expand our portfolio, and drive sustainable growth in the years ahead."

Investment in Sri Lanka

As part of this transaction, CEAT has announced a $171.00 million investment in Sri Lanka. This investment is expected to secure 1,483 jobs and strengthen Sri Lanka's position as a global OHT hub. The move has been welcomed by H.E. Santosh Jha, High Commissioner of India to Sri Lanka, who sees it as a continuation of the strong economic ties between India and Sri Lanka.

Future Outlook

With the acquisition now complete, CEAT is poised to leverage CAMSO's expertise in compact construction equipment tracks and tires. The company aims to capitalize on the combined strengths to expand its presence in the high-margin OHT segment and accelerate its vision of becoming a global leader in Off-Highway mobility.

Amit Tolani, Chief Executive of CEAT Specialty, emphasized the importance of a smooth transition: "Our immediate focus is on seamless transition, ensuring customer satisfaction and further strengthening our operations in Sri Lanka."

As CEAT integrates the CAMSO brand and manufacturing capabilities, the company moves closer to its goal of becoming the world's most trusted name in Off-Highway Tyres and tracks. This acquisition not only expands CEAT's product portfolio but also strengthens its position in the global tire market, particularly in the construction equipment segment.