Robust Farm demand, distribution expansion initiatives in consumer replacement business and base impact of COVID in March 2020 expands tyre manufacturer Goodyear India’s revenue by 50% in Q4FY21 at INR 574 crore.
“Fourth-quarter profit after tax (PAT) were INR 43 crore compared to INR 13 crore a year ago, an increase of 240%. The improvement was driven by higher volumes, increased factory utilisation and cost efficiencies. PAT as a percentage of sales was 7.6% compared to 3.4% in the same period last year,” the company informed BSE in a statement.
“We benefited from the ongoing enhancement of our consumer replacement distribution network, particularly in rural markets where we are creating synergies with our farm business. Our distribution initiatives are strengthening our position in the market and helping us build a sustainable business. Our results also reflect increasing momentum in the farm segment driven by a resurgence in rural demand and our excellent products and customer service,” said Sandeep Mahajan, Chairman and Managing Director of the company.
“While we expect to continue advancing our strategic priorities in fiscal 2022, safeguarding our associates and helping our communities overcome COVID remain our top priorities,” added Mahajan.
Goodyear’s total income for the financial year 2020-21 was INR 1,814 crore, a 2% increase from the same last year, despite the COVID impact.
FY 2020-21, profit after tax were highest ever in the history of the company. PAT was INR 136 crore compared to INR 89 crore a year ago, increasing 53%.
Cost efficiencies and favourable mix offset the impact of lower volume due to Covid, the company added.