
CEAT Limited, a leading tyre manufacturer under the RPG Group, reported a consolidated revenue from operations of ₹3,420.6 crore in Q4FY25, marking a 14.3% year-on-year (YoY) increase from ₹2,991.9 crore in Q4 FY24. On a quarter-on-quarter (QoQ) basis, revenue grew by 3.7% from ₹3,299.9 crore in Q3 FY25. This growth was fueled by healthy volume increases in the OEM segment and consistent performance in the replacement segment, though international business faced headwinds due to global macroeconomic challenges.
However, profitability metrics showed mixed results. The EBITDA stood at ₹393.5 crore, up 13.6% QoQ from ₹346.3 crore in Q3 FY25 but only 1.8% higher than ₹400.9 crore in Q4 FY24. The EBITDA margin improved to 11.5% in Q4 FY25, up 101 basis points (bps) QoQ from 10.5%, but contracted by 189 bps YoY from 13.4%, reflecting pressures from rising costs. The cost of goods sold (COGS) surged 23.9% YoY to ₹2,139.1 crore, impacting gross margins, which fell to 37.5% from 42.3% in Q4 FY24.
Profit after tax (PAT) for the quarter was ₹98.7 crore, a marginal 1.7% increase QoQ from ₹97.0 crore but a 3.5% decline YoY from ₹102.3 crore. The YoY drop was partly due to a ₹37.0 crore exceptional expense related to voluntary employee separations, though this was lower than the ₹58.2 crore exceptional expense in Q4 FY24. Operating profit before tax (PBT) fell 17.9% YoY to ₹166.8 crore, despite a strong 28.6% QoQ rise.
Full Year Performance
For the full year ended March 31, 2025, CEAT Limited reported a consolidated revenue from operations of ₹13,217.9 crore, a 10.7% increase from ₹11,943.5 crore in FY24, driven by double-digit growth across key categories, including replacement and OEM segments. However, profitability faced challenges, with EBITDA declining 10.6% to ₹1,495.9 crore, and the EBITDA margin contracting to 11.3% from 14.0%, due to a 18.9% rise in cost of goods sold to ₹8,232.1 crore. Profit after tax fell 25.8% to ₹471.4 crore from ₹635.3 crore, impacted by higher costs and a ₹29.6 crore exceptional expense, despite strategic cost controls and capacity investments of ₹946 crore.
CEAT’s focus on cost competitiveness and capacity expansion, with ₹946 crore invested in FY25, positions it well for future growth. Its board approved a ₹30 per share dividend (300%). As CEAT integrates its CAMSO compact construction business, the company is poised to sustain its growth trajectory in FY26, despite global market challenges.
CEAT Limited, established in 1958, is a flagship company of the RPG Group and one of India’s leading tyre manufacturers. Headquartered in Mumbai, CEAT produces over 41 million high-performance tyres annually, catering to segments like 2-3 wheelers, passenger vehicles, commercial vehicles, and off-highway vehicles.Â
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