Ceat tyre bursts

Ceat posted a 13% (YoY) rise in net revenue at Rs.2592 crore but a 30% increase in raw material prices pushed down the EBITDA by 27% at Rs.195 crore and margins contracted 420 bps to 7.5%.

Interest cost, despite the low interests, rose 42% at Rs.57 crore. It ended the quarter with a 83% drop in net profit at Rs.25 crore.

The stock opened 2.5% lower at Rs.1063, to go down further to Rs.1027.50, down almost 6%. Its 52-week low is at Rs.920.55.