Noida, May 7 (APAC Media): Tyre Maker MRF Ltd on Thursday reported a 30% increase in consolidated net profit to Rs 2,426 crore for the financial year ended March 31, 2026, compared with Rs 1,873 crore in the preceding fiscal, according to a regulatory filing.
The tyre maker posted consolidated total income of Rs 31,654 crore for the year ended March 31, 2026, marking an increase of around 11 per cent from Rs 28,570 crore recorded in the previous fiscal year.
The company’s consolidated profit before tax stood at Rs 3,222 crore for the year ended March 31, 2026, compared with Rs 2,483 crore in the previous financial year. Tax expense for the year stood at Rs 796 crore, as against Rs 610 crore in the preceding fiscal.
The board of directors has declared a dividend of Rs 235 per equity share of Rs 10 each for the financial year 2025-26, which includes two interim dividends of Rs 3 per share already paid during the year.
“The ongoing conflict in the Middle East and resulting disruptions have led to an uncontrolled increase in raw material costs and supply chain issues. This has severely impacted the cost of input materials, which is expected to continue,” the company said in a filing.
MRF delivered a healthy operational performance in FY2025-26, crossing the Rs 30,000-crore sales milestone during the year on the back of strong growth in both the replacement and OEM segments.
“The company has taken price increases and cost management measures to mitigate the impact of higher raw material costs and will take further hikes. In view of the unpredictable economic conditions and cost pressures on margins, it is difficult to anticipate the expected impact on growth, and the company is in the process of evaluating the same,” it added.
However, the company’s performance was supported by the launch of new SKUs across categories, including truck, passenger vehicle and two-wheeler tyres.
It continued to strengthen its position as one of the largest OEM tyre suppliers for ICE vehicles and emerged as a preferred supplier for electric vehicles.
The company also noted that its tyres are increasingly being fitted on vehicles exported by OEMs to several international markets.
Therefore, demand buoyancy arising from the reduction in GST rates continued into the fourth quarter of the year, reflected in both replacement and OE sales. OEMs also witnessed strong demand during the quarter, leading to an increase in tyre demand.
To cater to future demand for tyres across the replacement market, OEMs and exports, the company is expanding capacity across its plants.
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