CEAT expects more tyre price hikes as input costs stay high
In short
CEAT says tyre prices may rise again because raw material costs are still high. The company expects gross margins to improve in the first half of next financial year if input costs settle down.
It also expects Camso to turn EBITDA positive in the second half and says demand is steady in OEM, replacement and export markets.
What the reporting says
CEAT said it may raise tyre prices further as raw material costs remain elevated, according to CNBC TV18 Business. The company expects gross margins to recover in the first half of the next financial year if input costs stabilise, while Camso is seen turning EBITDA positive in H2. CEAT also said demand remains steady across OEM, replacement and export markets.
Why it matters
CEAT expects more tyre price hikes as raw material costs stay high. The company said gross margins could recover in the first half of the next financial year if input costs stabilise, and it expects Camso to turn EBITDA positive in H2. Steady demand across OEM, replacement and export markets supports the outlook for investors and the tyre business.