Ceat posts Rs 41.5 cr profit in Q4 vs Rs 12 cr loss yr ago

Moneycontrol Bureau

Tyre maker Ceat rode back into the black with a consolidated net profit of Rs 41.5 crore in the fourth quarter, compared with a loss of Rs 12 crore a year ago, helped by good sales growth and softening rubber prices in recent months.

The RPG Group company's consolidated net sales in Jan-March were up 24% year-on-year to Rs 1,214.82 crore.

Its EBITDA (earnings before interest, taxes, depreciation and amortization) jumped to Rs 130 crore in the fourth quarter, from Rs 19 crore a year ago.

Ceat's rival and India's top tyre maker MRF had last month reported a 67% year-on-year jump in Jan-March net profit at Rs 150.13 crore, while net sales rose near 30% to Rs 2,990.63 crore.

Ceat's raw material costs rose just 3% from a year ago to Rs 834.3 crore over the three-month period. For the full year 2011-12, input costs were up near 23%. Rubber prices had peaked around April 2011.

Meanwhile Ceat's finance costs in the quarter rose to Rs 54 crore from 32 crore a year ago.

Ceat shares closed up 2.3% at Rs 106.25 on NSE on Tuesday.