It has been a difficult few months for tyre manufacturers. A period of de-stocking in the run-up to the goods and services tax (GST) roll-out, followed by a steep rise in raw material prices saw EBIDTA margins of these companies take a hit, CNBC-TV18's Jude Sannith caught up with MRF's Executive Vice President Koshy Varghese, who says the worst may be over.
Koshy Varghese, Executive VP-Marketing at MRF is not bullish in terms of growth and demand for the tyre industry and expects it to grow at single digit.
MRF reported a net profit jump of 94.2 percent at Rs 447 crore in the third quarter ended June, 2015 versus Rs 230.2 crore reported in the same quarter last year.
Speaking to CNBC-TV18's Sonia Shenoy, Koshy K Varghese, Exective VP- Marketing at MRF said the drop in rubber prices did not help the company's EBITDA margins as other input costs went up.