Ceat (500878) Q4 25/26 earnings summary

Executive summary

• FY 2026 saw robust double-digit revenue growth in all quarters, with Q4 consolidated revenue at ₹4,219 crore, up 23% YoY, and strong demand across segments, especially in the second half.

• EBITDA margin improved to 14.2% in Q4 FY26, reflecting operational efficiency, with Q4 net profit at ₹244 crore and full-year net profit at ₹697 crore.

• International business rebounded, particularly in Western Europe and the U.S., and OEM and exports drove growth despite Middle East headwinds.

• Camso off-highway tyre and tracks business acquisition was completed, with integration ongoing and full value chain control expected by March 2027.

• Recognized with multiple awards, including Procurement Team of the Year, Hyundai Supplier of the Year 2025, and S&P Global ESG score of 69/100, placing in the top 4% of global auto component firms.

Financial highlights

• FY26 consolidated revenue was ₹15,678 crore, up 18.6% YoY; standalone revenue was ₹15,215 crore, up 15.5%.

• Q4 standalone revenue: ₹4,036 crore (up 18% YoY); Q4 consolidated revenue: ₹4,219 crore (up 23% YoY).

• Q4 standalone EBITDA: ₹587 crore (margin 14.6%); full-year standalone EBITDA: ₹2,042 crore (margin 13.4%).

• Q4 consolidated EBITDA margin: 14.2%; full-year: 13.2%.

• Dividend of ₹35 per share (350%) recommended for FY 2026.

Outlook and guidance

• Near-term demand expected to moderate due to steep raw material inflation and supply chain challenges, with price hikes and cost controls planned to offset cost pressures.

• International business remains the fastest-growing segment YoY, with OEM and exports driving growth.

• Camso revenue ramp-up expected in H2 FY 2027 as customer interface transitions.