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MOTORINDIA
l
June 2012
2nd half of the fiscal, has eased some pres-
sure on our margins.”
Net sales for the fourth quarter (January-
March) of 2011-12 rose by 18.4 per cent to
Rs. 32.3 billion from Rs. 27.3 billion. Op-
erating profit grew 10.4 per cent to Rs. 3.87
billion from Rs. 3.5 billion and net profit
stood at Rs. 1.57 billion against Rs. 1.9 bil-
lion in the same quarter the previous year.
Added Mr. Kanwar: “We are in a growth
and planning mode across our operations,
where we are working towards faster mar-
ket expansion outside India, and are there-
fore seeking ways to fulfill this higher de-
mand with additional capacities.”
Corporate highlights
Apart from the existing markets in Ger-
many, the UK, Italy and the Netherlands,
Apollo branded tyres are now also being
sold in Switzerland, Austria, Denmark and
Greece in Europe. Export revenue out of
India grew 67 per cent contributed by off-
highway tyres and over 30 per cent increase
in passenger and commercial vehicle tyres
exports. On an average, raw material prices
went up 23 per cent from Rs. 131 per kg
last fiscal to Rs. 161.
After making Dubai its Middle East hub,
the company opened its first branded retail
outlet outside the country in Dubai. This
Apollo Super Zone sells both passenger ve-
hicle and commercial vehicle tyres.
Further, the ultra high performance tyre,
Apollo Aspire 4G was launched at the 82
nd
Geneva Motor Show. Apollo Vredestein
launched two new ultra high performance
tyres on the Hungaroring F1 circuit in Bu-
dapest.
Apollo Direct, a toll-free customer
number for passenger vehicle tyres, was in-
troduced in India. Similar to the full-serv-
ice branded retail outlets for passenger ve-
hicle customers, the company opened two
Apollo CV Zones, one each in Delhi and
Tamil Nadu.
Component preparation
unit opened at
South African plant
Mr. Onkar S. Kanwar, Apollo Tyres Chairman, recently inau-
gurated a new state-of-the-art component preparation unit at the
Ladysmith tyre manufacturing facility in South Africa. This 6,500
sq. metre unit, with a potential for further expansion to facilitate
future growth, has been installed with an investment of R300 mil-
lion ($35 million) and has a new calendering machine and triplex
extrusion line.
Among those present on the occasion were Dudu Mazibuko,
District Mayor, and M Madlala, Mayor of Ladysmith.
Addressing the inaugural function, Mr. Kanwar outlined the chal-
lenges facing South African tyre manufacturers of high manufac-
turing and wage costs and the threat of cheaper imports. “Despite
the challenges of the overall economy, at Apollo we will continue
to invest in our people, plants and processes to strengthen Apollo
Tyres South Africa for expansion into the African continent. South
Africa has enormous potential and all of us need to work together
to realise it.”
The new unit will remove capacity bottlenecks and improve
quality and productivity, while enabling capacity expansion. It
From left, Dr. Luis Ceneviz, Chief Executive Officer, Apollo
Tyres South Africa (Pty) Ltd, Mr. Onkar Kanwar, Ms. Dudu
Mazibuko, District Mayor, and Neeraj Kanwar, Vice Chairman
and Managing Director, Apollo Tyres Ltd. at the opening of
the new unit
tyres