Apollo Tyres Ltd — Investor Presentation 2025

Feb 7, 2025

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ATL/ SEC/21	February 7, 2025
The Secretary, National Stock Exchange of India Ltd., Exchange Plaza, Bandra-Kurla Complex, Bandra (E), Mumbai - 400 051	The Secretary, BSE Ltd. Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400001.

Sub: Investor Presentation-Q3 FY25

Dear Sirs,

Pursuant to Regulation 30(6) and 46(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached herewith the presentation to be shared at the Investors Conference Call scheduled to be held today i.e. February 7, 2025.

The presentation is also available on the website of the Company i.e. www.apollotyres.com.

This is for your information and records.

Thanking you,

Yours faithfully, For Apollo Tyres Ltd.

SEEMA Digitally signed by SEEMA THAPAR THAPAR Date: 2025.02.07 11:54:36 +05'30'

(Seema Thapar)

Company Secretary & Compliance Officer

Registered Office: Apollo Tyres Ltd. 3[rd] Floor, Areekal Mansion, Panampilly Nagar, Kochi 682036, India CIN: L25111KL1972PLC002449, Tel No. + 91 484 4012046, Fax No. +91 484 4012048, Email:info.apollo@apollotyres.com

Earnings Presentation | Q3 FY25

Disclaimer

These materials have been prepared by Apollo Tyres Limited together with its subsidiaries (the “Company”), are for informational purposes only and do not constitute a prospectus or an offer document, or form part of an offer, solicitation or invitation of any offer to purchase or subscribe for any securities of the Company in any jurisdiction, nor should these materials or any part thereof form the basis of, or be relied upon in any connection with, any contract, commitment or investment decision whatsoever.

These materials have not been independently verified. No representation or warranty, expressed or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the information presented or contained in these materials. None of the Company or any of its directors, officers, affiliates, advisers or representatives accepts any liability whatsoever for any loss howsoever arising from any information presented or contained in these materials. The information presented or contained in these materials is subject to change without notice and its accuracy is not guaranteed.

These materials contain statements that constitute forward-looking or belief statements. These statements include descriptions regarding the intent, belief or current expectations of the Company or its management and information currently available with them including with respect to the consolidated results of operations and financial condition of the Company. These statements can be recognized by the use of words such as “expects,” “plans,” “will,” “estimates,” “projects,” “believes,” “intends,” or words of similar meaning. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those in the forward-looking statements as a result of various factors and assumptions. Neither the Company nor any of its advisors or representatives, on behalf of the Company assumes any responsibility or obligation to update or revise forward-looking statements to reflect future events or circumstances.

In no event shall the Company be responsible to any person or entity for any loss or damage, whether direct, indirect, incidental, consequential or otherwise, arising out of access or use or dissemination of information contained in this presentation, including, but not limited to, loss of profits. You acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the business of the Company.

No representation, warranty, guarantee or undertaking (express or implied) is made as to, and no reliance should be placed on, the accuracy, completeness or correctness of any information, including any projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein and, accordingly, none of the Company, its advisors and representative and any of its or their affiliates, officers, directors, employees or agents, and anyone acting on behalf of such persons accepts any responsibility or liability whatsoever, in negligence or otherwise, for any loss or damage, direct, indirect, consequential or otherwise arising directly or indirectly from use of this presentation or its contents or otherwise arising in connection therewith.

This presentation includes certain industry data and projections that have been obtained from industry publications and surveys. Industry publications and surveys and forecasts generally state that the information contained therein has been obtained from sources believed to be reliable, but there is no assurance that the information is accurate or complete. Neither the Company nor any of its advisors or representatives have independently verified any of the data from third-party sources or ascertained the underlying economic assumptions relied upon therein. All industry data and projections contained in this presentation are based on data obtained from the sources cited and involve significant elements of subjective judgment and analysis, which may or may not be correct. For the reasons mentioned above, you should not rely in any way on any of the projections contained in this presentation for any purpose.

The distribution of these materials in certain jurisdictions may be restricted by law and persons into whose possession these materials comes should inform themselves about and observe any such restrictions.

THIS PRESENTATION AND INFORMATION CONTAINED HERE IS NOT INTENDED FOR PUBLICATION OR DISTRIBUTION IN, AND DOES NOT CONSTITUTE AN OFFER OF SECURITIES IN, THE UNITED STATES. NO SECURITIES OF THE COMPANY HAVE BEEN OR WILL BE REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED, OR WITH ANY SECURITY REGULATORY AUTHORITY OF ANY STATE OR OTHER JURISDICTION OF THE UNITED STATES AND, ACCORDINGLY, MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED WITHIN THE UNITED STATES EXCEPT PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OR PURSUANT TO AN EFFECTIVE REGISTRATION UNDER THE SECURITIES ACT AND/OR ANY APPLICABLE U.S. STATE OR LOCAL SECURITIES LAWS.

By accessing this presentation, you accept that this disclaimer and any claims arising out of the use of the information from this presentation shall be governed by the laws of India and only the courts in New Delhi, India, and no other courts, shall have jurisdiction over the same.

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Consolidated Financial Sna shot p

Q3 FY25 Financial Performance YTD FY25 Financial Performance Revenue EBITDA EBITDA Margins Revenue EBITDA EBITDA Margins INR 69,280 Mn INR 9,470 Mn 13.7% INR 196,998 Mn INR 27,342 Mn 13.9% Y-o-Y Y-o-Y Y-o-Y Y-o-Y Y-o-Y Y-o-Y +5.0% -21.6% -465 Bps +3.0% -20.0% -401 Bps ROCE Net Debt / EBITDA ROCE Net Debt / EBITDA* 12.2% 0.7x 11.4% 0.7x**

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• based on TTM figures ** Annualizing earnings of the stated period

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Performance Summar – YTD FY25 y

Revenue Mix Consolidated – YTD FY25 Revenue Mix Consolidated – YTD FY22

Consolidated Consolidated Revenue EBITDA ~₹197 Bn ~₹27.3 Bn (13.9%) Capacity Utilization India Europe 79% 76%

By Region

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Others,
3%
Europe [1,]
30%
APMEA,
67%
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Note:

1. Europe Includes operations of ReifenCom

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Revenue Mix Standalone – YTD FY25
By Product By Channel
Others,
8% Export,
Light Commercial 13%
Vehicle,
8% Truck & Bus,
55%
Farm, 6%
OEM,
23%
Passenger
Vehicle,
24% Replacement,
64%
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Revenue Mix Consolidated – YTD FY25

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By Product By Channel
Others,
Light Truck, 6% Truck & Bus, OEM,
6% 41% 19%
Farm/Off
Highway,
9%
Passenger
Vehicle,
39% Replacement,
81%
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O eratin Hi hli hts – India p g g g

• Q3 FY25

• • Registered good YoY growth in replacement segment revenues for key categories – TBR, PCR and Farm.

• • We gained market share in the PCR replacement segment and registered c. 45% growth (YoY) in the Vredestein volumes.

• • OEM segment volumes continued to be soft. CV OEM performance impacted by 1) decline in vehicle production and 2) unfavorable mix in CV segment (higher sales of buses etc).

• • Reported drop in EBITDA margin YoY and QoQ largely on account of steep raw material inflation (+15% YoY).

• • We will continue to focus on business fundamentals, cost control and free cash flow generation.

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Revenue (₹ Mn)
45,398
43,319
+4.8%
Q3 FY24 Q3 FY25
EBITDA Margin (%)
18.1%
11.1%
Q3 FY24 Q3 FY25
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O eratin Hi hli hts – Euro e[1] p g g g p

Q3 FY25

• During the quarter, our volume growth in PCT segment were lower than overall Industry growth. However, more importantly, we outgrew industry in the profitable segments – winter tyre segment and UHP segment.

• Continuing with our premiumization journey, UHP mix for the quarter stood at 48%, compared to 43% for same quarter last year.

• In the PCR OEM segment, we continue to gain fitments in the marquee German brands, supporting our premimisation journey.

• Despite RM pressure (+4% YoY) reported 18% operating margins for the quarter (+290 bps QoQ / -260bps YoY).

• Operating performance is expected to remain healthy with our constant focus on sales mix improvement and cost optimization.

Notes:

1. Includes only sales and manufacturing operations , excl. Reifencom GmbH (Distribution business)

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Revenue (€ Mn)
181
176
Q3 FY24 Q3 FY25
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EBITDA Margin (%)
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20.3%
17.7%
Q3 FY24 Q3 FY25
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6

Consolidated Cash Flow & Balance Sheet Hi hli hts g g

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Capex (₹ Bn)
7
3
FY24 1HFY25
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Key Highlights

• Net debt at the end of Dec’24 decreased by ₹ 4.5 Bn, compared to Sep’24. The decrease in net debt was primarily on account of lower short-term borrowings. We had observed an increase in working capital in last quarter which has come back to normalized levels.

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Free Cash flow (₹ Bn)
30
20
20
10
-
-1
-10
FY24 1HFY25
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• Also registered marginal decline in long term debt at the end of Dec’24 (compared to Sep’24)

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Net Debt (₹ Bn)
2.0
30
30 26 1.0
0.8
0.7
10 0.0
Sep' 24 Dec' 24
Net Debt (₹Bn) Net Debt to EBITDA (x)
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Financial Statements

Profit & Loss (Quarterly) – Consolidated

Particulars (₹ Mn)	Q3 FY25	Q3 FY24	Q2 FY25	% Change - YoY	% Change - QoQ
Revenues	69,280	65,954	64,370	5.0%	7.6%
Raw Material	40,521	35,192	35,565
Staff Cost	7,971	7,669	7,697
Other Costs	11,318	11,012	12,330
EBITDA	9,470	12,081	8,779	-21.6%	7.9%
EBITDA Margin (%)	13.7%	18.3%	13.6%
Depreciation	3,759	3,676	3,759
Other Income	81	184	217
EBIT	5,791	8,589	5,237
EBIT Margin	8.4%	13.0%	8.1%
Interest	1,105	1,230	1,197
Tax	1,273	2,242	1,015
Exceptional Items	42	151	52
PAT	3,370	4,966	2,973
PAT Margin (%)	4.9%	7.5%	4.6%

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Profit & Loss (YTD) – Consolidated

Particulars (₹ Mn)	YTD FY25	YTD FY24	% Change - YoY
Revenues	1,96,998	1,91,195	3.0%
Raw Material	1,10,602	1,03,607
Staff Cost	23,636	22,352
Other Costs	35,419	31,042
EBITDA	27,342	34,194	-20.0%
EBITDA Margin (%)	13.9%	17.9%
Depreciation	11,213	10,898
Other Income	606	793
EBIT	16,734	24,088
EBIT Margin	8.5%	12.6%
Interest	3,372	3,913
Tax	3,500	6,094
Exceptional Items	498	405
PAT	9,363	13,675
PAT Margin (%)	4.8%	7.2%

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Profit & Loss (Quarterly) – Standalone

Particulars (₹ Mn)	Q3 FY25	Q3 FY24	Q2 FY25	% Change - YoY	% Change - QoQ
Revenues	45,398	43,319	44,617	4.8%	1.7%
Raw Material	30,254	25,620	28,345
Staff Cost	2,856	2,831	2,773
Other Costs	7,252	7,028	8,111
EBITDA	5,035	7,840	5,389	-35.8%	-6.6%
EBITDA Margin (%)	11.1%	18.1%	12.1%
Depreciation	2,332	2,279	2,327
Other Income	215	127	248
EBIT	2,919	5,688	3,310
EBIT Margin	6.4%	13.1%	7.4%
Interest	961	995	873
Tax	698	1,587	748
Exceptional Items	24	150	41
PAT	1,235	2,956	1,648
PAT Margin (%)	2.7%	6.8%	3.7%

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Profit & Loss (YTD) – Standalone

Particulars (₹ Mn)	YTD FY25	YTD FY24	% Change - YoY
Revenues	1,35,931	1,31,519	3.4%
Raw Material	87,042	78,824
Staff Cost	8,631	8,332
Other Costs	23,502	20,241
EBITDA	16,756	24,121	-30.5%
EBITDA Margin (%)	12.3%	18.3%
Depreciation	6,950	6,818
Other Income	772	742
EBIT	10,577	18,045
EBIT Margin	7.8%	13.7%
Interest	2,708	3,151
Tax	2,476	5,080
Exceptional Items	591	390
PAT	4,803	9,425
PAT Margin (%)	3.5%	7.2%

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12

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himanshu.sharma1@apollotyres.com

saloni.agarwal@apollotyres.com

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