Raghupati Singhania, chairman and managing director, said the capex outlay would help the company expand capacity by nearly a fourth—signalling a major bet on sustained demand across passenger and commercial vehicle segments. Singhania was speaking on a media call to discuss quarterly and annual financial results.
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JK Tyre posted robust performance for the March quarter and FY26. Net profit surged 94% to 199 crore in the three months ended March. Consolidated revenue rose 12% to 4,233 crore. Ebitda grew 42% to 546 crore, with margins expanding to 12.9%.
For FY26, net profit accelerated 52% to 786 crore. Consolidated revenue touched a record 16,384 crore, up 11%, while Ebitda rose 25% to 2,089 crore and margins at 10.8%.
The latest expansion plan—spread over three phases through December 2029—will be weighted heavily towards Chennai, with about 90% of the investment deployed in the facility there, primarily to expand passenger car radial (PCR) capacity. The remainder will go towards expanding truck-bus radial (TBR) capacity in the Mysore facility.
“We have planned this expansion because we are seeing future demand…we expect demand generation to be quite healthy,” said Singhania.
JK Tyre is already in the midst of 1,130 crore expansion for PCR and TBR capacity, set to be go onstream by the December quarter, with its plants running at 95% utilisation. Premium tyres—rims of 16 inches and above—currently account for 35% of the mix, up from 26%, with a target to cross 50% post-expansion. The company meanwhile continues to battle headwinds like other tyre makers in the country.