Its operating profit margin narrowed below the 10% mark, from 12.8% in the year-ago quarter. But Apollo Tyres’ biggest setback was the ₹46.5 crore Ebit (earnings before interest and tax) loss posted by its European subsidiaries last quarter. This compares with a ₹25 crore profit in the year-ago period and a ₹69.5 crore profit in the December quarter. But even on a year-on-year comparison, which negates seasonality factors, the Ebit margin shrank to -3.8% from 2.1% in the year-ago period. So, even though revenues in these regions rose 8% year-on-year, Ebit fell to about 22%.

Source: Mint May 09, 2019 14:24 UTC