CEAT Profits Jump Sixty Percent Following Tax Reductions and Sales Surge
CEAT Ltd reported a 60 percent surge in quarterly net profit to 1.56 billion rupees. The firm is investing 13.14 billion rupees to expand production capacity.
Insights:
CEAT Ltd reported a 60 percent increase in consolidated net profit for the October-December 2025 quarter, reaching 1.56 billion rupees compared to 971.1 million rupees in the same period last year. The Indian tyre manufacturer saw its quarterly revenue rise by 26 percent to 41.57 billion rupees as demand strengthened across the domestic market in India
IN. This financial performance was bolstered by a significant reduction in government taxes implemented in September 2025, which saw rates on tyres drop from 28 percent to 18 percent and tractor tyre rates fall from 18 percent to 5 percent.
The tax incentives have stimulated growth in both the replacement tyre segment and new vehicle sales. Replacement tyres typically account for approximately half of the revenue generated by CEAT Ltd, while sales to major automakers such as Maruti Suzuki India Ltd and Hyundai Motor India Ltd represent about one-fourth of the quarterly total. The remainder of the revenue for CEAT Ltdis derived from export markets.










