JK Tyre Q3 net profit at Rs 21 cr

JK Tyre & Industries today reported standalone net profit of Rs 21.14 crore for the third quarter ended December 31, 2012.

The company had posted a net loss of Rs 21.31 crore in the corresponding period previous year.

The standalone total income during the third quarter of this fiscal went down by 7.35% to Rs 1,281.49 crore from Rs 1,383.19 crore in the year-ago period, JK Tyre & Industries said in a statement.

Commenting on the numbers, JK Tyre & Industries Vice- Chairman and MD Raghupati Singhania said: "It was indeed a challenging quarter for the auto industry with depressed demand, particularly by the OEMs, which impacted demand for tyres".

The company's better profitability was due to deeper penetration in the market place, particularly in truck and bus radials, despite the overall slowdown, he added.

"The stable raw material prices during the quarter helped in containing costs. Additional radial tyre capacities recently created, both for truck/bus as well as passenger tyres will further cement JK Tyre's radial leadership position," Singhania said.

Shares of JK Tyre & Industries today closed higher by 1.75% at Rs 116.40 apiece on the BSE.