Demand recovery key to Apollo Tyres' aggressive $5 billion revenue target

Street will watch out for capital allocation, deleveraging progress

With an aggressive revenue target of $5 billion over the next five years, tyre maker Apollo Tyres is looking at doubling its consolidated revenues from the current $2.3 billion. This translates to 16 per cent annual growth between financial year 2020-21 (FY21) and FY26 and is twice the 7 per cent growth it achieved in the FY17-21 period. 

The firm aims to hit the target by riding on the volume growth in the Indian market, doubling exports from India, new product launches, premiumisation and market share gains in key geographies here and in Europe.

In the Indian market, growth is expected to