Tyre industry major JK Tyre & Industries (JK Tyre) on Thursday reported a consolidated net profit of ₹54 crore for the quarter ended December 31, down by more than 76 per cent year-on-year (y-o-y) as compared to ₹230 crore in the corresponding period last year.

However, total income of the company rose by 11 per cent y-o-y to ₹3,084 crore during the quarter against ₹2,776 crore in the same quarter of 2020.

Raghupati Singhania, Chairman and Managing Director, JK Tyres, said that the company recorded the highest ever quarterly sales during the third quarter and exports contributed significantly to the top line.

“The unabated increase in input costs could be partially offset by some price increases. We intend to increase selling prices again to neutralise the impact further,” he added.

The company’s subsidiaries — Cavendish Industries and JK Tornel, Mexico — have made significant contributions to revenue.

JK Tornel, Mexico has achieved 100 per cent sales growth during the first nine months of the fiscal. Operating margins have also improved considerably, Singhania said.

“We are optimistic on the outlook of the tyre industry and believe there will be good demand growth across all market segments given the expected economic activity going forward and the waning effect of the pandemic,” he added.

Shares of JK Tyre closed at ₹133.25 apiece on the BSE on Thursday, down 2.31 per cent from the previous close.