Emerald Tyre Manufacturers Ltd Q2 FY26 Results & Concall Highlights: Revenue ₹350 Cr
Published 26 Aug 2026 | Auto Components | Market Cap: ₹162 Cr
FY26 (current year) target: 25-30% top-line growth, aiming for ₹250-260 crore consolidated turnover. FY26: Expecting 25-30% top-line growth, targeting around ₹250-260 crore turnover, on track to achieve guidance.
From Emerald Tyre Manufacturers Ltd's Q2 FY26 earnings-call transcript · updated 26 Aug 2026.
Price
₹81.6
Market Cap
₹162 Cr
P/E Ratio
15.7
Revenue Rank
Margin Rank
How does Emerald Tyre Manufacturers Ltd rank in Auto Components?
Compare Emerald Tyre Manufacturers Ltd against every Auto Components company this quarter on revenue, margins and earnings-call signals.
📊 Revenue & Sales Performance
Rank 2- →FY26 (current year) target: 25-30% top-line growth, aiming for ₹250-260 crore consolidated turnover.
- →Peak capacity post CapEx: ₹350 crore expected by FY27-FY28.
- →Confident of reaching ₹300 crore by FY27, with possibility of ₹350 crore if market conditions improve.
- →Incremental capacity expansion planned beyond ₹350 crore sales, requiring Greenfield plant post-2027.
- →Current CapEx impact to reflect partially in FY26 (3 months), full benefits from FY27 onwards.
- →Expansion efforts include increasing volumes in solid tyre and pneumatic segments.
- →African market expansion ongoing, targeting 7-8 locations, viewed as a "blue ocean" with high growth potential.
- →Super-premium product sales to increase margins and volumes, aiding profit growth.
- →Market diversification into US, Europe, Australia, Latin America planned to support volume growth.
📈 Profitability & Margins
Rank 3- →FY26: Expecting 25-30% top-line growth, targeting around ₹250-260 crore turnover, on track to achieve guidance.
- →FY27: Projected EBITDA improvement due to new capacity and operational efficiencies; standalone sales expected around ₹300 crore, consolidated around ₹300-310 crore.
- →Peak Capacity: Post current CapEx, maximum sales capacity around ₹350 crore achievable by FY28.
- →Post FY28: To exceed ₹350 crore sales, a Greenfield plant will be required; planning for further expansion beyond FY27 underway.
- →EBITDA Margin: H1 FY26 EBITDA at 17.75%; similar or improved margins expected in FY27 despite tariff impacts, supported by cost savings from new mixing plant.
- →Margin Expansion: Premium product mix and internalized processes to aid margin improvement over time.
- →Overall Strategy: Focus on premium segments with higher margins; incremental profitability expected as volumes scale up.
🏗️ Capital Expenditure Plans
Yes- →Emerald Tyre is completing CapEx projects including the rubber mixing plant and solid tyre plant; most installations are near completion or in final testing phases, expected fully operational by late 2025.
- →The recent CapEx (~₹60-65 crore) aims to increase capacity, contributing 3 months of benefit in FY26 and full benefit in FY27, targeting peak sales of ₹350 crore by FY27 or early FY28.
- →Post achieving peak capacity, further expansion would require a Greenfield plant; work on planning this next phase has already started, likely post-FY27.
- →Marginal increase in working capital loans expected beyond ₹110 crore debt for CapEx; company aims to be self-sufficient with manageable borrowing.
- →Strategic focus on mining tyre segment and unexplored markets like Africa, with ongoing projects in the pipeline but yet to materialize fully.
💰 Fundraising & Capital Structure
Yes- →The company has ongoing capital expenditure (CapEx) of around ₹65 crore for expansion, with most of it nearing completion.
- →Post CapEx completion, total debt is expected to be approximately ₹110 crore.
- →Additional working capital loans beyond this ₹110 crore net debt are expected to be marginal.
- →The company is self-sufficient in working capital and does not anticipate needing significant additional debt for working capital.
- →For further expansion beyond the peak capacity of ₹350 crore (anticipated around FY28), a greenfield plant will be necessary, implying future capital requirements.
- →Discussions and planning for post-2027 expansions and associated CapEx are underway, with no detailed fundraising plans disclosed yet.
- →No mention of any immediate or planned equity fundraising in the current discussions.
📋 Order Book & Pipeline
Yes- →Emerald Tyre Manufacturers Limited is actively expanding its market presence, especially in Africa, starting at 7-8 locations to supply high potential customers.
- →There is a major bid done across Africa to sell tyres, indicating significant upcoming orders.
- →In the South African market, the company supplies mainly to mining companies and is recovering receivables regularly.
- →The receivables outstanding from these markets are expected to be almost nil by March 2026 due to focused efforts.
- →Orders from the US market have been impacted by tariffs, but the company is working on diversifying markets with growing demand in Europe and other regions.
- →The company anticipates reaching peak sales capacity of around ₹350 crores by FY27, supported by order inflows and improved capacity utilization.
- →Working capital needs for reaching peak capacity are expected to require only marginal increases beyond existing levels.
Key Metrics
Revenue
Margin
Capex
Fundraise
Order Book
Frequently Asked Questions
What were Emerald Tyre Manufacturers Ltd Q2 FY26 results?
FY26 (current year) target: 25-30% top-line growth, aiming for ₹250-260 crore consolidated turnover. FY26: Expecting 25-30% top-line growth, targeting around ₹250-260 crore turnover, on track to achieve guidance.
What is Emerald Tyre Manufacturers Ltd share price analysis?
Emerald Tyre Manufacturers Ltd currently shows a moderate growth signal based on ranking data. The stock trades at a P/E of 15.7 with a market cap of ₹162 Cr. Investors should review the full earnings analysis for detailed insights.
Is Emerald Tyre Manufacturers Ltd planning capital expenditure?
Emerald Tyre is completing CapEx projects including the rubber mixing plant and solid tyre plant; most installations are near completion or in final testing phases, expected fully operational by late 2025.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.