CEAT Q4 FY26: Growth holds, margins expand, leverage stays contained

FY26 consolidated revenue was INR 15,678 crore with EBITDA margin of 13.2% and consolidated PAT of INR 697.2 crore. Standalone revenue was INR 15,214.9 crore and standalone PAT was INR 812.7 crore.

Q4 FY26 consolidated revenue was INR 4,218.9 crore and EBITDA margin was 14.2%. Consolidated PAT was INR 243.8 crore. Standalone Q4 revenue was INR 4,035.9 crore and standalone PAT was INR 283.6 crore.

FY26 standalone mix: Truck & Bus 29%, 2/3W 27%, PC/UV 22%, Off-highway 15%, LCV/Others 7%. Channel mix: Replacement 51%, OEM 30%, Exports 19%.

Management indicated Q1 FY27 raw material cost increase could be around 15% based on inventory and orders, with replacement-cost impact potentially higher depending on commodity movements.

Management said replacement needs about 10% overall versus March levels, with ~5% already taken between March and April and another ~5% planned through May and June (staggered). OEM increases are index-based with a larger reset expected on 1 July.

Management guided India capex (excluding CAMSO) at about INR 1,350 to 1,400 crore for FY27, with mandatory capex of about INR 200 to 250 crore in Q1. CAMSO upstream capex was discussed at around $30 million, with most cash outflow expected in FY27.

Management said CAMSO transition continues, targeting ~90% customer interface control by September 2026, and upstream equipment (mixer and calender) by end of Q4 FY27 (around March 2027), with margin impact expected from FY28.