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Apollo Tires To maintain industry-leading margins, Apollo Tires is investing in India to expand high-margin products and markets as well as new service-based business models, and to maintain industry-leading margins in 2026 Fiscal year to achieve revenues of $5.1 billion.

The company is launching a subscription service called Avollvel that promises to reduce the cost of tires for truck fleets by 10 to 15 percent through more efficient tire management. The company hopes to reach more than Rs. 50 crore in revenues by fiscal 2028 from this brand-agnostic platform.

“In my experience, these numbers are very conservative,” said Satish Sharma, president, Asia Pacific, Middle East and Africa, Apollo Tyres.

Meanwhile, Neerajj Kanwar, vice president of the company The company said it wants to maintain EBITDA margins by focusing on expanding its high-margin products, especially through its high-quality brand Vredestein. Chairman and Managing Director of the company.

He said the company also plans to expand into the US, Europe and the Middle East, with the goal of increasing consolidated revenues from overseas markets to 45%, starting from the current 40%.

In India, the company is the market leader in commercial and passenger tires, but lags behind competitors such as MRF and Ceat in the two-wheeler segment. Kanwar said that the company does not want to enter the mass market two-wheeler segment and focuses only on the niche premium segment.

Kanwar told The Economic Times, “I don’t want to be a volume leader. I want to be the profitability leader. As you can see, in the last five to six quarters, our EBITDA margins have outperformed all our peers in India. ‘

The company reported a consolidated EBITDA margin of 16% for the March quarter. Compared to the same period last year, the margin improved by 475 a basis point, largely due to lower investment costs.

With improved margins and no major investments to expand production capacity, the company is looking to further reduce its debt. As of March 31, Apollo Tyres had a net debt of Rs 43 billion, which is 1.4 times EBITDA. But Kanwar said the company has failed to achieve its target of zero net debt.

The company is targeting sales of $5 billion (Rs 400 billion) by fiscal 2026. Revenues for fiscal 2023 were Rs 245.68 billion.

Speaking about Apollo Tyres’ succession plan, Kanwarr, who followed his father Onkarrrr Kanwar into the industry He said that he has no plans to bring in the next generation.

The reporter was invited to Hungary by Apollo Tyres.