India, July 17 -- Tyre manufacturer CEAT Ltd on Thursday (July 17) reported a 27.7% drop in net profit for the first quarter of FY25, which fell to Rs.112 crore from Rs.154 crore in the same period last year, despite strong gains in revenue and volume.

Domestic demand remained robust, with healthy volume growth across key OEM categories and a stable replacement segment.

On the other hand, the international business remained flat year-on-year, hindered by persistent macroeconomic challenges.

The plant currently operates at 80% capacity, producing roughly 70 lakh tyres annually. The expansion is expected to boost production capacity by around 35%, specifically in the Passenger Car Utility Vehicle (PCUV) segment.

The investment will be f...