In an exchange filing on Thursday, August 27, 2026, CEAT said it received an Order-in-Appeal from the Commissioner (Appeals), CGST and Central Excise, Appeals Thane Commissionerate, Mumbai, on August 26.
The case involved a ₹107 crore GST demand related to the treatment of the supply of tubes and flaps along with tyres as a composite supply under the Central Goods and Services Tax Act, 2017.
According to the company, the appellate authority adjudicated the matter in CEAT’s favour, holding that the issue was an interpretational matter and that proceedings initiated under Section 74 of the CGST Act were not sustainable.
CEAT said the proceedings have been decided in its favour, resulting in no impact on its financials, including the profit and loss account, operations or other activities.
Shares of CEAT were trading 0.77% lower at ₹3,556.60 at 11:33 am. The stock has gained 5.6% over the past month but remains down 5.7% so far this year.
Q1 results
CEAT reported a 96.4% year-on-year decline in consolidated net profit to ₹4 crore for the first quarter of financial year 2026-27 (Q1 FY27), compared with ₹112 crore in the same quarter a year earlier.
Revenue from operations rose 22.4% year-on-year to ₹4,318 crore in Q1 FY27 from ₹3,529 crore in Q1 FY26.
Earnings before interest, tax, depreciation and amortisation (EBITDA) stood at ₹365 crore during the quarter, down 5.7% from ₹387 crore in the year-ago period. EBITDA margin also declined to 8.5% from 11% in Q1 FY26.
The company reported exceptional items of ₹7 crore during the quarter.
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