• Raw material costs: Input costs escalated 20% to 22% between June and March due to geopolitical disruptions, leading to margin pressure in Q1 despite resilient seasonal tire demand.
• Price hike rollout: CEAT implemented a 6% to 7% price increase across April and May and plans an additional 5% to 6% hike through June and July, alongside an OEM index pricing adjustment on July 1.
• Middle East disruption: Sales to the Middle East dropped to near zero from late March due to regional conflict, though strong order books in the US, Europe, and Latin America are expected to offset the impact and sustain overall export growth.
• International revenue target: Management aims to expand the higher-margin international business from 23%–24% of total revenue to 33% over the next 3 to 5 years.