The tyre major, according to officials, is expected to post a net profit of Rs 20 crore, compared with last year's Rs 14.5 crore. The marginal increase is attributable to the higher interest cost of borrowings and the recession in the auto sector.

However, the company was able to perform well during the year which saw the launch of two new tyres for trucks and off-the-road segment for the mining industry. Despite recession we have been growing at the rate of 24 per cent annually as against the average industry growth rate of 4 per cent,the officials said.

Turbolug, a tyre for tankers and buses, which was launched in June 1998, is a runaway success, the sources said. Another tyre -- Secura -- is the most sought two-wheeler tyre in the south. A chain of franchise shops -- The Ceat Shop --also contributed successfully to company's sales and services.