Analysis: Viaz Tyres Ltd.

NSE:VIAZ Tyres Market cap: ₹86 cr

Growth thesis

Viaz Tyres Ltd produces butyl tubes and tyres for two-wheelers, three-wheelers, LCVs, and agri equipment. Key segments include butyl tubes (90-95% capacity utilization) and tyre manufacturing (new Nandasan plant to double capacity to ₹160-170 crores). Growth is driven by the 2026 launch of a 7x asset turnover tyre plant targeting ₹160-170 crores revenue in FY27, followed by LCV/agri expansion to reach ₹350 crores total revenue by 2029 with 8-10% PAT margins. The business will transition from butyl tubes (15-20% annual growth) to a diversified tyre manufacturer, aiming for 6-7% market share by 2036 through geographic expansion and higher-margin product mix. Key execution risks include raw material volatility and timely completion of the Nandasan plant to meet 60-70% capacity utilization by 2027.

Why is Viaz Tyres Ltd. stock rising?

  • expected commercialization of new tyre manufacturing plant in Nandasan by Q4 FY27 (November-December 2026)
  • revenue target of 160-170 crore from tyre segment in next financial year (FY28)
  • overall revenue target of 350 crore by FY29 including tube segment growth and phase 2 expansion
  • targeting asset turnover of 7x from new facility
  • targeting 8-10% PAT margins from tyre segment

Research report

companyname: Viaz Tyres Limited ticker: VIAZ sector: Automotive Components / Tyres & Tubes Viaz Tyres manufactures butyl inner tubes – the inflatable rubber bladder inside a tyre that holds air. It has done this for over 20 years. The company sells through 500 dealers across 19 Indian states and exports to 5 countries, including the United States, Turkey, Romania, UAE, and Colombia. But Viaz is not just a tube company. It is building a 50,000 square foot tyre factory in Nandasan, Gujarat, with...

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Catalysts

capex, margin expansion

Growth guidance

FY27 revenue growth guided at 20-25% driven by new capacity ramp-up; 350 crores revenue target by 2029 driven by tyre segment expansion and phase 2 growth

RS rating: 81 Stage: Stage 2

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