Escorts Posts 106% Jump In Q2 Profit At Rs 77.6 Crore
Escorts today has a very competitive and innovative product portfolio powered by our frugal engineering and global best technology practices
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Indian farm equipment manufacturer Escorts Limited on Friday (3 November) has reported a profit of Rs 77.6 crore in the second quarter ending September 30, 2017 as against a profit of Rs 37.7 crore in the corresponding quarter in the previous fiscal.
Chairman Rajan Nanda said, “Sustained economic focus and support to farm mechanisation, agro innovation and smart city infrastructure is a strong push to the industry and market demand. Our continued investments in technology, channel and product mix will continue to bring enhanced process efficiencies and business productivity.”
Nikhil Nanda, Managing Director, “Escorts today has a very competitive and innovative product portfolio powered by our frugal engineering and global best technology practices. Our recent launch of India’s first electric tractor concept is the testimony to our innovation and future readiness.”
“With new products across businesses Escorts is equipped to tap the emerging opportunities across agriculture, infrastructure and railway segments both for domestic and global demand.”
The net profit for the first half year ending September 2017 was up by 79.2 percent at Rs 140.2 crore as against Rs 78.2 crore in the corresponding period last year.
Tractor sales were up by 31.5 per cent at 20,358 units during the second quarter of the current fiscal.
This was accompanied by significant improvement in EBIT margins which was up 438 bps at 13.7 per cent as compared to 9.4 per cent in the corresponding period.
Sales of construction equipment went up by 34.3 per cent at 972 units as against 724 units in the corresponding quarter. EBIT margin turn positive at 0.5 per cent as against negative 4.6 per cent in last year same quarter.
Revenue, for railway products division, for the second quarter up by 22.1 per cent at Rs 73.3 crore as against Rs 60.1 crore in the corresponding quarter. EBIT margin up by 340 bps at 16.2 per cent as that of 12.8 per cent in last year same quarter. Order book at end of September 2017 is around Rs 175 crore and will be executed in the next 7-8 months.