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New Delhi, November 9, 2016 : Escorts Ltd, India’s leading tractor manufacturer, today announced the launch of new range of FT 6080 Pro and FT 6090 Pro Farmtrac tractors in 80 & 90 HP category simultaneously in Italy and Mexico at EIMA, International Exposition of Machinery for Agriculture and Gardening, Bologna, and at Expo Agroalimentaria Guanajuato, Irapuato, respectively. Aligned to Farmtrac pedigree of classic, simple and efficient farm machines, these new Escorts tractors are technology marvel with value for money for farmers worldwide.

The Farmtrac tractors conform to stringent European norms in every aspect with the new CRDi engine and transmission designs, most advanced in their category. Custom manufactured for world farmers, Farmtrac FT 6080 Pro & FT 6090 Pro tractors are cost efficient high end machines with state of art technology. These tractors have the edge of unchallenged fuel economy backed by zero RPM drop in engine, lifting capacity upto 3000 kg, cold start ability at -15˚ C and special features for paddy cultivation.

Escorts Ltd offers a strong mix of Indian engineering and R&D excellence coupled with world class designs for agri machinery markets worldwide. It leverages its six decades plus experience in farm mechanization in India to manufacture tractors in Poland for the world farmers for more than 15 years now and has been successfully catering to farmers across 15 countries within Europe and 54 countries globally. With its new “Global Transformation Vision 2020”, Escorts is focussing on several new markets in Europe, Latin and North America, Africa and ASEAN countries and bringing them the best of technology at an affordable price.

Speaking on the new launch, Ravi Menon, Chief Executive Officer, Escorts Agri Machinery, said, “Escorts Ltd has always aimed at providing farmers with advanced agricultural equipment, which have the best value for money. With our new Global Transformation Vision 2020, we wish to change the way farmers globally, perceive farming, by producing tractors with value-proposition of fuel efficiency and cost-effectiveness.”

Rajiv Wahi, Head – International Business, Escorts Agri Machinery, elaborated further saying, “Our new range of Farmtrac tractors are positioned to fill the often perceived market gap in the category. We have also strengthened our global networks to effectively cater to farmer demands in newer geographies. Our Farmtrac has been well recognized as an international brand and we are proud to take India’s technological excellence to the world.”

About Escorts Limited & Farmtrac Europe

The ESCORTS GROUP is among India's leading engineering conglomerates operating in high growth sectors of Agri Machinery, Material Handling & Construction Equipment, Railway Equipment and Auto Components. The Group has earned the trust of over five million customers by way of product and process innovations over six decades of its existence. Escorts endeavors to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of automotive & railway technology and transformation of Indian construction.

The Farmtrac Poland plant is a 100% subsidiary of Escorts with installed manufacturing capacity of 3000 tractors per annum. The products are both designed and developed in this state of the art unit catering to the demand of 15 countries of European Union. Meeting all European standards, its current offering includes 20 different types and varieties of tractor. With reputation for durability, Farmtrac tractors offer an unbeatable value of its product which is demonstrated by the use of the best components in the world assembled by highly-skilled engineers.

For further information, please contact:


ESCORTS LIMITED

TORQUE COMMUNICATIONS PVT LTD.

Sharad Gupta
Group Head, Corporate Brand Communications
Sharad.gupta@escorts.co.in

Rajat Gupta
Torque Communications Pvt ltd
9953500503
rajat@torquemail.com




New Delhi, October 18, 2016: Escorts Limited today announced the appointment of Ajay Mandahr as the new Chief Executive Officer of its Construction Equipment Business. Mr Mandahr brings 26 years of experience in construction equipment, material handling and manufacturing industry.

Announcing the appointment, Mr. Rajan Nanda, Chairman of Escorts Limited said, "This is a key appointment at a time when the construction industry is highly optimistic. The country is in a crucial phase of development where numerous projects are running in different regions, propelling the demand for construction equipment. Ajay’s strategic thinking and relevant experience will bring in a strong drive to our construction equipment portfolio.”

Mr. Nikhil Nanda, MD of Escorts Limited said, Ajay brings valuable know-how to Escorts. His domain experience will be important for driving the Group’s strategic thrust in expansion of markets, diversification of product portfolio, strengthening service excellence, sustaining leadership in the existing and new categories and grow our presence globally.

About Escorts Limited

The ESCORTS GROUP is among India's leading engineering conglomerates operating in high growth sectors of Agri Machinery, Material Handling & Construction Equipment and Railway Equipment. The Group has earned the trust of over 5 Million customers by way of product and process innovations over six decades of its existence. Escorts endeavors to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of railway technology and transformation of Indian construction.

For further information, please contact:


ESCORTS LIMITED

TORQUE COMMUNICATIONS PVT LTD.

Sharad Gupta
Group Head, Corporate Brand Communications
Sharad.gupta@escorts.co.in

Rajat Gupta
Torque Communications Pvt ltd
9953500503/ rajat@torquemail.com




New Delhi, 11 August, 2016: Escorts Ltd today announced the divestment of its OEM & Export business of Auto Product division to Badve Engineering Ltd., Pune in an all cash deal as a part of the planned strategic reorientation of the business to focus on core verticals in the Agri-Machinery, Construction equipment and Railway equipment.

The Auto Products business comprises an extensive product basket catering to OEMs and replacement market in India and overseas markets for all vehicle categories including motorcycles, scooters, passenger cars, commercial vehicles, and multi-utility vehicles.

According to Mr. Dipankar Ghosh, CEO, Escorts Auto Products & Escorts Railways Products, “We believe that the transfer of OEM and Export business to Badve Engineering Ltd will help us to focus on our core areas. We are delighted that Badve Engineering Ltd has stepped in to take the business forward.”

Speaking on the acquisition, Company Spokesperson Mr. Shrikant Badve, Managing Director Badve Engineering Ltd., said, “We are delighted to have acquired a business that has a good market standing and the versatility to produce an extensive range of auto components for various applications.”

ICICI Securities acted as transaction advisor for the deal.

About Escorts Group:

The ESCORTS GROUP is among India's leading engineering conglomerates operating in high growth sectors of Agri Machinery, Construction Equipment, Railway Equipment and Auto Components. The Group has earned the trust of over 5 Million customers by way of product and process innovations over six decades of its existence. Escorts endeavors to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of automotive & railway technology and transformation of Indian construction.

About Badve Group:

Badve Group is a leading automotive equipment supplier in India with manufacturing facilities spread all over India and catering to the 2W, 3W, 4W and consumer durable segments with a very strong focus on forging client relationships with large OEMs.

For further information kindly contact

  • Sharad Gupta
    Group Head Corporate Brand Communications
    Escorts Ltd.
    Email ID: sharad.gupta@escorts.co.in
  • Escorts Limited
    Registered Office:15/5, Mathura Road,
    Faridabad -121003, India
    Contact No: +91 129-2250222
    Fax No: +91 129-2250009
    Email ID: escortsgroup@escorts.co.in

Corporate Identification Number L74899HR1944PLC039088




  • Profit for Q1 grows to Rs. 47 crore
  • Q1 EBIDTA up 52.4% at Rs.87.8 crore
  • Tractor volumes up 10% to 16,363 units
Q1 FY 2016-17 HIGHLIGHTS

    PAT at Rs 47 crore against Rs 35.2 crore in corresponding quarter

    Turnover increased by 9.3% to Rs 1051.4 crore against corresponding quarter

    Tractor volumes at 16,363 units, with 38% sequential and 10% corresponding growth

    Construction Equipment volume correspondingly up by 45% at 739

    Material cost down by 245 bps against the corresponding quarter

    New Delhi, July 28, 2016: Escorts Limited today reported an increase in net profit by 33.5% at Rs 47 crore in the quarter ending June 2016 against Rs 35.2 crore in quarter ended June 2015.

    Escorts turnover increased correspondingly by 9.3% to Rs 1051.4 crore in quarter ending June 2016 against Rs 961.4 crore in quarter ended June 2015.

    EBIDTA for the first quarter of this fiscal year is correspondingly up by 52.4% at Rs 87.8 crore against Rs 57.6 crore in quarter ending June 2015. Material cost is down by 245 bps at 67.9% against 70.3% in corresponding quarter ending June 2015.

    Consequently, there is a significant improvement in segment margins with Escorts Agri Machinery showing a corresponding positive increase of 203 bps at 11.3% in quarter ending June 2016 as compared 9.2% in quarter ending June 2015.

    Tractor volumes are correspondingly up by 10% to 16,363 tractors in quarter ending June 2016. Construction Equipment volumes during this quarter showed a 45% increase to 739 units against the corresponding quarter ending June 2015, resulting in positive swing of 494 bps at EBIT margin in ECE segment. Escorts Railway Products segment margin (EBIT) up by 462 bps at 17.3% in quarter ending June 2016 against 12.7% in quarter ending June 2015.

    Speaking on the results, Chairman Mr. Rajan Nanda said, “The last quarter has shown a welcome upward trend in market demand. Sustaining it by the government taking advantage of a good monsoon would be important for the revival of the overall farm sector. The government has to provide a big impetus to farm mechanization, crop insurance and agriculture infrastructure. The construction industry too is showing signs of improvement and railways are on a healthy track. I am confident that if the economy continues to strengthen across sectors, our investments in better product mix, increased coverage, enhanced efficiencies and product innovation will deliver even better results.”

    Says Mr. Nikhil Nanda, Managing Director, “The Escorts strategy of superior products, strengthened marketing and brand initiatives, focus on cost efficiencies and focus on customer relationships has resulted in not only improvement in our core markets but also greater share in newer markets where we had fledgling presence. The introduction of best-in-class products in all segments is showing results and acquiring new customers. Given the cost compression strategies implemented in the recent past, an upturn in revenue gives a boost to our profitability. We will continue to focus on products that are superior and service that exceeds expectations.”

    SEGMENT WISE PERFORMANCE
    Escorts Agri Machinery

    Tractor volumes in the quarter ended June 2016 went up sequentially by 38.4% to 16,363 tractors against 11,823 tractors in quarter ended March 2016 and was correspondingly up by 10% against 14,875 tractors in quarter ended June 2015. The segment revenues increased correspondingly by 8.2% at Rs 858.3 crore in quarter ending June 2016 against Rs 793 crore in quarter ended June 2015.

    Escorts Construction Equipment

    Construction Equipment volumes stood at 739 units in quarter ending June 2016 against 508 units in quarter ending June 2015, showing a 45% corresponding growth. Revenue for the quarter up by 31.7% correspondingly to Rs 124.8 crore as against Rs 94.7 crore in corresponding quarter ending June 2015.

    Railway Equipment Division

    Escorts Railway Products has a current order book of Rs 100 crores (approx.) which will stand executed in next 7 to 8 months. The revenues for the quarter increased by 11.9% to Rs 54.5 crore against the corresponding quarter ending June 2015.

    Escorts Auto Products

    Escorts Auto Products recorded a revenue of Rs 20.1 crore for the first quarter of fiscal 2016 as against Rs 28.5 crore in the corresponding quarter ending June 2015.

    The reviewed accounts of the quarter ending June 2016 has been approved by the Board of Escorts Limited.

    For further information kindly contact:




  • Announces global ambition with launch of 13 new tractors under flagship brands Farmtrac, Powertrac, and Euroline Series
  • 37 global partners of Escorts join in for launch during International Day celebrations

Escorts Limited, one of India’s leading tractor manufacturers, today unveiled their global ambitions with launch of 13 new tractors in 12HP to 110HP range under flagship brands Farmtrac, Powertrac, and Euroline Series to cater specifically to the world market. This heralds the foray of the engineering conglomerate in newer and extreme horse power range of 12HP to 110HP to address global competition in overseas markets by designing, developing and making in India.

Escorts also announced a new strategic approach of 'Global Transformation Vision 2020' to strengthen its market share across the continents. Thirty Seven partners of Escorts from all across the world came together to affirm their association with Escorts for the success of this new strategic approach and the new range of products in an occasion marked as "International Day". The company had recently carved out a separate International Business division to cater specifically to requirements of global customers.

Speaking on the occasion the Chief Executive Officer, Escorts Agri Machinery, Mr Ravi Menon said, "Escorts Group has been a witness to the transforming agricultural ecosystem since seven decades and understands the ever evolving needs of the farmers worldwide. We are committed to taking India's best to the world and launch of these new tractors are a manifestation of our belief in the Make In India mission. We have once again delivered on our promise of innovation and creating value with bouquet of machines customized to farmer needs worldwide in 12 to 110 HP range. Escorts group already has a strong foothold across continents and our new transformation vision will further enable us to strengthen our leadership across North Africa & South Africa, America, Europe, and the ASEAN region."

Apart from being aesthetically superior, fuel efficient, and powerful, Escorts’ new range of tractors come with CRDi engines that are in compliance with the International emission norms. Making In India, the world class products, Escorts has innovated once again to limit the user drudgery and offered comfort, power and style for tractor driver with state-of-art features.

Rajiv Wahi, Head – International Business, Escorts Agri Machinery said, "Escorts has embarked on an ambitious global expansion spree with a clear five year roadmap under which it aims to be a major global player in terms of size, product portfolio and a trusted global brand. We are glad to complement announcement of our 'Global Transformation Vision 2020' with launch of a new range of tractors. Every channel partner who attended the International Day is excited and fully committed. Our global network is strengthened with 5 new channel partners signing up their association to introduce Escorts product line in their geographies. Indian tractors will now equip farmers with latest technology across South America, Brazil, South Africa, Turkey, Thailand, Europe, United States, and the ASEAN region."

For the Editor:

The ESCORTS GROUP is among India's leading engineering conglomerates operating in high growth sectors of Agri Machinery, Material Handling & Construction Equipment, Railway Equipment and Auto Components. The Group has earned the trust of over 5 Million customers by way of product and process innovations over six decades of its existence. Escorts endeavours to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of automotive & railway technology and transformation of Indian construction.

For further information, please contact:

ESCORTS LIMITED

TORQUE COMMUNICATIONS PVT LTD.

Sharad Gupta
Group Head, Corporate Brand Communications
Sharad.gupta@escorts.co.in

Rajat Gupta
Torque Communications Pvt ltd
9953500503/ rajat@torquemail.com




  • Profit for Q4 up 28.7% YoY at Rs. 16.4 crore
  • Q4 EBIDTA up 76.2% at Rs. 38.8 crore
  • Tractor volumes at 51,455 units in FY 2016

New Delhi, May 25, 2016: Escorts Limited today reported an increase in net profit of 19.6 % at Rs. 89.4 crore in the fiscal year March 31, 2016 as against Rs. 74.7 crore in the previous fiscal. For the quarter ending March 2016, net profit was up by 28.7 % at Rs. 16.4 crore as against Rs. 12.8 crore in the corresponding quarter in the previous fiscal.

EBIDTA for the fourth quarter of the 2015-16 fiscal was up at Rs. 38.8 crore by 76.2% against Rs. 22 crore in the corresponding quarter ended March 2015 and up by 13.7% as against Rs.. 34.1 crore in the preceding quarter ended December 2015. Profit before tax was up by 49.2 % in the quarter ended March 2016 at Rs. 15.5 crore as against Rs. 10.4 crore in the corresponding quarter of the last fiscal.

FY 2016 HIGHLIGHTS
  • PAT at Rs. 89.4 against Rs. 74.7 crore in FY 2015
  • PBT at Rs. 91.9 crore up by 34.6% from Rs. 68.3 crore
  • Tractor volumes at 51,455
  • Tractor domestic market share at 10.3%.
  • Material cost down by 252 bps at 68.9%
  • EAM segment margin (EBIT) up by 95 bps

There was an improvement in segment margins with Escorts Agri Machinery showing a positive increase of 504 bps at 9.7% over the corresponding quarter (at 4.6%) as a result of better product mix and cost reduction. Similarly, Escorts Construction Equipment showed a positive swing of 25 bps sequentially.

In the fourth quarter of FY 2016, tractor volumes were up by 7.1 % at 11,823 tractors as against 11,036 tractors in the corresponding quarter. Construction Equipment volumes during the quarter were marginally lower by 0.4% at 737 units as against the corresponding quarter (740 units) but up by 5.6 % over the preceding quarter (at 698 units) ended December 2015.

For the quarter ending March 2016, turnover stood at Rs. 804.7 crore as against Rs. 817.7 crore in the corresponding quarter. Turnover for the year stood at Rs. 3,472.2 crore as against Rs. 3,985.8 crore.

Material costs were down by 143 bps at 69.4% in the fourth quarter of FY 2016 as against 70.9% in the corresponding quarter of the previous fiscal. In FY 2016, material costs were down by 252 bps at 68.9% as against 71.5% in the fiscal ended March 2015.

Speaking on the results, Chairman Mr. Rajan Nanda said, “The tractor industry has now been impacted for almost seven consecutive quarters by adverse weather conditions. While the forecast for the forthcoming monsoons have been optimistic, the need for concerted action across multiple fronts in the farm sector has become urgent. Focus on farm mechanization, effective crop insurance and agriculture infrastructure is critical to dealing with farm distress. At Escorts, we have focused on improving margins through better product mix and cost reduction and the results are evident. We have improved our profitability and are confident that the company is well poised to take advantage of the inevitable improvement in both the farm and construction sector.”

Q4 HIGHLIGHTS
  • PAT at Rs. 16.4 crore, up by 28.7% from Rs. 12.8 crore in Q4 2015
  • PBT at Rs. 15.5 crore, up by 49.2 % from Rs. 10.4 crore in Q4 2015
  • EBIDTA at Rs. 38.8 crore up by 76.2% against Rs. 22 crore in Q4 2015
  • Tractor Volumes at 11,823 tractors, up by 7.1% against 11,036 tractors in Q4 2015
  • Turnover at Rs. 804.7 Cr.
  • Material cost down by 143 bps at 69.4% from corresponding quarter in FY 2015
  • Segment margin for EAM at 9.7% up by 504 bps against 4.6% in Q4 2015

Says Mr. Nikhil Nanda, Managing Director, Escorts Ltd, “Escorts today is a leaner, fitter company where we have created efficiencies through integration of production processes and cut costs across the board. However, the improvement in profits is as much an outcome of the investments we have made in expanding our product portfolio, appointing new dealers for an expanded channel coverage. Escorts Agri Machinery, for instance, has improved its domestic market share to 11.1% from 9.48% in the preceding quarter. In the new fiscal, we will continue to innovate, add new product features to meet applications demand and drive greater cost efficiencies.”

SEGMENT WISE PERFORMANCE

Escorts Agri Machinery

Tractor volumes in the fiscal year ended March 2016 stood at 51,455 units as against 59,779 units in the previous fiscal. The fourth quarter of FY 2016 saw sales increase of 7.1% to 11,823 tractors against 11,036 units in the corresponding quarter of the last fiscal. Revenues for the fiscal year stood at Rs. 2,739.4 crore as against Rs. 3,204.3 Cr. in the previous fiscal. On a quarterly basis, the fourth quarter of FY 2016 saw revenues up by 0.71% at Rs. 613.7 crore in the quarter ended March 2016 as against Rs. 609.4 crore in the corresponding quarter of the previous fiscal. Escorts Agri Machinery improved its domestic market share to 11.1% at the end of March 2016 as against 11.05% in the corresponding quarter (March 2015) and 9.48% in the preceding quarter ended December 2015.

Escorts Construction Equipment

Construction Equipment volumes stood at 2,555 units in FY 2016 as against 3,007 units in the previous fiscal. In the fourth quarter of the fiscal, sales went up to 737 units from 698 units in the preceding quarter ended December 2015. Revenue for the year stood at Rs. 455.6 crore as against Rs. 511.4 crore. Revenue for the fourth quarter ended March 2016 stood at Rs. 121.6 crore as against Rs. 118.9 crore in the preceding quarter ended December 2015.

Railway Equipment Division

Railway Equipment Division recorded a rise in income for the second successive year with revenues increasing by 11.98% to Rs. 205.4 crore from Rs. 183.5 crore in the previous fiscal. Segment margins (EBIT) improved to 11%, up by 147 bps, as against 9.6% in the previous fiscal. The current order book is of approximately Rs. 55 crore which will be executed in the next 3-4 months of FY17.

Escorts Auto Products

Escorts Auto Products recorded revenue of Rs. 92.4 crore for FY 2016 as against Rs. 103.4 crore in the preceding fiscal. The division recorded revenues of Rs. 23.4 crore in the fourth quarter of the fiscal, up from Rs. 16.5 crore in the preceding quarter ended December 2015.

The audited accounts of the 12 months ending March 2016 has been approved by the Board of Escorts Limited.

For further information kindly contact:

Sharad Gupta
Group Head Corporate Brand Communication
Escorts Limited
Email ID: sharad.gupta@escorts.co.in

Investor Relations
Escorts Limited
Contact No: +91 129 2564921
Email ID: investorrelation@escorts.co.in

Rajat Gupta
Rajat Gupta
Email ID: rajat@torquemail.com
Contact No: +91 9953500503




Inducts Ravi Menon as CEO of Agri Machinery business

S Sridhar to lead Construction Equipment business

New Delhi, April 7, 2016Escorts Ltd., the global Agri Machinery and Construction Equipment manufacturer, has appointed Mr Ravi A Menon as Chief Executive Officer of its Agri Machinery business. Mr Menon takes over from Mr S Sridhar who would now move to head Escorts Construction Equipment (ECE).

Mr Menon has been credited for shaping the development cultures of some of the most influential and valuable companies and brings over three decades of experience in marketing, sales, branding, international markets and production from industries as varied as tractor, cement and industrial products. Mr Sridhar will focus on transforming and building organizational energy at ECE to leverage emerging business opportunities.

According to Mr. Rajan Nanda, Chairman & Managing Director, Escorts Limited“We have strengthened our leadership team at a time when Escorts has created a strong base for growth across its businesses. At Escorts, we have focused on creating synergies between the businesses. Mr Menon’s induction brings cross-industry experience and a strong understanding of the different aspects of enterprises and Mr Sridhar’s movement to ECE would help further strengthen the process of integration in key areas.”

Mr. Nikhil Nanda, Managing Director of Escorts Limited said, “Escorts today is a transformed organization at multiple levels. We are focusing on improving operational efficiency across businesses. We are strongly focused to strengthen our manufacturing and product development capabilities, enabling us to aggressively address our markets and customers at the frontend. The strong leadership and vast experience that both Mr Menon and Mr Sridhar bring to the table would be important to achieving the ambitious objectives that the group has set for itself.”

About Escorts Limited

The ESCORTS GROUP is among India's leading engineering conglomerates operating in high growth sectors of Agri Machinery, Material Handling & Construction Equipment, Railway Equipment and Auto Components. The Group has earned the trust of over 5 Million customers by way of product and process innovations over six decades of its existence. Escorts endeavors to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of automotive & railway technology and transformation of Indian construction.

For further information, contact:

Sharad Gupta
Head, Corporate Communications
sharad.gupta@escorts.co.in




  • Net profit for half year up 100% at ₹ 52.5 crore
  • Material cost correspondingly down by more than 3% at 68%
  • Construction Equipment volume sequentially up by 20.5%
  • EBIT for ERP sequentially up by 2% at 14.9%

New Delhi, November 2, 2015: Escorts Limited today reported a profit of ₹16.2 crore in the quarter ending September 30, 2015 as against a loss of ₹ 7.9 crore in the corresponding quarter in the previous fiscal. The net profit for the half year ending September 2015 was up by 100 per cent at ₹ 52.5 crore as against ₹ 26.3 crore in the corresponding period last year.

The company recorded tractor sales of 11,438 units for current quarter. For the first half of the year, tractor sales stood at 26,313 units. However, tractor volumes were sequentially down by 23.1% against the previous quarter due to the cyclical nature of the industry, uneven monsoons and the impact of low crop prices. Sales of construction equipment went up by 20.5% at 612 units as against 508 units in the preceding quarter.

Speaking on the results, Chairman Mr. Rajan Nanda said, “The tractor industry has been adversely impacted by the poor and uneven monsoon. The impact of poor monsoons has been accentuated by the cyclical nature of the industry. There is farm distress that is getting reflected in the overall industry recording steep drop in tractor sales though there are indications that the second half will show better results. At a macro level, the farm economy would do well with more government engagement in areas such as a strong and effective crop insurance regime, easing of loans for seeds and inputs. The market is still to echo the good effects of grand plans in infrastructure. The ambitions in railways, however, has started to percolate to the manufacturers, albeit very feebly. For increased industrial confidence, sustained growth across sectors would be a welcome boost.”

Q2 FY 2015-16 HIGHLIGHTS
  • Half yearly profit up 100% over previous year
  • Domestic Tractor market share up at 10.6%
  • Railway Products revenue up at ₹ 53.5 crore. Current order book of ₹65 crores
  • Quarterly revenue from Construction Equipment up at ₹124.5 crore on the back of 20.5% sequential growth
  • Escorts Auto Products recorded an increase in revenue for the half year from ₹49.7 crore in the previous fiscal to ₹53.2 crore in this year.

According to Mr. Nikhil Nanda, Managing Director, Escorts Ltd, “The adverse market situation due to poor monsoons and sluggish infrastructure investment has impacted the entire industry. The focus continues to be maintaining profitability through growth and cost management. In a tough market with dropping volumes, we have increased our market share in tractors which is a small but significant win. The 20% increase in construction equipment over the previous quarter needs to be maintained. The focus for the second half of this fiscal will be to consolidate markets, strengthen presence in existing geographies while expanding reach in new segments and markets. As the economy picks up, we expect greater traction in the Railways and Construction business. There are also a number of initiatives to improve brand recall, strengthen customer engagement and engage employees in transformational endeavours.”

SEGMENT WISE PERFORMANCE
Escorts Agri Machinery

Due to the seasonal nature of the industry, tractor volumes were down by 23.8% to 11,438 tractors in quarter ending September 2015 as against 15,013 tractors in the corresponding quarter. Escorts was particularly impacted by the slowdown in the industry as the maximum impact of reduced demand took place in the regions where Escorts is traditionally strong. However, due to aggressive marketing initiatives, domestic market share was up at 10.6% in the current quarter as against 10.2% in in the previous quarter.

Escorts Auto Products

The division recorded an increase in revenue for the half year from ₹ 49.7 crore in the previous fiscal to ₹ 53.2 crore in this year. Revenues for the quarter was ₹ 24.2 crore as against ₹ 28.9 crore in the quarter ending June 2015 and ₹ 26.8 crore in corresponding quarter in the last fiscal.

Escorts Railway Products

Revenues from the Railways division was ₹ 53.5 crore in the quarter ending September 2015, an increase of 9.7% as against ₹ 48.8 crore in the previous quarter. The current order book is around ₹ 65 crores to be executed over the next 3 to 4 months.

Escorts Construction Equipment

Construction equipment volumes at 612 units was up by 20.5%% against 508 in the preceding quarter. Income from the division stood at ₹ 124.5 crore, up by 33.2% against ₹ 93.4 crore in the previous quarter.

The reviewed accounts of the second quarter and first six months ended 30th September 2015 has been approved by the Board of Directors of Escorts Limited.

For further information kindly contact:

Ajay Sharma Group General Counsel & Company Secretary
Escorts Limited
Email ID: ajay.sharma1@escorts.co.in

Investor Relations
Escorts Limited
Contact No: +91 129 2564711/4921
Email ID: investorrelation@escorts.co.in




Strengthens position and network in collaboration with TATA International

New Delhi, August 27, 2015: Escorts Limited, India’s leading tractor manufacturer, along with Tata International, its Cambodian business partners for tractors, today launched their exclusive Farmtrac showroom in Kampong Thom Province, Cambodia. This is the latest showroom after their benchmarked exclusive set up in Phnom Penh and many other franchise sales & service points across the nation. With state-of-art farm technology, impressive features, and stunning looks, Farmtrac tractor being retailed from these state-of-art showrooms are now set to revolutionize the retailing format in Cambodian tractor market.

The new Farmtrac showroom in Kampong Thom province will offer world class four wheeled tractors that range from 45 HP to 80 HP. Launch of this Farmtrac outlet is a boon for Cambodian farmers engaged in cultivation of paddy, sugarcane, palm and rubber plantations in the country. Escorts Ltd. has already sold more than a million tractors worldwide and is now eyeing Cambodia with a long term strategic perspective on entire South East Asia.

Speaking on the occasion, Mr. Rajesh Kumar, Vice President - International Business, Escorts Agri Machinery said, “With the inauguration of this Farmtrac Sales-Service- spares facility in partnership with Tata International, Escorts reinforces its commitment to Cambodian farmers of bringing prosperity and livelihood to their doorstep. The new Farmtrac outlet is aimed towards setting new standards of customer delight by making available a host of world class agri machinery solution in upcountry location.”

About Escorts Limited

The Escorts Group is among India’s leading engineering conglomerates operating in high growth sectors of agri machinery, material handling and construction equipment, railway equipment and auto components. The Group has earned the trust of over 5 million customers by way of product and process innovations over six decades of its existence. Escorts endeavors to transform lives in rural and urban India by leading the revolution in agriculture mechanization, modernization of automotive and railway technology, and transformation of Indian construction.

For further information, contact:

Sharad Gupta
Head - Corporate Communications
sharad.gupta@escorts.co.in




  • Profit up 6.3% against corresponding quarter
  • Tractor volumes sequentially up by 35% to 14,887 tractors
  • Turnover sequentially up by 19.6% to ₹ 977.7 Cr
  • EBIDTA sequentially up by 161.2% to ₹ 57.5 Cr.

New Delhi, August 6, 2015: Escorts Limited today reported an increase in net profit by 184% from ₹ 12.8 crore in the previous quarter (ended March 2015) to ₹ 36.3 crore in the first quarter of the current fiscal ending June 30, 2015. Profits were up by 6.3 per cent from ₹ 34.1 crore in the corresponding quarter

The company recorded a sequential increase in tractor volumes of 35% to 14,887 tractors in the first quarter of the current fiscal as against 11,036 tractors in the preceding quarter. However, as compared to the corresponding quarter, tractor volumes were down by 16.6% due to decline in the industry.

The turnover was sequentially up by 19.6 per cent to ₹ 977.7 crore as against ₹ 817.7 crore in the preceding quarter. However, year-on-year performance showed a decline with revenue lower by 13.4% from the corresponding quarter in the previous fiscal.

EBIDTA sequentially went up by 161.2% at ₹ 57.5 crore as against ₹ 22 crore in the previous quarter and was up by 1.2% from ₹ 56.9 crore in the corresponding quarter in the last fiscal.

Q1 FY 2015-16 HIGHLIGHTS
  • Profit at ₹ 36.3 crore up sequentially by 184% and by 6.3% against corresponding quarter.
  • Turnover sequentially up by 19.6%
  • Tractor margins up by 446 bps sequentially at 9.0%.
  • Auto Division revenue flat sequentially but up by 26.3 % from corresponding quarter
  • Railway division rise in income to ₹ 48.8 crore as against ₹ 42.7 crore in the corresponding quarter.

Speaking on the results, Chairman & Managing Director, Mr. Rajan Nanda said, “The tractor industry has shown some recovery since the last quarter and the growth in volumes reflect that change in trend. However, when compared to the levels of the corresponding year, it is apparent that the combination of the decline of the industry and uncertain monsoon situation continues to impact overall market volumes. The big picture remains of the need for more government engagement in areas such as a strong and effective crop insurance regime, easing of loans for seeds and inputs. The uncertainty extends equally to the construction sector which continues to show growth in spurts. For industrial confidence, it is important to see sustained growth across sectors and that is yet to kick in.”

According to Mr. Nikhil Nanda, Managing Director, Escorts Ltd, “The fact that Escorts bettered its comparable profits despite the negative market conditions is a result of a lot of efforts going into driving long term profitability. The increase in profits has been driven by cost compression, change in product mix, better inventory management and measures taken to curtail material cost. The focus for the coming quarters will be to drive profitability, introduce more premium products, drive innovation and increase our market reach. In tractors, we will continue to strengthen our premium offerings and market world class products in India and abroad. In the ongoing fiscal, we hope to see consistent growth in the construction equipment market and improvement in railways and auto products business. In the agri machinery sector, a lot will of course depend on how the Monsoon season finishes.

SEGMENT WISE PERFORMANCE
Escorts Agri Machinery

Tractor volumes were up sequentially by 35% to 14,887 tractors as against 11,036 tractors in the last quarter of the preceding fiscal while it was down by 16.6% compared to the corresponding quarter. Revenues for the quarter consequently went up sequentially by 32.4% to ₹ 812.2 crore in the quarter ended June 2015 as against ₹ 613.6 crore in the previous quarter. However, revenues were down by 14.2% from ₹ 946.4 Crore in the corresponding quarter. Segment margins showed significant improvement with EBIT up by 446 bps sequentially at 9.0% as compared to 4.6% in the previous quarter and 8.3% in the corresponding quarter due to cost reduction and product mix change.

Escorts Construction Equipment

Construction Equipment volumes were at 508 as opposed 740 in the previous quarter and 719 in the corresponding quarter. As a result, income stood at ₹ 93.4 crore in the quarter ended June 2015 as against ₹ 121.1 crore in the corresponding quarter.

Escorts Auto Products

Escorts Auto Products revenue was sequentially flat at ₹ 29 crore as against ₹ 28.4 crore in the previous quarter. Revenue was, however, up by 26.3 per cent as against ₹ 22.9 crore in the quarter ended June 2014.

Escorts Railway Products

Escorts Railway Products recorded a rise in income to ₹ 48.8 crore in the current quarter as against ₹ 42.7 crore in the corresponding quarter. The division had reported income of ₹ 54.6 crore in the previous quarter. The current order book is around₹ 59 crore which will stand executed over the next 3-4 months.

The reviewed accounts of 3 months ended 30th June 2015 has been approved by the financial results committee of the Board of Directors of Escorts Limited.

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