Escorts Kubota

Rewrites with analyst, industry body president comments

By Kashish Tandon and Saikeerthi .

Oct 6 (Reuters) - India's September tractor retail sales declined 12.6% from a month earlier as the worst monsoon in a decade and a delayed festive season weighed on farm equipment demand, even as broader auto sales stayed resilient, a dealers' body said on Tuesday.

Tractor sales fell to 76,906 units in September from 87,977 in August, according to data from the Federation of Automobile Dealers Associations.

The decline comes as the June-September monsoon, which delivers nearly 70% of India's annual rainfall, was 12.6% below normal this year, fuelling concerns over crop yields, rural demand and food inflation in Asia's third-largest economy.

Historically, September and October have been the strongest months for tractor wholesales, but a later-than-usual festive season and below-normal rainfall have hurt demand this year, said Yash Agrawal, an auto analyst at brokerage Nirmal Bang.

"Over-reliance on weather conditions is higher for tractors because they are directly impacted by crop production and overall cash flow of farmers," Agrawal said.

The slowdown could have wider implications for automakers including Mahindra & Mahindra MAHM.NS and Escorts Kubota ESCO.NS, as tractors are among their highest-margin businesses.

FADA President Sai Giridhar said the weakness was largely confined to tractors, arguing that rural vehicle demand was increasingly detached from farm incomes as non-agricultural businesses and employment gain prominence.

"Only the tractor segment is directly linked to farm income," Giridhar said, adding that rural sales of passenger and commercial vehicles as well as two-wheelers were growing at a pace comparable with, or exceeding, urban sales.

Overall retail sales of two-wheelers, passenger and commercial vehicles rose 31.8% year-on-year and nearly 5% from the previous month to 2.54 million units.

Dealers' sentiment was upbeat heading into the festive season, with more than three-fourths in a survey expecting sales to grow in October, supported by healthy enquiries, the dealers' body said.

(Reporting by Kashish Tandon and Saikeerthi in Bengaluru; Editing by Sherry Jacob-Phillips and Mrigank Dhaniwala)

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Adds graphics

By Kashish Tandon and Aishwarya Jain

Oct 1 (Reuters) - India's weakest monsoon in over a decade dented rural spending in September and weighed on tractor sales, data showed on Thursday, while urban demand supported sales of passenger vehicles.

The June-September monsoon, which delivers nearly 70% of India's annual rainfall, was 12.6% below normal this year, fuelling concerns over crop yields, rural demand and food inflation in Asia's No.3 economy.

Mahindra & Mahindra MAHM.NS, India's largest tractor maker, reported a 21% drop in tractor sales during the month, while smaller rival Escorts Kubota ESCO.NS posted a 16.7% decline.

Performance was dented by a patchy monsoon and relatively lower monsoon crop sowing, Escorts Kubota said.

"Lower farm incomes and, as a result, rising rural indebtedness hurt purchasing power and demand for consumer goods and services, while supply shortages can push up food prices and stoke inflationary pressures," said Rohit Azad, an economics professor at Delhi's Jawaharlal Nehru University.

The slowdown mirrors a broader pullback in farm spending.

Last week, agriculture company Rallis India RALL.NS said farmers were reducing purchases of pesticides, fertilisers and seeds to conserve cash after the weak monsoon and poorer harvests.

Kranthi Bathini, director of equity strategy at WealthMills Securities, highlighted how uneven rainfall and drought-like conditions in parts of India had hurt the agrarian economy.

"That weakness is visible in segments closely tied to rural demand, such as two-wheelers and tractors," Bathini said.

Bajaj Auto's BAJA.NS domestic two-wheeler sales also declined 12% in September.

The delayed start of the festive season further weighed on sales. Festivals begin in October this year, compared with September last year, when they boosted demand for vehicles and other big-ticket purchases.

Passenger vehicle sales, however, remained strong on urban demand.

Hyundai Motor India HYUN.NS posted record monthly sales, while Maruti Suzuki MRTI.NS, Tata Motors Passenger Vehicle TAMO.NS and Mahindra & Mahindra reported double-digit growth.

(Reporting by Saikeerthi and Aishwarya Jain in Bengaluru; Editing by Sherry Jacob-Phillips, Nivedita Bhattacharjee, Dhanya Skariachan and Harikrishnan Nair)

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Escorts Kubota scheduled one-on-one meetings with T. Rowe Price Investment Services, Inc. in Faridabad on 17 September and with Saamya Advisors LLP virtually on 18 September. The meetings were set for 9:30-10:30 IST and 15:30-16:30 IST respectively, and the company said no unpublished price-sensitive information would be shared. The company reported consolidated revenue of about Rs 11,540 crore for the year to March, with agri machinery accounting for roughly 87% of continuing revenue and construction equipment the balance. Its domestic tractor market share stood at 10.5% in the June quarter, with tractors contributing about 80% of agri segment revenue across Powertrac, Farmtrac and Kubota utility ranges.

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Escorts Kubota scheduled one-on-one meetings with Enam Asset Management Company on 11 September, Baillie Gifford on 14 September and East Bridge Capital Management on 17 September. The first meeting was to be held virtually, while the other two were in person, and no unpublished price-sensitive information was proposed to be shared. The company's consolidated revenue was about ₹11,540 crore in FY26, while agricultural machinery accounted for roughly 87% of continuing revenue in the June quarter. The company had begun work on a greenfield tractor plant at YEIDA, whose total indicative phased outlay was above ₹2,400 crore.

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Escorts Kubota scheduled an in-person, one-on-one meeting with Rare Enterprises in Faridabad for September 3, 2026, from 09:00 to 10:00 IST. The company said no unpublished price-sensitive information was proposed to be shared and made its investor and earnings presentation available on its website. Escorts Kubota generated about ₹11,540 crore of consolidated revenue in FY26. Agricultural machinery accounted for roughly 87% of continuing revenue in the first quarter of FY27.

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Escorts Kubota scheduled a one-on-one virtual meeting with J.P. Morgan Asset Management for August 18, 2026, from 15:30 to 16:30 IST. No unpublished price-sensitive information was proposed for sharing during the meeting. The company had scheduled other investor interactions with Nuvama India for August 11-14 and with Carnelian AMC on August 7. Escorts Kubota reported consolidated revenue of ₹11,540 crore for FY26 and held cash of about ₹9,000-10,000 crore.

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Aug 11 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA - TO INCREASE TRACTOR PRICES ACROSS ALL BRANDS IN AUGUST 2026

• ESCORTS KUBOTA - PRICE INCREASE AND EFFECTIVE DATE MAY VARY ACROSS BRANDS, MODELS, AND GEOGRAPHIES

Source text: ID:nBSE4NJz0G

Further company coverage: ESCO.NS

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Aug 3 (Reuters) - India's Escorts Kubota ESCO.NS reported a rise in adjusted first-quarter profit on Monday, driven by higher tractor sales.

The company, majority-owned by Japanese tractor maker Kubota 6326.T, said net profit from continuing operations rose to 3.87 billion rupees ($40.50 million) in the quarter ended June 30 from 3.73 billion rupees a year ago.

• Profit from continuing operations before exceptional items rose 26%, the company said.

• In the year-ago quarter, the company had reported a one-time gain of 759.9 million rupees, related to the sale of certain assets.

• Revenue from operations climbed 28% to 31.79 billion rupees, supported by strong volume growth across segments.

• Expenses increased 30.3% year-on-year, primarily driven by higher raw material costs.

• Operating profit margins fell to 11.2% from 13.1% in the year-ago quarter.

• Revenue from agricultural machinery products, the company's main revenue-generating segment, rose nearly 26.8%, driven by higher tractor volumes.

• Total tractor sales grew 20.5% in the quarter, with domestic volumes up 22.9%.

• Analysts had expected the tractor maker to benefit from resilient tractor demand and healthy retail sales, but added elevated input costs and monsoon-related uncertainty could weigh on margins.

• Shares closed 0.94% higher after the results.

  
  

(Reporting by Mridula Kumar in Bengaluru; Editing by Janane Venkatraman)

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July 1 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TRACTOR VOLUME GREW BY 19.1% Y/Y IN JUNE 2026

Further company coverage: ESCO.NS

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June 1 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA - MAY 2026 TRACTOR SALES UP 18.9% YOY TO 12,310 UNITS

Source text: ID:nBSE2yvCMB

Further company coverage: ESCO.NS

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** Shares of India's Escorts Kubota ESCO.NS fall 3.50% to 3,228.90 rupees

** The tractor maker's fourth-quarter profit up 9.2% y/y to 3.25 billion rupees ($34.48 million), led by higher sales

** Revenue from operations up 21.4%

** Emkay trims FY27 and FY28 EPS estimates by ~3.5% and ~2%, respectively, on weaker margin, growth outlook

** Kotak Institutional Equities raises PT by 50 rupees to 3,425 rupees; cuts FY27 and FY28 EBITDA estimates by 3% and 5%, respectively, on commodity headwinds

** Brokerage says tractor industry's dependence on monsoon has reduced despite El Nino concerns

** ESCO shares on Thursday closed ~0.9% up after results

** YTD, stock down ~9.6%

($1 = 94.2500 Indian rupees)

(Reporting by Bipasha Dey in Bengaluru)

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May 7 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA Q4 NET PROFIT 3.25 BILLION RUPEES

• ESCORTS KUBOTA Q4 REVENUE FROM OPERATIONS 29.51 BILLION RUPEES

• ESCORTS KUBOTA LTD DECLARES DIVIDEND OF 33 RUPEESPER SHARE

Source text: [ID:]

Further company coverage: ESCO.NS

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May 1 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TRACTOR VOLUME GREW 24.4% IN APRIL 2026

Source text: ID:nBSE6QL2cc

Further company coverage: ESCO.NS

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April 27 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• LAUNCHED THREE NEW TRACTOR MODELS UNDER THE DIGITRAC SERIES IN 45-55 HP RANGE

Source text: [ID:]

Further company coverage: ESCO.NS

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April 9 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TO LAUNCH NEW TRACTOR SERIES BY POWERTRAC

Source text: ID:nBSE4rj8mj

Further company coverage: ESCO.NS

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April 7 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA - AGRI MACHINERY BUSINESS DIVISION TO INCREASE PRICES FOR KUBOTA BRAND TRACTORS

Source text: ID:nBSE597lsS

Further company coverage: ESCO.NS

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April 3 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TO INCREASE TRACTOR PRICES EX-KUBOTA BRAND EFFECTIVE APRIL 15, 2026

Source text: ID:nBSE3XQlcr

Further company coverage: ESCO.NS

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April 1 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TRACTOR VOLUME GREW BY 6.6% IN MARCH 2026

• TRACTOR VOLUME GREW BY 6.6% IN MARCH 2026

• ESCORTS KUBOTA - AGRI MACHINERY BUSINESS IN MARCH 2026 SOLD 12,119 TRACTORS

• ESCORTS KUBOTA - EVOLVING GEOPOLITICAL SITUATION POSES INTERMITTENT SUPPLY-SIDE RISKS

Source text: ID:nBSE3zw4lf

Further company coverage: ESCO.NS

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March 27 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TAX DEPARTMENT DROPS TAX DEMAND OF 467.9 MILLION RUPEES FOR FY 2019-20

Source text: ID:nBSE4HqsZ9

Further company coverage: ESCO.NS

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Feb 10 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• Q3 NET PROFIT 3.62 BILLION RUPEES

• Q3 REVENUE FROM OPERATIONS 32.61 BILLION RUPEES

• SPCL DIVIDEND 18 RUPEES PER SHARE

Further company coverage: ESCO.NS

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** Shares of Escorts Kubota ESCO.NS rise 3.08% to 3,850 rupees, highest in a month

** Tractor maker's total sales grow 38.5% Y/Y in December 2025

** Domestic tractor sales rise 36.1% Y/Y while exports jump 64.3%

** Stock rated "hold" on avg; median PT 3,800 rupees - data compiled by LSEG

(Reporting by Aleef Jahan in Bengaluru)

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Dec 30 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• TAX DEMAND OF 17.6 MILLION RUPEES CONFIRMED WITH INTEREST AND PENALTY

Source text: ID:nBSE7F65V3

Further company coverage: ESCO.NS

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** Shares of Escorts Kubota ESCO.NS rise 2.6% to 3,537.10 rupees

** Tractor maker's total sales grow 47.6% Y/Y in September to 18,267 units

** Domestic tractor sales jump 48.5% Y/Y and exports rise 17.5% Y/Y

** ESCO says tractor industry growth in September driven by favourable rural conditions, above normal well distributed monsoon rains, improved water reservoir levels, and early festive season

** ESCO up over 6% YTD

(Reporting by Vijay Malkar)

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** India's Escorts Kubota ESCO.NS rises 2.79% to 3763.7 rupees

** Construction equipment manufacturer introduces new paddy harvester that can convert residual stalk into a profitable alternative for farmers over stubble burning

** The machine, which weighs 2700 kg, compared to 9000 kg traditional harvesters, can reduce pollution caused by stubble burning in India, co says

** YTD, ESCO up ~13%

(Reporting by Ananta Agarwal in Bengaluru)

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Sept 17 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA LTD - INTRODUCES NEW COMBINE HARVESTER IN PUNJAB & HARYANA

Source text: ID:nBSE1fl0L5

Further company coverage: ESCO.NS

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Aug 4 (Reuters) - India's Escorts Kubota ESCO.NS posted a 19% rise in first-quarter profit on Monday on improvement in its margins as higher tractor realisations and lower expenses outweighed weak demand for its construction equipment.

The company, majority-owned by Japanese tractor maker Kubota 6326.T, logged profit before exceptional items and taxes of 4.18 billion rupees ($47.70 million) in the April-June period, compared with 3.5 billion rupees last year.

Shares of the company jumped 3.9% after the results.

Lower discounts helped lift the company's per-unit revenue, or realisations, according to a pre-earnings note by Ambit Capital, pushing revenue in the tractor segment 0.5% higher to 21.81 billion rupees.

Meanwhile, expenses dropped 3.8% on the back of an inventory gain during the quarter, compared to a charge the previous year.

As a result, its earnings before interest, taxes, depreciation and amortisation margin grew to 13.1% in the first quarter from 12.4% in the year-ago period.

Still, overall revenue fell 2.2% as sales of construction equipment slid about 24%.

Escorts Kubota's tractor sales have underperformed the industry over several quarters, growing 0.7% in the April-June period, compared to an industry-wide rise of 8.7%.

Two analysts attributed this to the company's weak presence in high-growth markets like south India.

($1 = 87.6320 Indian rupees)

(Reporting by Nandan Mandayam in Bengaluru; Editing by Sumana Nandy and Janane Venkatraman)

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July 17 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• SEIJI FUKUOKA RESIGNS AS DEPUTY MANAGING DIRECTOR

Source text: ID:nBSE4kxXbw

Further company coverage: ESCO.NS

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July 1 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• ESCORTS KUBOTA LTD- TRACTOR VOLUME GREW BY 2.2% IN JUNE 2025

Source text: ID:nBSEbvZkk2

Further company coverage: ESCO.NS

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May 8 (Reuters) - Escorts Kubota Ltd ESCO.NS:

• DIVIDEND 18 RUPEES PER SHARE

• Q4 NET PROFIT FROM CONTINUING OPERATIONS 2.51 BILLION RUPEES

• Q4 REVENUE FROM OPERATIONS 24.3 BILLION RUPEES

Source text: ID:nBSE9x1slL

Further company coverage: ESCO.NS

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** Shares of Indian tractor maker Escorts Kubota ESCO.NS down 3.3% at 3,193 rupees

** Of 17 analysts covering ESCO, four downgraded the co's stock rating and three cut TPs - according to data compiled by LSEG

GROWTH, MARKET SHARE WOES AMID RICH VALUATIONS

** Ambit Capital ("sell", TP: 3349 rupees): Weak performance in tractor business makes the co a laggard in the industry, in terms of growth

** Co's journey to increase exports 2-3x, market share to 18% (from current ~12%) may be long-drawn - Ambit

** Asian Markets Securities (AMSEC) ("sell", TP: 2,900 rupees): Co plans to introduce Uber-like model for tractors to make it more affordable for small farmers

** While co may be planning a strong transformative strategy to assist its mid- to long-term growth, current valuations seem rich to justify the near-term growth - AMSEC

** BOB Capital Markets ("sell", raises TP to 2,533 rupees from 2,426 rupees) expects performance at co's other segment - construction equipment - to improve, says tractor business to continue facing hurdles on intense competition-led discounts

(Reporting by Hritam Mukherjee in Bengaluru)

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