On a month-on-month basis, the tractor volumes have risen by 7.5%.

Domestic tractor sales in June 2023 were at 9,270 units (up 0.1% YoY) while tractor exports during the same period added up to 580 units (down 26.2% YoY).

Escorts said that the overall sentiments were mixed as markets with good rainfall and crop prices showed good momentum, and markets with a delayed monsoon had a slightly dampened demand.

Going forward, with a further advancement of monsoon across the country coupled with adequate reservoir levels, better liquidity and consumer credit availability, we expect the demand momentum to improve in coming months, it added.

Seperately, the company informed that its construction equipment business in June 2023 sold 491 machines, registering a growth of 53% as against 321 machines sold in June 2022. The company stated that the government thrust and focus on faster execution of infrastructure projects continued in June 2023 despite the onset of monsoon. Demand for construction machinery is still buoyant and post monsoon, we expect the momentum to further accelerate.

Escorts Kubota is an engineering conglomerate. The company has diversified business across three different verticals viz., agri machinery, construction equipment & railway equipment division.

The company reported 8.26% decline in standalone net profit to Rs 185.47 crore despite a 16.76% rise in revenue from operations to Rs 2,182.95 crore in Q4 FY23 over Q4 FY22.

The scrip had advanced 2.44% to end at Rs 2247.85 on the BSE on Friday.