For the quarter ending Sept
2023, consolidated Net sales (including other operating income) of Escorts Kubota has increased 8.91% to Rs 2059.3 crore compared to quarter ended Sept 2022. Sales of Agri Machinery Products segment has gone down 3.83% to Rs 1,406.78 crore (accounting for 68.39% of total sales). Sales of Railway Equipments segment rose 28.75% to Rs 234.34 crore (accounting for 11.39% of total sales). Sales of Construction Equipment segment has gone up 71.89% to Rs 415.78 crore (accounting for 20.21% of total sales). Inter-segment sales came down from Rs 1.43 crore to Rs 0.40 crore. Profit before interest, tax and other unallocable items (PBIT) has jumped 77.81% to Rs 253.26 crore. PBIT of Agri Machinery Products segment rose 37.22% to Rs 167.56 crore (accounting for 66.16% of total PBIT). PBIT of Railway Equipments segment rose 62.39% to Rs 43.26 crore (accounting for 17.08% of total PBIT). PBIT of Construction Equipment reported profit of Rs 42.44 crore compared to loss of Rs 6.32 crore.
PBIT margin of Agri Machinery Products segment rose from 8.35% to 11.91%. PBIT margin of Railway Equipments segment rose from 14.64% to 18.46%. PBIT margin of Construction Equipment segment rose from negative 2.61% to 10.21%. Overall PBIT margin rose from 7.55% to 12.31%.
Operating profit margin has jumped from 7.90% to 12.66%, leading to 74.47% rise in operating profit to Rs 260.70 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 69.05% to 65.41%. Purchase of finished goods cost fell from 5.88% to 5.19%. Employee cost increased from 7.27% to 7.53%. Other expenses fell from 10.63% to 10.33%. Other income rose 21.83% to Rs 95.09 crore. PBIDT rose 56.41% to Rs 355.79 crore. Provision for interest rose 5.74% to Rs 3.13 crore. Loan funds rose to Rs 53.32 crore as of 30 September 2023 from Rs 48.66 crore as of 30 September 2022. Inventories declined from Rs 1,365.97 crore as of 30 September 2022 to Rs 1,247.13 crore as of 30 September 2023. Sundry debtors were higher at Rs 1,152.89 crore as of 30 September 2023 compared to Rs 1,013.73 crore as of 30 September 2022. Cash and bank balance rose to Rs 647.75 crore as of 30 September 2023 from Rs 292.48 crore as of 30 September 2022. Investments rose to Rs 5,168.69 crore as of 30 September 2023 from Rs 4,476.35 crore as of 30 September 2022 .
PBDT rose 57.08% to Rs 352.66 crore. Provision for depreciation rose 10.57% to Rs 40.8 crore. Fixed assets increased to Rs 1,906.12 crore as of 30 September 2023 from Rs 1,871.98 crore as of 30 September 2022. Intangible assets increased from Rs 60.88 crore to Rs 73.46 crore.
Profit before tax grew 66.23% to Rs 311.86 crore. Share of profit/loss was 86.74% lower at Rs -8.87 crore. Provision for tax was expense of Rs 79.7 crore, compared to Rs 31.01 crore. Effective tax rate was 26.30% compared to 23.89%.
Minority interest increased 33.33% to Rs -0.02 crore. Net profit attributable to owners of the company increased 125.95% to Rs 223.31 crore. Equity capital decreased from Rs 131.94 crore as of 30 September 2022 to Rs 110.50 crore as of 30 September 2023 . Per share face Value remained same at Rs 10.00.
Promoters’ stake was 67.64% as of 30 September 2023 ,compared to 72.90% as of 30 September 2022 .
For year-to-date (YTD) results analysis.
Net sales (including other operating income) of Escorts Kubota has increased 12.53% to Rs 4414.47 crore. Sales of Agri Machinery Products segment has gone up 0.87% to Rs 3,100.32 crore (accounting for 70.33% of total sales). Sales of Railway Equipments segment rose 49.73% to Rs 532.08 crore (accounting for 12.07% of total sales). Sales of Construction Equipment segment has gone up 58.98% to Rs 775.88 crore (accounting for 17.60% of total sales). Inter-segment sales came down from Rs 3.25 crore to Rs 0.91 crore.
Profit before interest, tax and other unallocable items (PBIT) has jumped 68.02% to Rs 570.84 crore. PBIT of Agri Machinery Products segment rose 34.78% to Rs 395.57 crore (accounting for 69.30% of total PBIT). PBIT of Railway Equipments segment rose 110.59% to Rs 105.57 crore (accounting for 18.49% of total PBIT). PBIT of Construction Equipment reported profit of Rs 69.70 crore compared to loss of Rs 3.88 crore.
PBIT margin of Agri Machinery Products segment rose from 9.55% to 12.76%. PBIT margin of Railway Equipments segment rose from 14.11% to 19.84%. PBIT margin of Construction Equipment segment rose from negative 0.80% to 8.98%. Overall PBIT margin rose from 8.67% to 12.95%.
Operating profit margin has jumped from 9% to 13.40%, leading to 67.62% rise in operating profit to Rs 591.75 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 68.19% to 64.50%. Purchase of finished goods cost fell from 5.90% to 5.25%. Employee cost increased from 6.91% to 7.07%. Other expenses fell from 10.62% to 10.16%. Other income rose 66.80% to Rs 189.44 crore. PBIDT rose 67.42% to Rs 781.19 crore. Provision for interest rose 6.49% to Rs 6.56 crore. Loan funds rose to Rs 53.32 crore as of 30 September 2023 from Rs 48.66 crore as of 30 September 2022. Inventories declined from Rs 1,365.97 crore as of 30 September 2022 to Rs 1,247.13 crore as of 30 September 2023. Sundry debtors were higher at Rs 1,152.89 crore as of 30 September 2023 compared to Rs 1,013.73 crore as of 30 September 2022. Cash and bank balance rose to Rs 647.75 crore as of 30 September 2023 from Rs 292.48 crore as of 30 September 2022. Investments rose to Rs 5,168.69 crore as of 30 September 2023 from Rs 4,476.35 crore as of 30 September 2022 .
PBDT rose 68.24% to Rs 774.63 crore. Provision for depreciation rose 10.01% to Rs 81.1 crore. Fixed assets increased to Rs 1,906.12 crore as of 30 September 2023 from Rs 1,871.98 crore as of 30 September 2022. Intangible assets increased from Rs 60.88 crore to Rs 73.46 crore.
Profit before tax grew 79.34% to Rs 693.53 crore. Share of profit/loss was 65.91% higher at Rs -4.2 crore. Provision for tax was expense of Rs 176.15 crore, compared to Rs 81.96 crore. Effective tax rate was 25.55% compared to 25.50%.Minority interest increased 62.50% to Rs -0.03 crore. Net profit attributable to owners of the company increased 114.31% to Rs 513.21 crore.
Equity capital decreased from Rs 131.94 crore as of 30 September 2022 to Rs 110.50 crore as of 30 September 2023 . Per share face Value remained same at Rs 10.00.
Promoters’ stake was 67.64% as of 30 September 2023 ,compared to 72.90% as of 30 September 2022 .
Cash flow from operating activities has turned positive Rs 524.17 crore for YTD ended September 2023 from negative Rs 216.02 crore for YTD ended September 2022. Cash flow used in acquiring fixed assets during the YTD ended September 2023 stood at Rs 57.10 crore, compared to Rs 100.75 crore during the YTD ended September 2022.
Full year results analysis.
Net sales (including other operating income) of Escorts Kubota has increased 15.74% to Rs 8428.69 crore. Sales of Agri Machinery Products segment has gone up 13.64% to Rs 6,397.08 crore (accounting for 75.99% of total sales). Sales of Railway Equipments segment rose 32.32% to Rs 841.86 crore (accounting for 10.00% of total sales). Sales of Construction Equipment segment has gone up 19.48% to Rs 1,178.98 crore (accounting for 14.01% of total sales). Inter-segment sales rose Rs 7.48 crore to Rs 8.81 crore. Profit before interest, tax and other unallocable items (PBIT) has slumped 23.98% to Rs 743.32 crore. PBIT of Agri Machinery Products segment fell 30.97% to Rs 593.32 crore (accounting for 79.82% of total PBIT). PBIT of Railway Equipments segment rose 22.85% to Rs 115.87 crore (accounting for 15.59% of total PBIT). PBIT of Construction Equipment segment rose 42.98% to Rs 34.13 crore (accounting for 4.59% of total PBIT).
PBIT margin of Agri Machinery Products segment fell from 15.27% to 9.27%. PBIT margin of Railway Equipments segment fell from 14.83% to 13.76%. PBIT margin of Construction Equipment segment rose from 2.42% to 2.89%. Overall PBIT margin fell from 13.48% to 8.83%.
Operating profit margin has declined from 13.67% to 9.22%, leading to 21.89% decline in operating profit to Rs 777.52 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 61.70% to 67.22%. Purchase of finished goods cost fell from 6.95% to 5.94%. Employee cost decreased from 7.37% to 7.07%. Other expenses rose from 10.43% to 10.72%. Other income rose 61.64% to Rs 280.93 crore. PBIDT fell 9.47% to Rs 1058.45 crore. Provision for interest fell 11.36% to Rs 13.27 crore. Loan funds rose to Rs 57.30 crore as of 31 March 2023 from Rs 51.95 crore as of 31 March 2022. Inventories rose to Rs 1,217.68 crore as of 31 March 2023 from Rs 846.56 crore as of 31 March 2022. Sundry debtors were higher at Rs 1,179.65 crore as of 31 March 2023 compared to Rs 792.62 crore as of 31 March 2022. Cash and bank balance rose to Rs 471.90 crore as of 31 March 2023 from Rs 271.84 crore as of 31 March 2022. Investments declined from Rs 4,835.84 crore as of 31 March 2022 to Rs 4,766.69 crore as of 31 March 2023.
PBDT fell 9.45% to Rs 1045.18 crore. Provision for depreciation rose 13.63% to Rs 150.06 crore. Fixed assets increased to Rs 1,931.47 crore as of 31 March 2023 from Rs 1,873.58 crore as of 31 March 2022. Intangible assets increased from Rs 55.27 crore to Rs 73.36 crore.
Profit before tax down 12.43% to Rs 895.12 crore. Share of profit/loss was 74.51% higher at Rs -7.48 crore. Provision for tax was expense of Rs 197.94 crore, compared to Rs 257.22 crore. Effective tax rate was 23.72% compared to 25.91%.
Minority interest increased 84.88% to Rs -0.13 crore. Net profit attributable to owners of the company decreased 13.54% to Rs 636.78 crore.
Equity capital stood at Rs 131.94 crore as of 31 March 2023 to Rs 131.94 crore as of 31 March 2022. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 72.90% as of 31 March 2023 ,compared to 28.10% as of 31 March 2022 .
Cash flow from operating activities increased to Rs 223.91 crore for year ended March 2023 from Rs 32.28 crore for year ended March 2022. Cash flow used in acquiring fixed assets during the year ended March 2023 stood at Rs 218.79 crore, compared to Rs 186.34 crore during the year ended March 2022.
Other Highlights
In Q2 FY24,
tractor volume stood at 22,024 units, down by 7.1% YoY. In H1 FY24, tractor
volume stood at 48,606 units, down by 3.8% YoY.
In Q2 FY24,
construction Volume increased 72% YoY to 1577 units. In H1 FY24, construction
Volume increased 56.7% YoY to 2950 units.
In Q2 FY24,
railway revenue increased 28.8% YoY to Rs 234.3 crore. In H1 FY24, railway
revenue increased 49.7% YoY to Rs 532.1 crore.