The major in agricultural machinery and mechanical engineering posted an 83.4 percent increase in net profits to Rs 280.7 billion for the third quarter ended December 31, 2020 on Tuesday, driven by robust sales across all businesses.
The company reported net profits of Rs 153.1 billion for the period October to December of the previous fiscal year.
Revenue from operations increased to Rs 2,017.4 billion for the period from Rs 1,633.4 billion for the same period last year, Escorts Ltd said in a statement.
“Agricultural demand for tractors and farm mechanization continues to grow. We hope for continued momentum as we see the agricultural and rural economies strengthen,” said Nikhil Nanda, Chairman and Managing Director of Escorts Ltd.
The positive development in the construction machinery sector is also encouraging, he added.
“We are optimistic about the better environment for business recovery in the construction and railroad equipment segments,” said Nanda.
The tractor volume rose in the third quarter by 25.7 percent to 31,562 units compared to 25,109 units in the corresponding period of the last fiscal year.
Similarly, sales of construction machinery rose by 20.1 percent to 1,254 machines compared to 1,044 machines in the October-December quarter of the previous fiscal year.