The Escorts Agri Machinery segment (EAM) sold 6,423 tractors in May 2021 compared to 6,594 tractors sold in May 2020, a decrease of 2.6%.
Sequentially, total Escorts sales decreased 2.37% in May 2021, compared to 6,979 tractors sold in April 2021.
The company’s domestic tractor sales declined 4.59% to 6,158 tractors in May 2021, compared to 6,454 tractors in May 2020. Escorts said a slowdown in demand was due to the impact of COVID-19 in rural areas, which was affecting the movement of customers and the smooth operation of our dealerships. The company said the ground situation had eased somewhat in the last few days of the month and expected a return to normal soon. In the medium term, the company expects a strong rural mood due to all positive macroeconomic factors. Predicting good monsoons, high crop production, and better government support with crop prices. “Inflation continues unabated and remains worrying,” the company said.
Tractor exports totaled 265 units in May 2021 compared to 140 units sold in May 2020, representing a growth of 89.3%.
Escorts stakes rose 0.83% to Rs 1,181.35 in BSE.
Escorts is one of the leading engineering conglomerates in India. The company has diversified its business into three different segments: Escorts Agri Machinery (EAM), Escorts Construction Equipment (ECE) & Railway Equipment Division (RED). On a stand-alone basis, the company’s net income increased 93.2% to Rs 271.3 billion in Q4 FY21 from Rs 140.4 billion in Q4 FY20. Operating revenue grew 60.1% year-on-year (YoY) to Rs.2,210.5 billion.
Powered by Capital Market – Live News
(This story was not edited by Business Standard staff and is automatically generated from a syndicated feed.)
Business Standard has always endeavored to provide updated information and commentary on developments that are of interest to you and that have far-reaching political and economic implications for the country and the world. Your encouragement and constant feedback to improve our offering has only strengthened our determination and commitment to these ideals. Even in these troubled times resulting from Covid-19, we continue to strive to keep you updated with credible news, authoritative views, and concise comments on current affairs.
However, we have a request.
In the fight against the economic effects of the pandemic, we need your support even more so that we can continue to offer you high-quality content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscriptions to our online content can only help us achieve our goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism to which we are dedicated.
Support quality journalism and Subscribe to Business Standard.