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10-Feb-2025

Escorts Kubota

Short-Term impact on construction equipment volumes expected due to new emission norms


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Escorts Kubota hosted a conference call on Feb 10, 2025. In the conference call, company was represented by- Mr. Bharat Madan: Chief Financial Officer, Mr. Neeraj Mehra: Head of Farmtrac & Powertrac Sales and Mr. Sanjeev Bajaj: Chief Officer of Construction Equipment Business.

Key takeaways of the call

In Q3 FY25, tractor volume stood at 32,556 units, up by 4.5% YoY. Construction Volume decreased 0.9% YoY to 1989 units.

During 9M FY25, tractor volume stood at 88,921 units, down by 0.8% YoY. Construction Volume decreased 8.1% YoY to 4765 units.

The profitability of the Railway Equipment division is shown separately as discontinued operations. The financial statements for prior periods have been adjusted accordingly.

In Q3 FY25, EBITDA margin fell due to inflation & Lower non-operating income. Going forward, management expects margin to improve....



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