Escorts Q3 net profit up 106 percent in the RS. 45.84 crore

Escorts Limited reported a profit of Rs 45.84 crore for the quarter ended June 30, 2010, 106 percent from Rs 22.2 crore recorded during the corresponding period last year. Profit before tax (PBT) stood at Rs 68.4 crore in the quarter, against a profit of Rs 41.4 crore for the corresponding period. Net sales rose to Rs 806 crore, 38.5 per cent to Rs 582 crore last year. EBITDA before special items increased by 24 per cent of Rs 78.3 crore from Rs 63.1. Escorts Limited follows a fiscal year from October to September.


During the quarter, Escorts Limited has registered sales of 17,917 units of tractors, an increase of 39 percent in 12 889 units. The sales performance is the result of aggressive marketing backed by a team of sales and marketing simplified. The tractor industry grew by 34 percent during the period from October 1909 until June 1910. During the same period, Escorts sales increased 43 percent.

About the results, Chairman and CEO Rajan Nanda said: "Escorts is to create a market value for the company and shareholders. I am very pleased that we have been able to justify the confidence our shareholders have relied on us and history of growth and profits on a sustainable basis will be used to act as a guarantee that he is ready to step forward. Our savings efforts, efficiency and cost management has put us in a situation where sales growth is reflected in the given corresponding revenue and profit growth. have improved our liquidity, interest costs have fallen sharply and debt: equity ratio is attractive. The company is constantly improving shareholder value through growth initiatives, fiscal prudence and innovative strategies. We are leveraging our ability to engineer the technology to trace a growth that extends over a wide canvas of economic activity in agriculture and infrastructure.

According to Nikhil Nanda, Joint Managing Director, Escorts financial performance continues to gain momentum quarter after quarter, showing a growth momentum, which is tireless and an appetite for greater market share. Compared to the previous quarter of the fiscal year, net income increased from Rs 41.47 crore from Rs 45.84 crore, operating profit rose by 28 percent, net sales were up 20 percent, and sales of tractors were up 22.5 percent. Focus on efficiency drove our EBITDA increase of 18.5 percent. In the future, we remain committed to creating a high quality, efficient company that offers more value for our stakeholders.

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