Farm and construction equipment major Escorts Ltd today reported over two-fold jump in net profit for the quarter ended June 30 at Rs 45.84 crore against Rs 22.2 crore in the year-ago period.
Net sales rose to Rs 806 crore,a 38.5 per cent increase from Rs 582 crore in the previous year,the company said in a statement.
Escorts Ltd follows an October-September fiscal year. Commenting on the results,Escorts Ltd Chairman and Managing Director Rajan Nanda said: “Our liquidity has improved,interest costs have fallen substantially and debt:equity ratio is attractive.”
The company is consistently enhancing shareholder value through growth initiatives,fiscal prudence and innovative strategies,he added.
During the quarter,Escorts sold 17,917 units of tractors,a 39 per cent increase over 12,889 units in the same quarter last fiscal.
The company also launched its new tractor variant Powertrac 429 (PT429),with a 27 HP,two cylinder engine during the three months period.
Besides this,the construction equipment business of the company introduced its backhoe loader – DIGMAX,as part of its strategy to expand its product portfolio to address larger share of the construction equipment market,it added.
Commenting on future plans,Nanda said: “We will be investing in Agri machinery business to expand capacity and develop new technology. We plan to launch 6-7 new products which are best suited for specialised application needs of the farmer.”
He,however,did not specify the timeline for launching the new products.