you are here:

Escorts Ltd.

BSE: 500495 | NSE: ESCORTS |

Represents Equity.Intra - day transactions are permissible and normal trading is done in this category
Series: EQ | ISIN: INE042A01014 | SECTOR: Auto - Tractors

BSE Live

Sep 16, 16:00
1451.35 -13.50 (-0.92%)
Volume
AVERAGE VOLUME
5-Day
187,383
10-Day
136,083
30-Day
128,421
62,889
  • Prev. Close

    1464.85

  • Open Price

    1468.00

  • Bid Price (Qty.)

    1444.00 (10)

  • Offer Price (Qty.)

    1448.00 (85)

NSE Live

Sep 16, 15:56
1447.85 -17.95 (-1.22%)
Volume
AVERAGE VOLUME
5-Day
1,589,183
10-Day
1,593,966
30-Day
1,992,171
857,620
  • Prev. Close

    1465.80

  • Open Price

    1466.20

  • Bid Price (Qty.)

    0.00 (0)

  • Offer Price (Qty.)

    1447.85 (1098)

Annual Report

For Year :
2019 2018 2017 2016 2015 2014 2012 2011 2010

Chairman's Speech

We believe that productivity levels can be nearly doubled if land is used in a more professional way with better technology and farm management practices. One can- not wish away more than 60 per cent of the holdings touching the lives of nearly 400 million of the countrys population. It is a great challenge to the nation to make these units viable and sustainable. At Escorts, we are engaging with one farmer at a time. By under- standing him completely, we have synchronized our mechanisation solutions to bring clear and pre sent value to him. In recent years, weve made great strides in ex- tending the power, reliability and lifetime-cost-of-ownership of our tractors to ensure profitable re- turns for our farmers. Weve spent extensive time in studying various different applications and evolved reliable and functioning solutions for them. Weve also adapted our tractors to provide as much ease and convenience as possible to compensate for their rigorous and arduous lifestyle. By way of exam- ple, during FY10, we introduced the first ever Inverter Tractor which allows a farmer to double- up his tractor at nights to serve as a electricity generator for lighting up his home. This facility can give him better access to communi- cation mediums for knowledge and improve the quality of his life significantly. Our role has not been limited to India alone: for over 10 years we have also been part of hundreds of farmers lives in Europe and Africa through our fully owned subsidiary in Poland and channel partners respectively. Weve also used our learnings in Europe and Africa to bring value to our farmers in India. Enabling Road Infrastructure & Realty Construction Construction activity is an integral part of Indias infrastructure and industrial development. Hence it can rightly be termed as the basic input for socio-economic development. All statistics on the growth of four and two wheel- ers point to an irrefutable fact: India is becoming a nation of cars and bikes. However, our road infrastructure leaves much to be desired. Even though we have 3.3 million km. of road network, the second largest in the world, highways make up only 2 per cent of the overall road network by length. When one considers that they account for around 40 per cent of traffic, its easy to see the need for enhancing our road networks at every level - high- ways, branch and rural roads. As the arteries of the nation, impact- ing every city, town, village and neighborhood inhabited by over 1.2 billion people, we need to widen existing roads and build new branches to enable Indias growth and efficiency as a nation. The Government of India is aware of this bottleneck to growth and is on the path of investing heavily for releasing access capacity. As a leading manufacturer of construc- tion equipment in India, we are at the forefront of understanding the needs of the construction industry that has this task at hand. Our portfolio of construction equipment for road developments is second to none and we are closely working with our custom- ers in grappling with the general shortage of skilled operators by offering in-depth training and ac- creditation. Where there are roads and access, realty assets soon follow. Today, India is witnessing quantum growth in general construction of retail, affordable housing, hospital- ity, commercial and industrial as- sets across the country. According to IHS Global Insight, construction spending is expected to increase to US$370 billion by the end of 2013, with residential totaling US$63 billion and nonresidential registering US$307 billion. This represents a compound annual growth rate (CAGR) of 13.3 per cent. Undoubtedly, construction is an important part of the industrial sector and one of the core sectors of Indias econ- omy. Not surprisingly, the con- struction sector is also the second largest employer in the country following agriculture, employing some 18 million people directly and 14 million indirectly. With solid growth momentum fore- casted over the next 20 years, our construction equipments business is well positioned for the future. Serving the Railways Expansion Programmes Indian Railways (IR) operates more than 8,500 passenger trains and transports around 5 billion people annually across twenty-seven states and three union territories (Delhi, Pondicherry and Chandi- garh). With its 64,015 kilometres network, it is the third largest railway in the world under a single management. Undoubtedly, the railways form a key pillar to Indias infrastructure impacting most Indians. The key challenges before it. is to meet the accelerated trans- port demand and provide high quality service. Thus, capacity en- hancement, technological upgra- dation and service improvement of Indian Railways are the major thrust areas of the current Plan. The government also envisages a 51 per cent increase in freight traffic and 32 per cent increase in passenger traffic during the plan period. With an expenditure of Rs.2,51,000Crores on various ca- pacity enhancement and replace- ment programmes including new lines, doubling, gauge conversion, electrification, new dedicated freight corridors and new rolling stocks, your Company is deeply Involved with the Indian Railways on multiple levels. Arguably, we are in the largest investment cycle the IR Mas ever undertaken and at Escorts, we are playing our part in giving them world class compo- nents, systems and solutions. Prudent Financial Management One of the significant achieve- ments of your Company this year was its ability to reduce interest costs through a mix of initiatives such as quicker sales realisation, better access to low cost funds for working capital and increased earnings through treasury operations. We also enhanced key functional areas such as Risk Management through Standard Operating Procedures; Investor Relations through a dedicated desk to serve analysts and funds and new channel finance models for finance tie-ups with dealers. Going forward, these initiatives along with post ERP implementa- tion initiatives such as a shared resources department for ac- counting operations and auto- mating risk management practic- es, should deliver robust financial controls, streamlined processes, reduced operating costs and sustainable business growth. Conclusion Despite myriad of complex issues facing the country, I am extremely optimistic about, the potential of agriculture, infrastructure and transport development in India. I also believe that our home- grown agricultural mechanisa- tion solutions can not only help improve the economic status of our farmers but also help generate a handsome surplus for the nation as well. Similarly our work within the construction and the railways industries should also leave a posi- tive national imprint. I would like to take this opportunity to thank all our stakeholders for taking part with us in this exciting journey. Rajan Nanda Chairman and Managing Director