Escorts Kubota shares drop 3% as December tractor sales decline YoY

Escorts Kubota shares drop 3% as December tractor sales decline YoY

Escorts Kubota shares tumbled over 3 percent in January 1 trade after the tractor sales declined for the December month Year-on-year (YoY).

The farm and construction equipment firm Escorts Kubota Ltd reported a 10.82 percent decline in December tractor sales at 5,472 units against 6,136 units on YoY basis.

The shares of the company snapped the 3-day gaining streak. The stock touched an intraday low of Rs 3,225.55 per share on the NSE, down by 3.21 percent.

At around 10 am, the shares of the company were trading at Rs 3,248.25 per share, down 2.53 percent.

Revenue for Escorts Kubota in the second quarter remained flat at Rs 2,488.5 crore, marginally higher than Rs 2,478 crore recorded in the corresponding period last year.

The company reported a net profit of Rs 324 crore, reflecting a robust 54 percent growth on a year-on-year basis.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) stood at Rs 265 crore, showing no significant change compared to Rs 264 crore reported in the same quarter last year. The EBITDA margin also remained stable at 10.6 percent.

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