The company just recently launched two tractor models in Bangladesh- Farmtrac 6060- Heritage series and Powertrac Diesel-Saver Plus 4450 Euro series.
According to Madan, rise in prices and cost control have helped in increasing margins. The company is hopeful of maintaining volume growth of current levels of 14%.
Sameer Tandon, Escorts Agri Machinery is optimistic of run rate going back to 6000 units per month from the current 4000 units by February, March.
In an interview with CNBC-TV18, Vikram Kirloskar, President of Society of Indian Automobile Manufacturers (SIAM) and Vice Chairman, Toyota Kirloskar Motor Ltd (TKML), spoke about the state of the auto industry and what it will take to kick-start growth.
The company sold 9,209 tractors in domestic market in October 2013 and expects its volumes to grow by 12-13 percent in this festive season.
According to Sameer Tandon, the 33-34 percent growth seen by the company in September (YoY) may not be sustainable going ahead. However, he believes good monsoons can keep up the positive momnetum.
In an interview to CNBC-TV18, Rajan Nanda, chairman and managing director, Escorts says farmers are now very profit driven and they are going to become cash rich, thereby adopting newer and better technologies, gears.
Despite a conitnuing slowdown seen in the auto industry, Sameer chief of sales- service and spares, Escorts expects the company to post better margins on the back of new products.
Escorts plans to focus on high value premium offerings going forward, said joint managing director Nikhil Nanda.
Tractors manufacturer Escorts reported 49 percent rise in quarter-on-quarter profit to Rs 28.13 crore in the first quarter of financial year 2012-13. Its revenues grew by 25 percent to Rs 1,028.2 crore from Rs 823.40 crore during the same period.
Agri-machinery segment player Escorts‘ Q4 net profit stood at Rs 18.9 crore against Rs 8.2 crore reported a year earlier. It reported net sales of Rs 819 crore in Q4 compared to Rs 763 crore (YoY).
Rohtash Mal, executive director and CEO of Escort says that the tractor sales have been upbeat on account of a many factors, apart from the MET forecast. “Low manpower and high literacy, along with ready available finances are the drivers to the buoyant tractor sale,” he says.
In an interview with CNBC-TV18, Rajan Nanda, CMD, Escorts, spoke about the results and his outlook for the company.