Escorts Q1 net up 33% to Rs 63 cr

Govt's focus on farm mechanisation, smart city infrastructure has been credited for positive growth

Farm equipment manufacturer Escorts on Friday reported 33.41 per cent increase in net profit at Rs 62.64 crore for the quarter ended June 30.

The company had posted a net profit at Rs 46.95 crore during the same period a year ago, Escorts Ltd said in a BSE filing.

Total income from operations during the quarter under review stood at Rs 1,183.65 crore as against Rs 1,058.24 crore in the April-June quarter of previous fiscal, up 11.85 per cent.

Commenting on the result, Escorts chairman Rajan Nanda said: "Government's renewed focus on farm mechanisation and smart city infrastructure has provided positive momentum to the industry, resulting into an upward trend in market demand."

The company witnessed 7.3 per cent increase in tractor sales at 17,561 units during the quarter against 16,363 units in the quarter ended June 2016.

Construction equipment volume was up 20 per cent at 886 units during the quarter compared to 739 units in the quarter ended June 2016.

The stock was trading at Rs 663.90, up 3.42 per cent on BSE.