Synopsis:
Escorts Kubota Limited achieved record sales in September 2025, selling 18,267 tractors versus 12,380 last year, marking a strong 47.6% YOY growth in performance.
This Mid-cap Tractor Stock, engaged in manufacturing and marketing agricultural machinery, including tractors and crop solutions, construction and material handling equipment, railway components, and auto suspension products, jumped 7 percent after the company’s sales volume grew by 47.6 percent in September 2025.
With a market capitalization of Rs. 39,213.15 crores, the share of Escorts Kubota Limited has reached an intraday high of Rs. 3,698.95 per equity share, rising nearly 7.23 percent from its previous day’s close price of Rs. 3,449.15. Since then, the stock has retreated and is currently trading at Rs. 3,505 per equity share.
What is the news?
Tractor Segment: In September 2025, Escorts Kubota Limited’s Agri Machinery Business achieved its highest-ever monthly sales by selling 18,267 tractors, compared to 12,380 tractors sold in September 2024. This represents a 47.6 percent growth in year-on-year. For the September quarter (Q2), total sales stood at 33,877 units in FY26 against 25,995 units in FY25, which is a growth of 30.3 percent.
Looking at the domestic market, the company sold 17,803 tractors in September 2025, compared to 11,985 tractors in the same month a year earlier, representing a 48.5 percent increase. In Q2 FY2026, domestic sales grew by 30.5 percent, reaching 32,329 tractors compared to 24,768 tractors in the same quarter last year.
In exports, the company sold 464 tractors in September 2025 versus 395 tractors in September 2024, an increase of 17.5 percent. For Q2, exports stood at 1,548 tractors, higher than 1,227 tractors last year, marking a growth of 26.2 percent.
Construction Equipment Segment: In September 2025, Escorts Kubota’s construction equipment sales dropped 19 percent to 413 units from 510 units in 2024. For the September quarter (Q2 FY26), the company’s sales fell 17.8 percent to 1,146 units compared to 1,394 units last year. This decline reflects ongoing market challenges in the sector, despite company-wide efforts to stabilize operations.
Company Overview
Escorts Kubota Limited was originally founded in 1944 as Escorts Limited and became Escorts Kubota Limited following Kubota Corporation of Japan increasing its stake and forming a strategic partnership. The company operates in high-growth sectors including agricultural machinery, construction and material handling equipment, railway equipment, and automotive components.
Escorts Kubota Limited is a strong company with 6 manufacturing plants where they build equipment. The company also has 1 R&D Centre and a Corporate Office to design and manage things, with more than 15,000 employees.
The company has sold over 2.5 million pieces of equipment and exports to more than 80 countries, showing its global reach. Escorts Kubota has a big network with over 1,600 Pan India dealers and over 1,250 branches for brands like Kubota, Farmtrac, Powertrac, and Escorts. Additionally, the company supports customers with more than 9,000 registered spare part retailers and more than 10,500 workshop mechanics across India.
Recent quarter results
Coming into financial highlights, Escorts Kubota Limited’s revenue has decreased from Rs. 2,574 crore in Q1 FY25 to Rs. 2,500 crore in Q1 FY26, which is a drop of 2.87 percent. The net profit has grown by 362.58 percent from Rs. 302 crore in Q1 FY25 to Rs. 1,397 crore in Q1 FY26. Escorts Kubota Limited’s revenue and net profit have grown at a CAGR of 12.01 percent and 21.8 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE stand at 13.6 percent and 12.8 percent, respectively. Escorts Kubota Limited has an earnings per share (EPS) of Rs. 113.06, and its debt-to-equity ratio is 0.01x.
Written By – Nikhil Naik
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