Escorts Q1 Results: Net Profit Rises 6% To Rs 93 Cr

Escorts Limited has reported a net profit of Rs 92.2 crores in the quarter ended June 30, 2020, up by 5.3%, as against a profit of Rs 87.5 crores in the corresponding quarter of the previous fiscal and as against Rs 140.4 crores in the sequential quarter.

Revenue from operations came at Rs 1,061.6 crores as against Rs 1,423.0 cores in the corresponding quarter and Rs 1,380.7 crore in sequential quarter. EBIDTA for the quarter ended June 30, 2020, was at Rs 119.6 crore against Rs 142.4 crore in quarter ending June 2019. EPS reported at Rs 7.71 as against Rs 7.32 in the corresponding quarter and Rs 11.75 in sequential quarter.

At consolidated level revenue from operations at Rs. 1,089.3 crores as against Rs 1,440.5 cores in corresponding quarter. Consolidated net profit recorded at Rs 92.6 crore in quarter ended June 30, 2020, up by 5.6%, as against a profit of Rs 87.7 crore in corresponding period last fiscal.

Due to an unprecedented COVID-19 pandemic situation during this period, the financials for the quarter ended June 2020 do not represent normal operations and to that extent are not strictly comparable with any normal quarter.

Speaking on the results, Nikhil Nanda, Chairman and Managing Director, said, “We are maintaining business continuity and ensuring safety of all our employees, stakeholders & partners aligned to government advisories. In this prolonged pandemic we are trying to find new and innovative ways to connect with our customers and providing them with un-interrupted product distribution & service. Rural demand in agriculture has been encouraging and government focus will aid to the sector in helping farming to continue the momentum.  Amidst the challenging environment, while we have witnessed faster revival in our agriculture business this quarter, our construction and railway business have been impacted because of lockdown and related issues across geographies. Hopefully, we will see a recovery soon as the current market situation gets better and the economy across layers improves. We are optimistic for the coming quarters and hope that the collective efforts will help in containing the crisis and the global economy will be on its strength soon again.”