Shares of Escorts Kubota Ltd. fell over 3% in early trade on Thursday after the company reported a 16.7% year-on-year decline in total tractor sales to 15,214 units in September 2026, compared with 18,267 units a year ago.
At around 10:07 a.m., the stock was trading at Rs 2,624.1 apiece on the NSE, down 3.36% from its previous close at Rs 2,715.2.
Escorts Kubota Tractor Sales
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The company's domestic tractor sales stood at 14,911 units in September, compared with 17,803 units a year earlier, declining by 16.2% year-on-year. Export sales also slumped 34.7% to 303 tractors from 464 units a year earlier.
Escorts Kubota said the September 2026 performance was not comparable with the year-ago sales.
“September 2026 performance is not comparable with the corresponding period last year, given the high base following the GST rate reduction in September 2025, shift in the festive season to October 2026, patchy monsoon conditions and relatively lower Kharif sowing. Looking ahead, festive demand, crop harvesting and improving rural liquidity are expected to support industry volumes,” the company stated in the exchange filing.
Despite the monthly decline, domestic tractor sales for the first six months of fiscal 2027 rose 11.3% to 68,085 units from 61,177 units in the year-ago period. Total tractor sales during April-September increased 10% to 70,879 units from 64,458 units.
Construction Equipment Sales Jump
Coming to Escorts Kubota's construction equipment business, a sharp improvement in September sales has been witnessed as 795 machines were sold during the month, compared to 413 machines a year earlier, logging a significant 92.5% year-on-year rise, and this is also the highest-ever September monthly sales.
Total construction equipment sales for the April-September period stood at 3,108 machines, up 41.2% from 2,201 machines in the corresponding period last year.
“The construction equipment industry maintained its growth trajectory in September 2026, driven by continued government-led infrastructure investments, sustained project execution across roads, railways, urban infrastructure and mining activities, and healthy demand for mechanization. Export opportunities also remained supportive across key markets. However, geopolitical uncertainties continue to be important factors to watch,” Escorts Kubota stated in the filing.
Escorts Kubota Share Price Performance
The tractor manufacturer's stock has been under pressure for a prolonged period. The stock has declined 28% in the past year, while tanking more than 31% in 2026 so far. In the past month itself, the stock declined almost 13%, and today's decline further adds to the woes.
The stock is currently trading at a price-to-earnings multiple of 21.97 times, with a market cap of Rs 29,350 crore.
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