• Industry growth guidance: Escorts Kubota has upgraded its FY27 industry volume guidance to mid-single-digit growth, expecting strong Q3 festive retail to balance out base-effect softness in Q2 and Q4.
• Pricing and margins: Following a 1–1.5% price increase in April, the company plans another 2–3% hike this quarter to counter a 5% commodity cost increase and regional wage hikes, aiming for margins to recover to normal levels by Q4.
• Tractor exports outlook: Exports are expected to remain flat year-on-year at around 6,600 units due to subdued global demand for compact tractors, with significant growth projected in FY28 upon entering the North American market.
• Capital expenditure plan: Total capex for FY27 is projected at ₹850 to 900 crore, comprising ₹350 to 400 crore for regular product development and ₹500 crore dedicated to a new greenfield facility in Uttar Pradesh.