Escorts Kubota Limited , a leading Indian engineering conglomerate, has reported mixed results for its July sales across its two main business divisions: Agri Machinery and Construction Equipment.

Tractor Sales Show Positive Growth

Escorts Kubota's Agri Machinery Business Division recorded total tractor sales of 7,154 units in July, marking a 2.7% increase compared to 6,963 units sold in July of the previous year. This growth was driven by both domestic and export markets:

• Domestic tractor sales reached 6,624 units, up 1.3% from 6,540 units in the previous year.
• Export sales saw a significant jump of 25.3%, with 530 tractors sold compared to 423 in the same month last year.

The company attributes the positive performance in the agricultural sector to favorable conditions:

• Timely and widespread above-normal monsoon rains
• Higher water reservoir levels
• Healthy rural sentiments
• Improved farmer cash flows

Kharif Sowing Progress Boosts Optimism

With Kharif sowing progressing well and already exceeding last year's sown area, Escorts Kubota remains optimistic about continued growth in the tractor industry. The company noted that while commercial demand remains soft, agricultural demand is holding steady.

Construction Equipment Sales Face Headwinds

In contrast to the tractor segment, Escorts Kubota's Construction Equipment Business Division experienced a significant decline in sales:

• Current month sales: 358 machines
• Previous year's sales: 491 machines
• Year-over-year decline: 27.1%

The company cited several factors contributing to the challenging market conditions in the construction equipment sector:

• Reduced construction activities due to monsoon
• Project delays
• Sluggish demand caused by higher product prices following emission norm changes

Despite the current downturn, Escorts Kubota remains hopeful for a potential upturn in the construction equipment market. The company points to the government's higher budgetary outlay towards capital expenditure for the current year, which may lead to increased investment in infrastructure projects and potentially trigger improved demand for construction equipment post-monsoon season.

Year-to-Date Performance

Looking at the broader picture for the first four months of the fiscal year (April - July):

The tractor segment has shown resilience with a slight growth, while the construction equipment division continues to face significant challenges.

Company Overview

Escorts Kubota Limited, formerly known as Escorts Limited, has a rich history spanning eight decades in manufacturing excellence. The company is committed to accelerating India's socio-economic development through its presence in the agricultural mechanization and construction sectors. With a focus on engineering excellence, product innovation, and market-relevant technologies, Escorts Kubota aims to create value for its customers and shareholders while contributing to the nation's progress.

Escorts Kubota Limited , a prominent player in the agricultural machinery sector, has received an upgraded Environmental, Social, and Governance (ESG) rating, demonstrating improved performance in sustainability metrics. The company announced this latest development in a regulatory filing on January 8, 2026.

Latest ESG Rating Achievement

NSE Sustainability Ratings and Analytics Ltd., a registered ESG Rating Provider, has assigned Escorts Kubota an overall ESG rating of 69 under the 'Aspiring' category for FY 2025. This represents a significant improvement from the company's previous CRISIL ESG rating of 53, which was categorized as 'Adequate'.

The comprehensive rating breakdown shows strong performance across all three ESG pillars:

Independent Assessment Process

Similar to the previous CRISIL evaluation, Escorts Kubota did not engage NSE Sustainability for this ESG rating. NSE Sustainability independently prepared the report based on publicly available data pertaining to the company. This autonomous assessment approach ensures objectivity and transparency in the rating process.

Rating Timeline and Disclosure

The ESG rating event occurred on January 7, 2026, at 8:20 P.M., with the company making the disclosure on January 8, 2026. The rating has been published by NSE Sustainability and is available on their official platform at www.nse-esgrating.com/esg-ratings .

Regulatory Compliance and Transparency

This disclosure complies with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, along with recent SEBI Master Circular SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, and SEBI Circular no. SEBI/HO/CFD/CFD-PoD-2/CIR/P/2024/185 dated December 31, 2024. In line with transparency commitments, Escorts Kubota has made this information available on its official website at www.escortskubota.com .

ESG Performance Progress

The upgrade from 'Adequate' to 'Aspiring' category reflects Escorts Kubota's enhanced commitment to environmental stewardship, social responsibility, and corporate governance. The improved scores across all three ESG dimensions indicate strengthened sustainability practices and better alignment with global ESG standards, positioning the company favorably for ESG-conscious investors and stakeholders.