The Escorts Kubota Board approved the Unaudited Financial Results for the quarter and nine months ending December 31, 2025. Key highlights include the declaration of a Special Dividend of ₹18 per share (180%), with a record date set for February 16, 2026. Furthermore, the Board consented to acquire 154 acres of land in the YEIDA area for a new Greenfield Project aimed at enhancing production capacity.
Financial Results and Dividend Declaration
At the Board Meeting held on February 10, 2026, the Directors considered and approved the Unaudited Financial Results (Standalone and Consolidated) for the quarter and nine months ended December 31, 2025. The results are detailed in Annexure-I.
Significantly, the Board declared a Special Dividend of ₹18/- (180%) per fully paid-up equity share of ₹10/- each for the Financial Year 2025-26. The Record Date for this dividend payment is fixed as Monday, February 16, 2026, with payment due within 30 days.
Standalone Profit Highlights (Nine Months Ended Dec 31, 2025)
For the nine months ended December 31, 2025, the standalone Net profit for the period from continuing operations stood at ₹1,056.14 Crores, compared to ₹859.32 Crores in the previous corresponding period. The Total comprehensive income for the nine months reached ₹2,085.35 Crores.
Board Appointments and Governance
The Board appointed Mr. Hitoshi Sasaki (DIN: 11464326) and Mr. Satoshi Suzuki (DIN: 06527098), both nominees of Kubota Corporation, as Additional Directors (Non-Executive Nominee Directors). These appointments are effective from February 10, 2026, and they will hold office up to the ensuing Annual General Meeting or three months, whichever is earlier.
Both appointees possess extensive experience within Kubota Corporation, with Mr. Sasaki focusing on Farm and Industrial Machinery Strategy and Mr. Suzuki on Business Planning, Sales & Marketing.
Strategic Investment in Greenfield Project
The Board consented to invest funds, in phases, to acquire approximately 154 acres of land in the YEIDA Industrial area, Sector-10, Gautam Buddha Nagar, Uttar Pradesh. This land is intended for setting up a Greenfield Project to boost production capacity.
Capacity Expansion Details (Annexure-III)
- Proposed Capacity Addition (Phase 1): Enhancement for tractors by 60,000 units per annum and Construction Equipment by 15,000 units per annum.
- Land Allotment Timeline: The capacity is expected to be added within 7 years from land allotment.
- Initial Investment Required: Estimated at approximately ₹593 Crores (covering land cost, lease, and development costs) for the initial setup.
- Total Project Scope (DPR): The Detailed Project Report indicates an indicative outlay of ₹2,268 Crores, including land costs.
- Financing Mode: Proceeds from the earlier preferential issue of shares to Kubota Corporation, Japan, and internal accruals.
The rationale behind this move is Enhancing the manufacturing capacity to meet growth plans for both domestic and global markets.
Auditor’s Review Confirmation
The review report on the standalone unaudited financial results confirms that the statements have been prepared in compliance with applicable accounting standards, and no material misstatement was identified.
Source: BSE
