The company's December volumes exceeded market expectations, driven by lower GST rates, state subsidies, and increased water availability supporting agricultural activity.
01 Jan 2026 | 17606 Views | By Angitha Suresh
Escorts Kubota Limited reported tractor sales of 7,600 units in December 2025, recording 38% growth compared to December 2024. The figure surpassed market estimates of 6,200 units, marking the second consecutive month of above-expectation performance.
Domestic sales reached 6,800 units, up 36% year-on-year, while exports stood at 700 units, ...
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Escorts Kubota Limited reported tractor sales of 7,600 units in December 2025, recording 38% growth compared to December 2024. The figure surpassed market estimates of 6,200 units, marking the second consecutive month of above-expectation performance.
Domestic sales reached 6,800 units, up 36% year-on-year, while exports stood at 700 units, registering 64% growth over the previous year. The December volumes were below the higher sales level seen in November, when the company sold 10,580 units, reflecting typical seasonal patterns in the agricultural machinery sector.
Strong Year-to-Date Performance
For the April-December period, the company's cumulative tractor sales reached 101,400 units, representing 14% growth over the same period last year. The consistent outperformance of market estimates in recent months has raised expectations of potential upside to full-year projections by 2-3%.
Government Support and Rural Demand
The company attributed the sales momentum to multiple factors including government policies, reduced GST rates, and continued state subsidies that have improved affordability for farmers. A report from the company noted that the industry has benefited from robust Kharif output, enhanced Rabi sowing compared to last year, and increased water availability.
Rural sentiment has remained positive, contributing to heightened retail demand across the tractor segment. The company expects the industry to sustain growth momentum in the coming months based on these factors.
Export Growth
Export performance has shown notable improvement, with volumes increasing substantially due to distribution support from Global Kubota. The December export figure of 700 units represented a 64% year-on-year increase, building on the 87.7% growth recorded in November when exports reached 458 units.
Market Outlook
Industry analysts expect double-digit volume growth for the fiscal year 2026, supported by positive rural customer sentiment, GST reductions, new product launches, and strong export performance. The tractor sector has been aided by favorable agricultural conditions and government initiatives aimed at supporting farm mechanization.
Escorts Kubota operates in the agricultural machinery and construction equipment sectors. The company has manufacturing facilities across India and maintains partnerships with international entities including Kubota Corporation of Japan.