Escorts jumps higher on the bourses

Escorts is currently trading at Rs 83.85, up by 2.20 points or 2.69% from its previous closing of Rs 81.65 on the BSE.

The scrip opened at Rs 82.40 and has touched a high and low of Rs 84.75 and Rs 82.00 respectively. So far 1049207 shares were traded on the counter.

The BSE group 'B' stock of face value Rs 10 has touched a 52 week high of Rs 149.15 on 06-Apr-2011 and a 52 week low of Rs 63.60 on 19-Aug-2011.

Last one week high and low of the scrip stood at Rs 84.75 and Rs 76.50 respectively. The current market cap of the company is Rs 880.85 crore.

The promoters holding in the company stood at 27.67% while Institutions and Non-Institutions held 37.28% and 35.05% respectively.

Escorts has reduced production and raised prices of tractors by Rs 7,000 in January to improve its profitability after a tough first quarter ending December 31.Collections from retail sales in the quarter fell at least 5-6% behind its expectations, as demand in the industry dropped to single-digits from double-digits last year.

The company aims compression exercise in raw material costs, which will help save cash. Also, from its seasonal business, as most of the sales happens between end-February through to July.

Escorts offer a comprehensive range of tractors with more than 45 variants starting from 25 to 80 HP. It also manufactures and markets a diverse range of equipments like cranes, loaders, vibratory rollers and forklifts.