VST Tillers Tractors Ltd (BOM:531266)
₹ 4678.05 -8.45 (-0.18%) Market Cap: 40.42 Bil Enterprise Value: 35.91 Bil PE Ratio: 34.11 PB Ratio: 4.15 GF Score: 94/100

Q2 2025 VST Tillers Tractors Ltd Earnings Call Transcript

Nov 04, 2024 / 10:00AM GMT
Release Date Price: ₹4565.25 (-1.27%)

Key Points

Positve
  • VST Tillers Tractors Ltd (BOM:531266) reported a 5% increase in power tiller sales in Q2 compared to the same quarter last year.
  • The company achieved a revenue of 283 crore in the current quarter, slightly up from 278 crore in the same quarter last year.
  • Operational EBITDA for the quarter stood at 13.33%, indicating a strong operational performance.
  • The company is expanding its presence in Europe with new product launches, including a stage five HP tractor.
  • VST Tillers Tractors Ltd is focusing on entering the US market with a new platform, planning to launch 16 variants in the compact tractor space over the next 2 to 3 years.
Negative
  • The company's receivables have increased to 70 days due to government orders, which may impact cash flow.
  • There is a concern about potential margin pressure due to the introduction of new products and higher horsepower volumes.
  • The company is facing challenges in accelerating execution and consolidating new dealerships, particularly in northern markets.
  • The JV project with Kobashi is currently on hold, delaying potential growth opportunities.
  • There is a risk of commodity price fluctuations affecting the bottom line, especially if geopolitical tensions escalate.
Operator

Ladies and gentlemen, good day and welcome to VST Tillers Tractors Ltd (inaudible)conference call from the management side. We have with us today, Mr V.T Ravindra, Managing director, Mr Anthony Skara, Chief Executive Officer and Mr Nithi Chief Financial Officer. At this point, our participant line will be in the listen-only remote and there will be an opportunity to ask questions after the management presentation and to open your ma over to you, sir.

Nitin Agrawal
VST Tillers Tractors Ltd - Chief Financial Officer

Good afternoon, everyone. My name is Nitin Agrawal. I'm Chief Financial Officer.

I will start the discussion with a brief presentation and then open up for the question-and-answer session.

This is the safe hours statement in terms of content for today's discussion. We'll be covering first the sales volume for this quarter and financial result for the quarter. Then I'll also give you a new one, which H1, change volumes and how the H1 results have been.

And then update on the monthly number.

The first slide is

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