Why Escorts Kubota's stock is down despite strong financial performance
Escorts Kubota's stock slipped 2% to ₹3,318 on August 7, 2025—even though the company posted solid growth and announced dividends.
The drop surprised many, since the company remains in the Nifty Midcap 150 and just wrapped up a strong financial year.
Revenue, profit growth on year-to-date basis
For anyone tracking business trends or investing, it's interesting:
Escorts Kubota grew revenue by nearly 16% in FY25 to ₹10,244 crore and boosted net profit by 9% to ₹1,125 crore.
Earnings per share also climbed from ₹96.80 to ₹115.04—so on paper, things look great.
What does the market say?
Despite these numbers (and a final dividend of ₹18 per share), investors stayed cautious.
In Q1 FY25 alone, net profit jumped almost five times compared to last year's June quarter—showing real momentum—but overall market sentiment stayed neutral, which seems to have kept buyers on the sidelines for now.