VST Tillers & Tractors' (VST) 1QFY18 earnings were above our expectations driven by higher other income, while at the operating level the performance was below our expectations because of lower margins. Net sales at Rs1.8bn were 2% below our estimate, while EBITDA margin at 13.5% was 215bps below our estimate. Absolute EBITDA at Rs245mn was 15% below our estimate. The company reported its financials as per IND-AS accounting standards and hence other income for the quarter was sharply higher at Rs148mn (up 72% YoY), driving a strong 53% PAT outperformance. PAT at Rs282mn was up 18% YoY and 61% QoQ. The company's management, at the post-result conference call, indicated that margins for the quarter were subdued because of an...

VST Tillers & Tractors (VST) reported a mixed Q1FY18 performance driven mainly by higher other income (~| 14.8 crore) and robust tractor performance while power tillers failed to deliver growth Net sales in Q1FY18 came in at | 181.2 crore, up 4.8% YoY In Q1FY18, power tiller sales volume were at 7119 units (down 2.5% YoY) while tractor sales volume was at 2555 units (up 18.4% YoY) EBITDA in Q1FY18 was at | 24.5 crore, with corresponding EBITDA margins at 13.5%. PAT during the quarter was at | 28.2 crore...

ICICI Securities Ltd | Retail Equity Research VST Tillers & Tractors (VST) reported sales volume for June 2017. Power tiller sales volume for the month came in at 4099 units, up 23% YoY (3330 units in June 2016). Tractor sales volume for the month was at 954 units, up 6.1% YoY (899 units in June 2016) For the quarter, power tiller sales volume was at 7119 units, down 2% YoY while tractor sales volume was at 2555 units, up 18% YoY This is line with the management guidance of clocking 28000 power...

VST Tillers & Tractors' (VST) 4QFY17 numbers were broadly in line with our estimates. Net sales at Rs2bn grew 11% YoY and 36% QoQ on the back of strong 33% YoY growth in tractor volumes. EBITDA margin for the quarter at 14.6% improved 170bps QoQ, in line with estimates. On a YoY basis, the margin was lower by 200bps due to increase in other expenditure. Absolute EBITDA at Rs288mn sharply improved on a QoQ basis (up 55% QoQ) on higher volumes in tillers and tractors. PAT at Rs175mn (down 10% YoY) was 17% below our estimates due to sharp increase in tax rate during the quarter. Realisation continues to grow YoY due to improving mix comprising higher 27hp tractors. Going forward, the company...

ICICI Securities Ltd | Retail Equity Research VST Tillers & Tractors (VST) reported a mixed performance in Q4FY17 amid a strong rebound in power tillers segment in March 2017 and robust performance in the tractor segment Net sales in Q4FY17 came in at | 197.2 crore, up 11.2% YoY In Q4FY17, power tiller sales volume were at 7766 units (down 2% YoY) while tractor sales volume were at 2567 units (up 33% YoY) EBITDA in Q4FY17 was at | 28.8 crore, with corresponding EBITDA...

V.S.T. Tillers Tractors (VSTT) reported a ~12% YoY growth in revenues during 4QFY17. The company sold 7,766 tillers (down 2% YoY basis; up 92% on a QoQ basis), while tractor volumes came in at 2,567 units (up ~33% YoY). The tiller business contributed to a little over INR 1 bn while tractor sales stood at INR 750 mn. At the operating level, EBITDA numbers came in flat as margins contracted to 14.6% as compared to 16.3% in same quarter last year. Performance in the quarter is in line with the guidance that was provided by the management earlier during the year gone by there were higher investments made towards...

Exemplary Performance Reported in March 2017, to End FY17 on a High: VST Tillers Tractors Ltd has reported on Apr 3, 2017 indicating exemplary sales volumes for March, 2017. During March, 2017 under the power tiller segment, the company was able to record sales of 4625 units Vs 1527 units in February, 2017 marking a growth of 202.9% MoM. Under the tractors segment, the company recorded a stellar growth by making sales of 1398 units in March, 2017 Vs 651 units in February, 2017 marking a growth of 114.7% MoM.

New Product Launches Lined up for the next Fiscal; FutureOutlook Promising: Revenue from operations for VST Tillers Tractors Ltd in Q3FY17 have declined toRs. 1446 Mn Vs Rs. 1518 Mn in Q3FY16 marking a drop of 4.7% YoY which made Q3FY17 the first quarter to record negative growth in past 7 quarters. The mundane performance in Q3FY17 came as a result of demonetization, drought in keyclientele states like Karnataka, Tamil Nadu and Kerala and delay in implementation of subsidy schemes in Andhra Pradesh, Orissa, Karnataka and Assam.

Margins Below Expectation, But Realisation Surprises Positively The 3QFY17 performance of VST Tillers & Tractors was weaker than expected as it reported 9% EBITDA-level miss on account of lower-than-expected margins. Margins at 12.9% were 170bps below estimate on account of the rise in other expenses because of higher marketing expenditure, while higher other income and a lower tax rate resulted in just 4% PAT-level miss. Net sales at Rs1.4bn fell 5% YoY and 17% QoQ largely because of a sharp 36%/37% YoY/QoQ fall in tiller sales. Strong tractor volume (up 30% YoY and realisation up 14% YoY) restricted the sharp fall in absolute net sales. Tractor realisation growth was the key positive during the...

ICICI Securities Ltd | Retail Equity Research VST Tillers Tractors (VST) reported a muted Q3FY17 performance. Net sales in Q3FY17 came in at | 144.6 crore, down 4.7% YoY In Q3FY17, power tiller sales volumes were at 4042 units (down 36% YoY) while tractor sales volume were at 2507 units (up 30% YoY) EBITDA in Q3FY17 was at | 18.7 crore, with corresponding EBITDA margins at 12.9%. PAT during the quarter was at | 13.4 crore A steep drop in power tiller sales during the quarter was on account...