VST Tillers Tractors reported a significant decline in quarterly profitability for the March 2026 quarter, with consolidated net profit falling 80% to ₹5 crore compared to ₹24.5 crore in the corresponding quarter of the previous year. According to latest reports, the steep decline was largely attributed to a fair value loss on investments of ₹33.74 crore during the quarter, significantly higher than the ₹3.85 crore loss recorded in Q4 FY25. Despite the profit decline, the company demonstrated resilience in revenue generation, with sales rising 9% to ₹329 crore during the quarter ended March 2026, up from ₹301.4 crore in Q4 FY25. EBITDA declined 16.4% to ₹47 crore from ₹49.3 crore year-on-year, but EBITDA margin improved to 14.3% from 13.4% in the year-ago quarter.
The company's annual performance showed contrasting trends between quarterly and full-year results. As reported by Business Standard, net profit for the full year ended March 2026 increased 12.64% to ₹104.72 crore, compared to ₹92.97 crore in the previous financial year. Sales for the full year rose 24.72% to ₹1,240.36 crore, significantly higher than ₹994.55 crore recorded in FY25. The company's operating profit margin (OPM) for the quarter stood at 14.19%, while the annual OPM was 13.27%.
The company's investment portfolio faced significant headwinds during FY26, with fair value losses of ₹6.78 crore for the full financial year compared to a gain of ₹24.69 crore in FY25. This represents a complete reversal in investment performance, contributing to the overall profit decline. The Q4 FY26 fair value loss of ₹33.74 crore was substantially higher than the ₹3.85 crore loss in the corresponding quarter of the previous year, highlighting the challenging market conditions for the company's investment portfolio.
Despite the quarterly challenges, the board of VST Tillers Tractors has recommended a final dividend of ₹25 per equity share of face value ₹10 each for FY26, subject to approval by shareholders at the upcoming Annual General Meeting. The company also approved the re-appointment of Dr. Nandakumar Jairam as an independent director for a second consecutive five-year term with effect from June 21, 2026, subject to shareholder approval. Shares of VST Tillers Tractors ended lower on Friday, closing at ₹4,725 on the National Stock Exchange of India, down ₹151.50 or 3.11% from the previous close following the quarterly results announcement.
