VST Tillers Posts Record ₹1,240 Cr Revenue in FY26; Adjusted PAT Surges 61%

Synopsis: VST Tillers Tractors Limited posted a landmark FY2025-26 with revenue from operations rising 25% to Rs. 1,240 crore from Rs. 995 crore in the prior year. Operational EBITDA more than doubled to Rs. 166 crore, and adjusted PAT surged 61% to Rs. 113 crore, reflecting broad-based growth across its farm equipment portfolio.

VST Tillers Tractors Limited (VST), India’s leading farm equipment manufacturer, announced its financial results for Q4 and the full year FY2025-26 via a press release filed to the NSE and BSE on May 15, 2026. The results paint a picture of a company that has significantly accelerated its earnings quality while also scaling revenue to a new all-time high, backed by strong demand for mechanized farming solutions across India.

For the full financial year FY2025-26, VST reported revenue from operations of Rs. 1,240 crore, up 25% from Rs. 995 crore in FY2024-25 the company’s best-ever annual revenue. This growth reflects the continuing structural shift in Indian agriculture towards mechanization, rising farmer incomes, and increasing government support for farm productivity.

Operational EBITDA computed excluding other income and fair value gains or losses on investments surged to Rs. 166 crore from Rs. 70.7 crore in the prior year. Operational EBITDA margins expanded by 221 basis points to 13.38% from 11.17%, signaling not just top-line growth but a meaningful improvement in cost efficiencies and operating leverage.

Reported Profit After Tax (PAT) for FY26 stood at Rs. 106 crore, compared to Rs. 94 crore in FY2024-25. However, the more reflective metric adjusted PAT, which strips out the impact of fair value gains or losses on investment portfolios, rose sharply by 61% to Rs. 113 crore from Rs. 70 crore in the prior year. This adjusted figure is considered a truer measure of operating business performance and underscores the strength of VST’s core farm equipment franchise.

A notable highlight of the FY26 performance is the company’s robust operating cash generation. VST reported operating cash flows of Rs. 132 crore during the year, up from Rs. 76 crore in FY2024-25 a 74% jump. Management credited improved operational performance, disciplined working capital management, and a strong balance sheet with healthy cash reserves for this improvement. Strong cash generation is particularly meaningful for a capital-intensive equipment manufacturer navigating commodity input costs and seasonal demand cycles.

In the fourth quarter of FY2025-26, VST reported revenue from operations of Rs. 328 crore, a 9% year-on-year increase over the corresponding quarter of the previous year. Operational EBITDA for Q4 rose to Rs. 46.82 crore from Rs. 40.37 crore in Q4 FY2024-25, with margins expanding to 14.2% from 13.4%. 

Reported PAT for the quarter, however, came in at just Rs. 5 crore versus Rs. 25 crore in Q4 FY2024-25, owing to adverse fair value movements on investments. Stripping that out, adjusted PAT for Q4 stood at Rs. 39 crore, a strong 36% increase from Rs. 28 crore in the year-ago quarter.

VST Tillers Tractors operates in a sector that is structurally well-positioned. India’s farm mechanization rate, while growing rapidly, remains significantly below global averages in several crop and terrain categories, creating a long runway for companies like VST that specialize in tillers, 4WD compact tractors, power reapers, and related precision components. 

The company’s product mix spanning tillers for small and marginal farmers to compact tractors and engines positions it well across income segments of Indian agriculture. VST also exports to European, Asian, and African markets, providing geographical diversification that helps cushion domestic monsoon-linked demand cyclicality.

The overall tractor industry in India has benefited from normal to above-normal monsoon forecasts for 2026, improved reservoir levels, and government impetus through rural infrastructure spending. These macro tailwinds, combined with VST’s focus on expanding its dealer network and introducing newer, fuel-efficient models, underpin market expectations for continued growth momentum into FY2026-27.

Shares of V.S.T Tillers Tractors Limited were trading at Rs. 4,600.00 on May 18, 2026, down 3.63% from the previous close of Rs. 4,773.50. The stock opened at Rs. 4,700.00 and moved between an intraday high of Rs. 4,713.50 and a low of Rs. 4,315.50 during the session. The tractor manufacturer currently has a market capitalization of about Rs. 3,980.2 crore.

Company Overview

V.S.T. Tillers Tractors Limited, established in 1967 and headquartered in Bengaluru, is a flagship company of the VST Group. With over 55 years of legacy in Indian agriculture, VST is the country’s leading manufacturer of power tillers, 4WD compact tractors, and associated farm equipment including engines, transmissions, power reapers, and precision components. The company exports to European, Asian, and African markets and is committed to the long-term mechanization and empowerment of Indian farmers. It is listed on both BSE and NSE.

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