India's Force Motors to shut down its agricultural tractors business

BENGALURU (Reuters) - India's Force Motors said on Friday it will close its agricultural tractors business and related activities from March 31. The closure of business is part of the company's product rationalisation programme under which it will focus on its core segments such as shared mobility transportation, last mile mobility and the creation of special vehicles for civil and defence applications, the company added. In financial year 2023, the sale of agricultural tractors accounted for 3.66% of the company's total revenue, Force Motors said. The company, which is known for its multi-seater passenger vehicles and also makes engines for BMW and Mercedes cars in India, earns about 48% of its revenue from vehicle sales, while about 36% revenue comes from contract engine manufacturing, according to its last annual report. Force Motors reported a profit for the fourth-straight quarter in the October-December period as a pickup in post-pandemic economic activity helped the Maharashtra-based company turn profitable.

(Reporting by Ashish Chandra in Bengaluru; Editing by Sohini Goswami)