No analyst estimates were available for Tata Motors’ recently demerged unit, which now houses JLR and listed last month.Consolidated revenue fell 14% to ₹72,350 crore, pressured by the downturn at JLR. The luxury brand’s sales fell 25% to £4.9 billion as the cyber attack “severely disrupted” its retail and manufacturing operations, said PB Balaji, the group’s CFO. He added that the loss of production days “had a material impact on volumes and profitability” and coincided with pressure from higher US tariffs. JLR’s Ebit margin fell to -8.6%, while the company ended the quarter with free cash flow of -£790 million.
The hit to JLR’s volumes may not be recovered this fiscal, prompting the automaker to lower its Ebit margin expectations for FY26 to 0-2% from 5-7% previously. Full year free cash outflow is now estimated at £2.2-2.5 billion.
In India, Tata Motors’ passenger car and EV businesses remained resilient. Revenue for the PV division grew 15.6% to ₹13,529 crore, supported by an 11% increase in auto sales to 144,500 units. Ebitda margin was 5.8%, while Ebit margin remained broadly flat at 0.2%, reflecting raw material cost pressures and a temporary decline in profitability in the internal combustion engine (ICE) automotive sector. However, the EV business showed strong sequential margin improvement, aided by benefits from production-linked incentives (PLI) and robust demand. On the domestic side, Shailesh Chandra, MD & CEO, TMPV, said demand strengthened from September end as the Goods and Services Tax (GST) was reduced. “unlocked pent-up purchases” during the holiday season. He highlighted the emergence of Tata’s compact SUV Nexon as India’s best-selling model in September and October, record volumes for the Harrier and Safari SUVs and continued traction in electric vehicles, led by the updated Nexon EV and the Harrier EV models.
Chandra predicts “a strong second half” for Tata Motors, supported by limited inventories, new model launches including the new generation Sierra, and stable market conditions.
Balaji noted that JLR used the downtime caused by the production halt to accelerate work on its electrification roadmap, including the readiness of the Halewood electrical modular architecture (EMA) platform. He said liquidity remains “comfortable” at £6.6 billion, including undrawn credit lines.
Shares of TMPV closed 1.62% lower at Rs391.6 apiece on the BSE, outperforming a flat market in Mumbai.
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