NEW DELHI: Tata Motors on Thursday reported a higher-than-expected second-quarter profit as higher sales of its luxury car brand- Jaguar Land Rover (JLR)- boosted revenue and margins for the home-grown auto major.
Tata Motors’ consolidated net profit stood at Rs 3,764 crore in Q2FY24 against a net loss of Rs 944 crore in the corresponding quarter last fiscal. The automaker’s consolidated revenue in Q2FY24 rose 32.1% year-on-year to Rs 1.05 lakh crore. PB Balaji, Group Chief Financial Officer of Tata Motors, said, “It is pleasing to see all the businesses deliver on the well-differentiated plans this quarter.
With a strong product pipeline, a seasonally stronger second half and continued focus on cash accretive growth, we are confident of sustaining this momentum.” Driven by higher wholesales and a better mix, revenue of JLR business stood at £6.9 billion (Rs 70,000 crore) in Q2FY24, up 30% YoY.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) margin of the JLR unit in Q2 stood at 14.9%, up 430 bps YoY. “Production and wholesale volumes are expected to gradually increase in H2…We continue to expect free cash flow of over £2bn in FY24 with net debt reducing to less than c£1bn by the end of FY24,” said Tata Motors on JLR business. JLR wholesales in Q2FY24 stood at 96,800 units (up 29% YoY) and it had an order book of 168,000 units.
Tata Avinya EV to use JLR’s EMA platform
NEW DELHI: Tata Motors’ electric vehicle unit and its British subsidiary Jaguar Land Rover Plc (JLR) have entered into an MoU for the licensing of JLR’s Electrified Modular Architecture (EMA) platform for a royalty fee for the development of Tata’s ‘premium pure electric’ vehicles series ‘Avinya’ on the EMA platform. ENS