Mumbai: Tata Motors, the country's largest commercial vehicle manufacturer and the third-largest passenger car maker, reported a 30.13 per cent a dip in net profit at Rs326.11 crore in the first quarter of the current financial year (April-June 2008-09), weighed down by forex losses on its long-term loans and increase in input costs.

The company said it suffered a notional foreign exchange loss of Rs199.88 crore in a volatile foreign exchange market, against a gain of Rs205 crore in the corresponding quarter of the previous year, which impacted its long-term foreign currency convertible bonds.

Besides, cost of raw materials and components rose sharply to Rs5,025 crore from Rs3,994 crore in the year-ago period.

The company reported a 14.4 per cent increase in revenues (net of excise) at Rs6,928.44 core on a standalone basis for the quarter as compared to Rs6,056.82 crore in the corresponding quarter last year.

Other income of Rs315.61 crore (Rs88.29 crore) includes profit on divestment of stake in Tata AutoComp Systems which realised Rs113.66 crore. The company's stake now stands at 26 per cent against 50 per cent earlier.

Sales volume, including exports, rose 3.9 per cent to 1.33 lakh vehicles from 1.28 lakh vehicles in the corresponding period last year. Domestic sales of commercial vehicles increased by 15.9 per cent to 71,049 units, while that of passenger vehicles (including Fiat) remained flat at 52,450 units.

Tata Motors acquired the business of Ford Motor Co's Jaguar Land Rover on 2 June  2008, and the financial statements of the business are still under compilation.

Ravi Kant, managing director, attributed the fall in the growth in its passenger car segment partly to the delay in the launch of its new Indica as also the larger and wider challenge of rising input costs.

The company hopes to reverse this trend with the launch of the Nano and a new version of the Indica in the second half of the financial year. This will be closely followed by the launch of the World Truck, the 1-tonne version of the Ace, a new SUV platform, and Marcopolo buses, he said.

Referring to the recent disturbances at its Rs1 lakh small car (Nano) plant at Singur, Kant said the West Bengal government is seized of the matter and were taking action. ''It is ultimately for the people of the state to decide whether they want industrialisation or not. Our Nano project has attracted world wide attention. People of West Bengal should feel proud that such a product is coming out of their State,'' he said.

The company was trying its best to meet the scheduled deadline for the Nano launch, he added.