Strong JLR, LCV sales triple Tata Motors Q4 net to Rs5,177 cr
31 May 2016
Tata Motors has reported a consolidated net (after-tax) profit (post minority interest and profit / loss in respect of associate companies) of Rs5,177 crore ($771 million) for the fiscal fourth quarter ended 31 March 2016, against the consolidated net profit of Rs1,717 crore for the corresponding quarter of the previous fiscal.
Tata Motors, India's largest vehicle maker by revenue, said the performance was driven by strong sales by luxury vehicle maker Jaguar Land Rover - in all the regions, including the UK, Europe, North America, China and other overseas markets - and higher demand for trucks, especially LCVs, in its home market.
Profit before tax (before exceptional item) for the quarter stood at Rs5,957 crore, against Rs2,932 crore for the corresponding quarter last year.
For the quarter ended 31 March 2016, Tata Motors reported consolidated revenues (net of excise) of Rs80,684 crore against Rs67,778 crore for the corresponding quarter of the previous year. Net sales rose 19 per cent to Rs79,930 crore.
Strong demand for the Jaguar XE compact saloon, nicknamed the 'baby Jag', and the Discovery Sport SUV pushed sales at the British luxury unit up 28 per cent to 158,813 vehicles in the fiscal fourth quarter ended 31 March 2016, Tata Motors, India's top automaker by revenue, said on Monday.
Jaguar Land Rover (JLR) sales in China, once its biggest and fastest-growing market, recovered during the quarter, rising 19 percent after dropping 10 percent in the previous quarter.
But that trailed 55 per cent growth in Europe where demand for its vehicles soared.
"China is really coming back and that will also be the focus," JLR chief executive Ralf Speth told a news conference.
"I am cautiously optimistic that we can continue around the world with very nice sales and distribution," he said.
JLR overtook Nissan last year to become Britain's biggest automaker.
Tata Motors said the stronger operating performance in and lower net expenses were partly offset by higher depreciation and amortization expenses, adverse revaluation of EUR payables and one time reserves and charges of Rs1,580 crore (£166 million) for the industry-wide recall in the United States of potentially faulty airbags supplied by Takata, doubtful debts and previously capitalized investment in the Jaguar Land Rover business.
For the year ended 31 March 2016, consolidated profit before and after tax (post minority interest and profit / loss in respect of associate companies) for the year ended 31 March 2016 was Rs13,981 crore and Rs11,024 crore, against Rs21,703 crore and Rs13,986 crore for the corresponding period last year.
Consolidated revenue (net of excise) stood at Rs2,75,561 crore against Rs2,63,159 crore for the corresponding period last year. Consolidated profit before tax (before exceptional item) for the year ended 31 March 2016 was Rs16,100 crore against Rs21,887 crore for the corresponding period last year.