Tata Motors Q1 net jumps 3-fold to Rs5,398 cr as JLR sales boom

Tata Motors today reported an over three-fold jump in consolidated net profit to Rs5,398.21 crore, for the first quarter of the current financial year ended 30 June, on the back of a sharp increase in Jaguar Land Rover sales.

Consolidated profit after tax (post minority interest and share of profit / loss) of associates (net) for the quarter was Rs5,398 crore compared to Rs1,726 crore for the corresponding quarter of the previous year, the company stated in a release.

Consolidated profit before tax for the quarter stood at Rs7,528 crore, compared to Rs2,934 crore for the corresponding quarter of the previous year.

Consolidates revenues (net of excise) clocked 38.2 per cent increase at Rs64,683 crore in the first quarter of FY 2014-15. In the comparable quarter last fiscal, the consolidated revenues stood at Rs46,796 crore.

Revenue from the company's British unit, Jaguar Land Rover, went up by 53.89 per cent to Rs54,425.97 crore in Q1, against Rs35,364.97 crore in the year-ago period.

Revenue from Tata and other brand vehicles and financing during the quarter were at Rs9,898.38 crore - down 11.33 per cent from Rs11,163.9 crore in the same period a year ago.

Tata Motors' stand-alone sales (including exports) of commercial and passenger vehicles declined 28.2 per cent for the quarter at 1,10,612 units, during the quarter, the company said in a release.

The revenues (net of excise) for the quarter stood at Rs7,705 crore, as compared to Rs9,105 crore for the corresponding quarter of the previous year. Tata Motorts attributed this to continued slowdown in the economic growth and other macro-economic parameters.

Sales in the commercial vehicle segment declined in the quarter compared to the corresponding quarter last year, led by a fall of around 10 per cent in the cyclical M&HCV segment and around 26 per cent in the LCV segment.

However, during the quarter, the company has launched the all-new range of Tata ULTRA trucks in the intermediate and light commercial vehicle (ILCV) range. These will come in several variants with payload capacity between 5 and 15 tonnes.

In the passenger vehicle business, the company expectes the new Tata Aria and the upcoming all-new Zest to drive sales.

Profit before and after tax for the quarter ended June 30, 2014 was Rs394 crore and Rs394crore, respectively, against the profit before and after tax of Rs753 crore and Rs703 crore, respectively, for the corresponding quarter last year.

Profit before tax for the quarter ended 30 June 2014, includes dividends from subsidiary companies of Rs1,549 crore (Rs1,537crore for the corresponding quarter last year), the company said.

Jaguar Land Rover wholesale and retail volumes for the quarter grew by 27.1 per cent and 22 per cent over the corresponding quarter last year to 115,156 units and 115,596 units, respectively, helped by rising global demand for the new and refreshed Jaguar and Land Rover line up, particularly for the Range Rover, Range Rover Sport, Range Rover Evoque andthe Jaguar F-Type, Tata Motors said.

The strong sales volumes resulted in revenues of £5,353 million for the quarter. Profit before tax increased to £924 million for the quarter, reflecting the growth in volumes and revenue with strong product and geographic mix.