JLR magic sends Tata Motors net soaring
Tata Motors, the Mumbai-based owner of Jaguar Land Rover, boosted second quarter profit more than 100-fold as a global economic recovery spurred demand for luxury sedans and sport-utility vehicles.
By Bloomberg |
MUMBAI: Tata Motors, the Mumbai-based owner of Jaguar Land Rover, boosted second quarter profit more than 100-fold as a global economic recovery spurred demand for luxury sedans and sport-utility vehicles.
Consolidated net profit rose to Rs 2,220 crore in the three months ended September from Rs 21.8 crore a year earlier, the company said in a statement on Tuesday. This beat the Rs 1,710 crore average of 10 analysts’ estimates compiled by Bloomberg. Sales rose 36% to Rs 28,780 crore.
Jaguar Land Rover sales jumped 43% to Rs 16,170 crore as increasing job security stoked demand for $72,000 Jaguar XJ sedans in the US and China. Bayerische Motoren Werke and Daimler, the parent of Mercedes-Benz, have also raised their profit forecasts.
Sales of Tata-brand trucks, buses and cars rose 21% in October to 64,757 units as expansion in Asia’s third-largest economy spurred demand.
Profit at Tata Motors, excluding Jaguar Land Rover and other units, declined 41% to Rs 433 crore, trailing the `514 crore average of 19 analyst estimates compiled by Bloomberg.
Last month, the automaker raised prices of the Nano, the world’s cheapest car, by as much as 7%, or Rs 9,000. Tata opened a factory in June in the western state of Gujarat that may eventually make as many as 350,000 Nanos a year. Tata, run by Carl-Peter Forster, the former European head of General Motors, was little changed at Rs 1,269.9 on BSE on Tuesday. The stock has climbed 60% this year, compared with a 20% gain in Sensex.
Consolidated net profit rose to Rs 2,220 crore in the three months ended September from Rs 21.8 crore a year earlier, the company said in a statement on Tuesday. This beat the Rs 1,710 crore average of 10 analysts’ estimates compiled by Bloomberg. Sales rose 36% to Rs 28,780 crore.
Jaguar Land Rover sales jumped 43% to Rs 16,170 crore as increasing job security stoked demand for $72,000 Jaguar XJ sedans in the US and China. Bayerische Motoren Werke and Daimler, the parent of Mercedes-Benz, have also raised their profit forecasts.
Sales of Tata-brand trucks, buses and cars rose 21% in October to 64,757 units as expansion in Asia’s third-largest economy spurred demand.
Profit at Tata Motors, excluding Jaguar Land Rover and other units, declined 41% to Rs 433 crore, trailing the `514 crore average of 19 analyst estimates compiled by Bloomberg.
Last month, the automaker raised prices of the Nano, the world’s cheapest car, by as much as 7%, or Rs 9,000. Tata opened a factory in June in the western state of Gujarat that may eventually make as many as 350,000 Nanos a year. Tata, run by Carl-Peter Forster, the former European head of General Motors, was little changed at Rs 1,269.9 on BSE on Tuesday. The stock has climbed 60% this year, compared with a 20% gain in Sensex.
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