Tata Motors Ltd has reported Q3FY25 profit at Rs 5,451 crore, which is a drop of 22.41% compared to Rs 7,025 crore during the corresponding period of FY24, according to a company statement issued here on Wednesday.
The company posted revenue from operations at Rs 113,575 crore, which is an increase of 2.71% as against Rs 110,577 crore during the third quarter of previous financial year. The company’s earnings before interest, taxes, depreciation and amortization (EBITDA) stood at Rs 13,081 crore, according to the statement.
However, Jaguar Land Rover which was acquired by Tata Motors, delivered a robust performance in Q3FY25 with record quarterly revenue, which is the highest EBIT margin in a decade and a ninth successive profitable quarter. However, commercial vehicle revenues declined on account of lower volumes though EBITDA margins improved to 12.4%, which is an increase of 130 basis points, primarily reflecting material cost savings and the impact of Production Linked Initiative (PLI), according to the statement.
Passenger vehicles (PV) revenues were down 4.3% though the EBITDA margin was up by 120 basis points at 7.8% due to cost control and Production Linked Incentives(PLIs). The company received sanction of automotive Production Linked Incentives (PLIs) in December 2024, and accordingly, an income of Rs 351 crore was realised.
Tata Motors Group Financial Officer PB Balaji said, “ In Q3, the performance of all businesses improved sequentially. For YTD FY25, our business grew 1.6% over the previous year to Rs 323.0K crore and delivered a robust PBT (BEI) of Rs 22.3K crore (+14.5%).The fundamentals of the business are strong and therefore despite external challenges we are confident of delivering another strong performance this year ” .
Jaguar Land Rover CEO Adrian Mardell said, “JLR has delivered a robust performance in the third quarter of our financial year, and further milestones in our Re-imagine strategy. Thanks to our people and partners we achieved record revenue and our best EBIT margin in a decade and our electrification plans are progressing. We revealed the beautiful, re-imagined Jaguar design vision – Type 00 – in Miami, and later this year, we will launch Range Rover Electric”.
Tata Motors Executive Director Girish Wagh said, “In Q3 FY25, the heavy commercial vehicles (HCV) segment witnessed robust sequential recovery, even as the YoY sales declined 9% due to limited growth in end-use segments. The Intermediate Light Commercial Vehicles (ILMCV) segment and passenger carrier segment witnessed 3% and 30% yoy growth, whereas the Small Commercial Vehicles (SCV) segment experienced marginal decline due to ongoing financing challenges. The business has delivered strong EBITDA and EBIT margin of 12.4% and 9.6%, respectively, with cost control and reflecting PLI incentive. At the Bharat Mobility Expo, we unveiled a bold new era in mobility, showcasing 14 smart vehicles, all integrated with ADAS, alongside 6 cutting-edge intelligent solutions that provide real-time performance insights, and 4 advanced aggregates. With relentless innovation and agility, we will continue to redefine the future of mobility with sustainable, intelligent, and cutting-edge solutions”.
Tata Motors stated that it expects demand to improve gradually, supported by infrastructure investments, upcoming product launches and stable interest rates. Jaguar Land Rover’s wholesale volumes are projected to improve further in the fourth quarter, though the company remains cautious about overall demand trends, particularly in China.
“We delivered sequential improvement across all businesses in Q3. Our fundamentals remain strong, and despite external challenges, we are confident of delivering another strong performance this year,” Tata Motors Group Chief Financial Officer PB Balaji said.