Tata Motors narrows losses in Q2
NEW DELHI: Tata Motors Ltd reported a narrower loss than expected in the second quarter after its British luxury unit t urned profitable working through a cost cutting programme.
Tata Motors lost ₹217 crore in the three months ended September 30, compared with a loss of ₹1,050 crore a year earlier, the company said on Friday.
Analysts on average expected a loss of ₹1,635 crore for the company, according to data compiled by Bloomberg.
Demand for Jaguar Land Rover vehicles in China in now stabilizing, PB Balaji, group chief financial officer, said on a conference call with reporters. The brand has suffered from
n quality issues and troubles with its dealership network in the world’s biggest auto market, while parent Tata has been hit by the worst-ever slump in India’s auto market.
After struggling in China, and dealing with fallout from the ongoing uncertainty around Brexit, JLR has almost completed a £2.5 billion ($3.2 billion) savings drive that includes cutting thousands of jobs worldwide, the carmaker said on Friday.
Tat a Motors bought t he maker of the Jaguar XE sedan and Land Rover Discovery sport utility vehicle from Ford Motor Co. in 2008.
JLR’S pretax profit for the quarter was £156 million.
Analysts at Sanford C Bernstein last month described JLR as “severely challenged” and said Tata Motors should look at BMW AG as a buyer for the unit because the German company is “awash with cash”.
Tata group, the Indian cong l o merate t hat o wns Tata Motors, is open to finding partners for the automaker but isn’t planning on selling the embattled division, chairman Natarajan Chandrasekaran said in an interview this month.