Q1 Results: Tata Motors Loss Widens To Rs 5,007 Cr
Tata Motors on Wednesday released its financial results for the quarter ended June 30, 2022 and reported a widening loss rise at Rs 5006.60 crore compared to Rs 4,450.92 crore in the same quarter last year.
Its total revenue from operations grew 8.32 per cent YoY to Rs 71,934 crore compared to Rs 66,406 crore in the corresponding quarter a year ago.
British arm JLR reported a 11.3 per cent YoY drop in sales at 4,406 million pounds. Retail sales in Q1 FY23 were 78,825 vehicles, broadly flat compared with Q4 FY22 and down 37 per cent compared with Q1 FY22.
Tata Passenger Vehicles (PV) business continued its strong momentum with wholesales at 130,351 vehicles, up 101.7 per cent vs Q1 FY22.
Demand for passenger vehicles continued to stay strong in Q1 FY23 even as the supply side remained moderately impacted. The SUV portfolio contributed 68 per cent of Q1 FY23 sales.
"Margin improvement was led by strong volumes, improved mix, and impact of higher operating leverage," it said in an exchange filing.
Tata Commercial Vehicles (Tata CV) business witnessed strong volumes growth as compared to Q1 FY22.
"The growth in Q1 FY23 has been broad-based across regions and segments. For India business, domestic wholesales were at 95,895 vehicles (+124 per cent YoY). Exports were however at 5,218 vehicles, 22.6% per cent affected by financial crisis in few export markets," it said in an exchange filing.
Overall, the company said that the outlook remains strong despite inflation worries and geo-political risks.
"The supply situation is expected to improve further. Cooling commodity prices are expected to aid improvement in underlying margins. We aim to deliver strong improvements in EBIT and free cash flows from Q2 onwards to get to near net auto debt free by FY 24," the company said.
