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Jaguar Land Rover, part of the Passenger Vehicles business of Tata Motors Ltd
. has cut its EBIT margin outlook for the full year down to between 0% to 2% from 5% to 7% earlier. The unit made its announcement during the September quarter results on Friday, November 14.
It also expects free cash outflow to increase to £2.2 billion - £2.5 billion from close to zero. The investment spend for JLR is likely to remain at £18 billion over the next five years starting financial year 2024.
For Jaguar Land Rover, the loss before tax and exceptional items during the quarter stood at £485 million. Revenue also declined 24.3% from the same quarter last year to £24.9 billion. EBITDA margin stood at a negative 1.6%, while EBIT margin stood at a negative 8.6%, down 1,370 basis points from last year.
Adjusted for the one-time gain, the adjusted loss for the Tata Motors' passenger vehicles business would have been at ₹6,370 crore from a net profit of ₹3,056 crore last year.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter was a loss of ₹1,404 crore from a positive figure of ₹9,914 crore last year.
This is the first result reported by the Passenger Vehicles business as a standalone entity. JLR contributes to more than two-thirds of the overall Tata Motors business.
Shares of Tata Motors PV ended 1.7% lower on Friday ahead of the results announcement at ₹391.2, which is below the discovery price of ₹400 per share.
It also expects free cash outflow to increase to £2.2 billion - £2.5 billion from close to zero. The investment spend for JLR is likely to remain at £18 billion over the next five years starting financial year 2024.
For Jaguar Land Rover, the loss before tax and exceptional items during the quarter stood at £485 million. Revenue also declined 24.3% from the same quarter last year to £24.9 billion. EBITDA margin stood at a negative 1.6%, while EBIT margin stood at a negative 8.6%, down 1,370 basis points from last year.
Adjusted for the one-time gain, the adjusted loss for the Tata Motors' passenger vehicles business would have been at ₹6,370 crore from a net profit of ₹3,056 crore last year.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter was a loss of ₹1,404 crore from a positive figure of ₹9,914 crore last year.
This is the first result reported by the Passenger Vehicles business as a standalone entity. JLR contributes to more than two-thirds of the overall Tata Motors business.
Shares of Tata Motors PV ended 1.7% lower on Friday ahead of the results announcement at ₹391.2, which is below the discovery price of ₹400 per share.
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