Tata Motors’ global sales increased by 5% in the first quarter, as JLR volume increased by 30%.

Passenger car wholesales for the company reached 1,40,450 worldwide, an increase of 8 percent compared to the same period in the previous fiscal year.

by Akash Jha July 8, 2023, 11:34 PM 35 Views

Tata Motors has stated that its global wholesales number climbed by 5 percent year-on-year to 3,22,159 vehicles in the first quarter of FY24. This increase includes the number of vehicles sold by Jaguar Land Rover.

According to the business, the global wholesale of all Tata Motors commercial vehicles and the Tata Daewoo line in the first quarter amounted at 88,456, which is down 15 percent from the previous year.

The global offtake of passenger vehicles increased by 8% to reach 140,450, which is a larger number than in the previous year.

The wholesale number of Jaguar vehicles for the quarter was 10,324, while the wholesale number of Land Rover vehicles for the quarter was 82,929 vehicles. When taken together, the premium divisions’ combined sales of 93,253 units represent a 30 percent increase over the same quarter a year ago.

The automobile manufacturer announced on July 7 that JLR’s order book remained strong with over 185,000 client orders at the end of the quarter. This comes as chip and other supply bottlenecks continue to improve. Particularly robust was the demand for Land Rover’s Range Rover, Range Rover Sport, and Defender models, which together made up 76 percent of the order book.

JLR further anticipates, on the basis of early cash balances, that it will be able to record a positive free cash flow of more than 400 million pounds in the first quarter of FY24.

Jefferies, an international brokerage firm, anticipates that both the JLR and India businesses will perform well in FY24, which will drive robust earnings growth and deleveraging. “By the end of the fiscal year in 2025, we anticipate that EBITDA will be 2.1 times that of FY23, that EPS will reach an all-time high, and that the auto balance sheet would shift to net cash. Our EBITDA and EPS for FY24-25 are 11-12 percent and 40 percent above Street, respectively,” the company stated in a note that was distributed the previous month.

On July 7, the share price reached a new all-time high of Rs 624.80 on the NSE, and it finished the day with a gain of more than 3.6 percent. The business stated in a separate filing with the exchange that it will make the announcement regarding the results of its June quarter on July 27.

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