Tata Motors Q3 Results: Net profit more than doubles to Rs 7,025 crore, exceeds analysts' estimates

Tata Motors—the Tata group auto giant whose popular cars include Nexon and Punch—on Friday reported a consolidated net profit of Rs 7,025.1 crore for the quarter ended December 31, 2023, marking an increase of 2.4 times compared with the corresponding period a year ago. 

Its revenue grew by one-fourth on a year-on-year basis to Rs 1,09,799.2 crore, according to a regulatory filing.

According to Zee Business research, the Tata group auto major was estimated to register a consolidated net profit of Rs 4,100 crore and revenue of Rs 1,07,800 crore for the fiscal third quarter.

Revenue from Tata Motors' commercial vehicles and passenger vehicles segments increased 19.2 per cent to Rs 20,100 crore and 10.6 per cent to Rs 12,900 crore, respectively, according to a statement.

Tata Motors registered 60.6 per cent growth in earnings before interest, taxes, depreciation and amortisation (EBITDA) to Rs 15,800 crore for the quarter under review.

During the quarter, the company achieved a reduction to the tune of Rs 9,500 crore in net debt, according to a statement. 

“It is satisfying to see our businesses execute well on their differentiated strategies and deliver a strong set of results for the quarter, thereby making it six quarters of consistent delivery. We aim to end the year on a strong footing and remain confident of sustaining our performance in the coming quarters and delivering on our de-leveraging plans," said PB Balaji, Group Chief Financial Officer, Tata Motors. 

The auto company expects the performance to improve further in Q4 on account of seasonality, new launches and improving supplies at its subsidiary Jaguar Land Rover (JLR), it said.

Revenue from JLR increased 22 per cent to 7.4 billion pounds, Tata Motors said.