Auto major Tata Motors’ consolidated net loss for the quarter ended 30 June, 2021 narrowed to ₹4,450.92 crore as compared to net loss of ₹8,437.99 crore in the year-ago period.
The automaker’s total revenue came at ₹66,406.05 crore during the first quarter of the current fiscal, up 107.6% year-on-year (YoY), Tata Motors said in a regulatory filing on Monday.
“PV business continues its turnaround journey and has achieved yet another milestone of double-digit market share. EV business continues to grow rapidly and delivered 5x revenue growth and highest quarterly sales at 1,715 units,” Tata Motors said in a statement.
With the quarterly earnings released, the country’s leading carmaker reiterated that global chip shortages, uncertainty due to the spread of coronavirus variants and commodity inflation would impact business in the short term.
Global carmakers have warned of extended pain due to the chip supply crunch, and Tata Motors has said it expected shortages in the second quarter to be greater than in the first, likely resulting in wholesale volumes at Jaguar Land Rover (JLR) about 50% lower than planned.
“We expect the performance to improve progressively from second half as supply chain and pandemic situation improves,” Tata Motors said in an exchange filing.
JLR retail sales in the first quarter were 1,24,537 vehicles, up 68.1% year-on-year as sales continued to recover from the impact of the pandemic but shortage of semiconductor supplies constrained production.
Commenting on the quarterly results, Thierry Bolloré, Jaguar Land Rover Chief Executive Officer said: “We are pleased to see a continuing positive recovery from the pandemic, with year-on-year growth in all regions, demonstrating the appeal of Jaguar and Land Rover vehicles. Though the current environment continues to remain challenging, we will continue to adapt and manage elements that are within our control and ensure that Jaguar Land Rover is well-placed to respond to any further market developments.”
On a standalone basis, Tata Motors said its continuing business posted a net loss of ₹1,320.74 crore, putting up a better performance from a net loss of ₹2,190.64 crore in the year-ago period.
Standalone total revenue from operations stood at ₹11,904.19 crore as against ₹2,686.87 crore in the same period a year ago, the company said.
“In Q1FY22 wholesales, including exports, increased 351.4 per cent to 1,14,170 units. The volumes across all segments significantly grew as compared to Q1 FY21, however they were lower than Q4 FY21 due to the lockdowns imposed due to the second wave of pandemic,” Tata Motors said.
Company Executive Director Girish Wagh said the successful implementation of a comprehensive ‘Business Agility’ plan enabled it to manage lockdowns effectively and also deliver competitive growth as markets reopened.