Tata Motors has released its results for the quarter ended December 31, 2022. On a separate level, Tata Motors reported a net profit of Rs 175.85 crore for the quarter ended December 2021, compared to a net loss of Rs 638.04 crore recorded in the report. the same quarter last year. Group company Tata reported an increase in its consolidated net loss to Rs 4,415.54 crore in the second quarter due to higher costs and lower sales of JLR’s UK division due to a semiconductor shortage. On a separate basis, it reported a net profit of Rs 175.85 crore in the reporting period compared to a net loss of Rs 638.04 crore in the third quarter of fiscal year 2020-21.
Tata Motors Q3 Results 2022
Operating income for the third quarter was Rs 12,352.78 crore compared to Rs 9,635.78 crore in the previous financial period. Revenue fell 5% year-on-year to Rs 72,229.29 crore against expectations of Rs 72,679.97 crore. Revenue for the October-Dec period was 4.7 billion PS, up 22% from Q2 Q22. Other income (excluding grants) was Rs 1.97 crore compared to Rs 1.66 crore in the previous year. Free cash flow (auto) for the quarter was positive at around Rs 4,000 crore compared to Rs 7,900 crore in Q3 FY21.
In addition, production increased by 41%, indicating that JLR’s chip shipments are shrinking. At JLR, chip shipments began to improve, with production up 41% from the previous quarter. According to Balaji, the semiconductor supply situation is gradually improving, especially for JLR, where production increased by 40%. The company said that the chip supply situation is gradually improving, with production of 72,184 units, up 41% from the previous year, and wholesale sales of 69,182 units, up 8% in the quarter.
In the third quarter, revenue was 4.7 billion horsepower, up 22% from the second quarter of fiscal year 22. The chip supply situation is gradually improving, with production volumes of 72,184 units, up 41% over the second quarter of FY22, and wholesale sales of 69,182 units, up 8% over the second quarter of FY22. the company said. This compares with ET Now’s forecast of a loss of Rs 1,000 crore and a turnover of Rs 72,760 crore. The company said sales of its subsidiary Jaguar Land Rover (JLR) in the UK remain limited due to a shortage of chips, with retail sales of 80,126 vehicles, down 37.6% from the third quarter of fiscal 2021. Meanwhile, Jaguar Land Rover, a subsidiary of Tata Motors, reported third-quarter revenue of 4.7 billion horsepower, up 22% from the previous quarter, and its EBIT margin increased from the second quarter. up to 1.4%. Jaguar Land Rover said on Jan. 12 that its retail sales for the three-month period to Dec. 31, 2021 continued to be constrained by the global semiconductor shortage, although the company has begun to see some improvements in chip shipments and wholesale volumes compared to the previous year. previous quarter.
JLR CEO Thierry Bolloret told the press that while semiconductor shipments continue to cap sales this quarter, they are still seeing very strong demand for their products, highlighting the desirability of cars. In terms of JLR’s outlook, the company said semiconductor shortages are expected to continue through 2022, but should gradually improve as capacity increases within the supply base, and engage with Tier 1 suppliers and directly with chip makers to ensure long-term supply. . Looking ahead, we expect demand for commercial, passenger and electric vehicles to rise, even as concerns about semiconductor supply, high manufacturing costs and rising COVID-19 infections keep the overall picture volatile.
We continue to grow market share in every commercial vehicle segment and set several new milestones in the passenger vehicle segment with ten years of sales in both the quarter and calendar year 2021. In the second half of 2021, the company achieved operational efficiency improvements and increased volumes. growth supported by aggressive product differentiation, launches, investments and market positioning. At the time of the publication of the results, we have launched two subsidiaries, Tata Motors Passenger Vehicles Ltd., specializing in passenger vehicles with internal combustion engines, and Tata Passenger Electric Mobility Limited, to accelerate the development of the electric vehicle business and its favorable ecosystem.
In its quarterly income statement, the company’s commercial vehicle revenue increased 28.7%, while the passenger car segment also saw a 72.3% increase in revenue. Tata Motors recorded a 26% increase in the third quarter of fiscal year 22 compared to the third quarter of fiscal year 21, selling 1.99,633 units.
Tata Motors is expected to post a reasonable recovery in the third quarter of fiscal 2022 on a consistent basis with semiconductor concerns easing and strong volume growth, although year-over-year performance is likely to remain weak. Analysts mainly expect the company to post a loss of more than Rs 2,200 crore for the quarter ended December 2021 as the chip shortage problem hit Jaguar Land Rover’s business, compared to a profit of Rs 2,906.5 crore for the corresponding period last year. financial year and loss. Rs 4,441.6 crore in the September quarter of 2021. The company is likely to post a loss of more than Rs 2,200 crore in the third quarter as chip shortages impacted Jaguar Land Rover’s business, compared to a profit of Rs 2,906.5 crore in its latest financial year, according to reports. period and a loss of Rs 4441.6 crore in the September quarter of 2021.
Major automotive company Tata Motors posted a net loss of Rs 1,516 crore for the quarter ended December 31, 2021, down from the Rs 2,906 crore reported for the last period of the year. Mumbai-based Tata Motors posted a consolidated net loss of Rs 1,338.17 crore for the quarter compared to a net profit of Rs 3,222.21 crore in the same quarter last year.
Shailesh Chandra, President, Passenger Vehicle Business Unit, Tata Motors Ltd, said: “Despite the decline in production due to the ongoing semiconductor crisis, Tata Motors’ PV business growth path continued and achieved several new milestones during the quarter. Girish Wag, Chief Executive Officer, Tata Motors Ltd said: “Tata Motors’ domestic sales of commercial vehicles in Q3FY22 reached 90,529 units, an increase of approximately 15% from the previous quarter (Q2FY22) and compared to last year. A 10% increase over the same period. (Q3 FY21). Tata Motors said that the chip supply situation is gradually improving. In September, the output was 72,184 units, an increase of 41% month-on-month, and the wholesale sales were 69,182 units, an increase of 8% month-on-month.
While the chip supply issue is expected to remain a problem for JLR, Tata Motors said JLR has an order backlog of 1,55,000 units, including 30,000 new Range Rovers that have yet to debut globally. . The underlying business fundamentals of Tata Motors funds are in a good position: current market share remains stable, cost-to-income ratio remains below 29, net interest margin increases to 5.3 on current holdings and good liquidity. The semiconductor shortage is expected to continue through 2022, but should gradually improve as capacity within the supply base increases, while the Company is also engaging with Tier 1 suppliers and directly with chip manufacturers to ensure long-term supply.