With price corrections in the passenger and commercial vehicle business, Tata Motors is expected to see growth in its consolidated revenue in Q1.
Analysts expect to see up to 9 per cent growth in consolidated revenue year-on-year, with increased sales in Jaguar Land Rover.
“We see Tata Motors revenue growing by 5 per cent year-on-year, with consistent performance in JLR and price actions in the commercial and passenger vehicle business, to drive an EBITDA margin of 175bps year-on-year. Profit after tax is expected to grow by 64.8 per cent year-on-year,” said Prabhudas Lilladher.
The company’s overall consolidated EBITDA margin is expected to expand 50 basis points over the year-ago quarter to 13.8 per cent .
“We expect consolidated 8.5 per cent growth year-on-year. We estimate an EBIT margin of 7.5 per cent for JLR, led by unfavourable product mix, rising spends, and lower volumes. JLR volumes are expected to see a 3 per cent year-on-year growth,” said Motilal Oswal.
Tata Motors had reported a record jump in its consolidated net profit with ₹17,407 crore reported in the March quarter, as against ₹5,407 crore reported in the same quarter. The total revenue from operations was at ₹1,19,986 crore for the March quarter.