Tata Motors reports over three-fold jump in consolidated net profit in Q4 FY24

Tata Motors on Friday reported over three-fold jump in consolidated net profit at Rs 17,528.59 crore in the fourth quarter ended March 31, 2024, riding with all its three auto businesses delivering a strong performance, specially the British arm Jaguar Land Rover.

Tata Motors said in a regulatory filing that the company posted a consolidated net profit of Rs 5,496.04 crore in the same quarter of the previous fiscal year.

Total consolidated revenue from operations stood at Rs 1,19,986.31 crore, compared to Rs 1,05,932.35 crore in the year-ago period.

In Q4 FY24, Tata Motors said all three auto businesses delivered strong performance.

The company’s British arm, Jaguar Land Rover, had “another record-breaking quarter in Q4 FY24.

Revenue for the quarter was 7.9 billion pounds, up 11 per cent versus Q4 FY23”, Tata Motors said.

JLR’s Profit After Tax (PAT) in Q4 was 1.4 billion pounds against a profit of 259 million pounds in the same quarter a year ago.

The Board of Directors have recommended a final dividend of Rs 3 per ordinary share and Rs 3.10 per ‘A’ ordinary share and a special dividend of Rs 3 per ordinary share and Rs 3.10 per ‘A’ ordinary share subject to approval by the shareholders.

For the fiscal year ending March 31, 2024, the company said consolidated net profit was Rs 31,806.75 crore, compared to Rs 2,689.87 crore in the previous fiscal year.

In FY24, total consolidated revenue from operations stood at Rs 4,37,927.77 crore compared to Rs 3,45,966.97 crore in FY23.

Tata Motors Group Chief Financial Officer, PB Balaji said in FY24 the Tata Motors Group delivered its highest-ever revenues, profits, and free cash flows.

“The India business is now debt-free, and we are on track to become net automotive debt-free on a consolidated basis in FY25. The businesses are executing well on their distinct strategies and therefore, we are confident of sustaining this strong performance in the coming years,” he added.

JLR’s revenues for FY24 were 29 billion pounds, its highest-ever full-year revenue and up 27 per cent compared to the prior year, while PAT for FY24 was 2.6 billion pounds.

“We have delivered a record financial performance for the company, generating free cash flow of 2.3 billion pound, enabling us to reduce net debt to 0.7 billion pound,” JLR Chief Executive Officer Adrian Mardell said.

He added that the foundation of this performance was the sustained global demand for JLR’s modern luxury vehicles, led by the Range Rover and Defender brands, underpinned by a consistent focus on operational improvement.

Tata Commercial Vehicles’ Q4 FY24 revenue was Rs 21,600 crore, while FY24 revenue was Rs 78,800 crore.

The company said that in Q4 FY24, domestic wholesale commercial vehicle (CV) volumes were 1,04,600 units, lower 7 per cent year-on-year due to increased pre-buy in Q4 FY23 due to the BS6 Phase II transition.

Tata Motors Ltd Executive Director Girish Wagh said the Indian CV industry grew by a modest 2 per cent in volumes during FY24, impacted by a high base effect of FY23, elections held across five states and the announcement of general elections.

“Our sharp focus on profitable growth resulted in the CV business recording its highest-ever revenues of Rs 78,800 crore and profits of Rs 6,100 crore in FY24. Going forward, we will intensify our efforts to grow market share, profitably and consistently, in every business segment by delivering more value to customers with innovative products, smarter services and holistic mobility solutions,” he added.

Tata Passenger Vehicles clocked revenue of Rs 14,400 crore in Q4 while for the full year FY24 it was at Rs 52,400 crore.

The company said Passenger Vehicle (PV) volumes were 1,55,600 units in Q4, up 14.8 per cent from the year-ago period. This was supported by new SUV facelifts and multiple power trains.

“Passenger vehicle sales in India set a record in FY24 with over 4.2 million units sold, driven by SUVs (50 per cent of overall sales) and emission-friendly powertrains. Tata Motors recorded its third consecutive year of highest sales volumes with 6 per cent growth in wholesales and 10 per cent in retail sales over FY23,” Tata Motors Passenger Vehicles and Tata Passenger Electric Mobility Managing Director Shailesh Chandra said.

The company sold 73,800 EVs during the year, marking a 48 per cent increase compared to FY23 and crossing a milestone of 1.5 lakh cumulative EV production, he added.