Slumping sales of Jaguars and Land Rovers saw owner Tata Motors post a INR3.3bn (US$68.4m) consolidated loss for the June quarter against year-ago profits of INR7.2bn. Year-ago numbers don’t include JLR which Tata bought from Ford in June last year.
Tata revealed that the number of JLR cars sold to dealerships worldwide in the three months to the end of June had fallen to 35,900, from 69,000 last year.
In the UK, sales slid 23% in the three months to the end of June to 10,700 cars.
Chairman Ratan Tata has hired KPMG International and Roland Berger Strategy Consultants to advise on cost-cutting and said last month that JLR needs “major cost reductions”. JLR has cut 2,200 British jobs since September, reducing the workforce to 14,500.
But Tata said in August that JLR won’t need a bailout from the UK government as it completed funding arrangements with commercial lenders and the European Investment Bank. The company successfully concluded talks with banks for a GBP340m loan ($554m) from the EIB, it said.