Tata Motors Passenger Vehicles (TMPV) has posted a loss in the second quarter of fiscal 2026 after a cyber-attack at its British subsidiary Jaguar Land Rover (JLR) disrupted production and sales.
Excluding exceptional items, TMPV recorded a loss of Rs54.62bn ($616.5m) in the September quarter (Q2 FY26), compared with a profit of Rs47.77bn a year earlier.
JLR has confirmed it incurred £196m ($258.5m) in exceptional direct costs because of the cyberattack.
The cyber-attack forced the automaker to shut down its IT systems and suspend manufacturing for five weeks, including at its sites in Solihull, Wolverhampton and Halewood.
The shutdown ended in early October, with operations resuming in phases.
Continued impact from US tariffs also weighed on second quarter earnings.
Quarterly revenue at TMPV fell 14% year-on-year to Rs723.49bn. Free cash flow was negative Rs83bn, due to lower volumes resulting from the cyberattack.
JLR reported Q2 revenue of £4.9bn, down 24% year-on-year, dragged down by operational disruption from the cyberattack and the phasing out of older Jaguar models ahead of upcoming launches.
Loss before tax and exceptional items was £485m for the quarter, compared with a profit of £398m a year earlier.
Adjusted EBITDA moved into negative territory at a loss of £78m, representing a margin of 1.6% in Q2 FY26. A year ago, adjusted EBITDA was positive at £759m, with an EBITDA margin of 11.7%.
TMPV cut its earnings guidance for JLR, lowering its EBIT margin outlook to 0-2% from the previous 5-7% range and warning of negative free cash flow of up to £2.5bn.
The company calls the overall global situation “challenging” in the near term and said it will focus on stabilising production and strengthening resilience across its extended supply chain.
Tata Motors group chief financial officer PB Balaji said: “It has been a difficult period for the business. However, we are committed to emerging from the cyber incident even stronger. With the demerger completed, both JLR and domestic PV businesses are well poised to leverage the significant opportunities provided by this exciting industry. Demand situation remains challenging globally but domestically there are signs of resurgence.”
This was TMPV’s first earnings announcement since the demerger of Tata Motors into separately listed passenger and commercial vehicle businesses.
The demerger of Tata Motors into Tata Motors Passenger Vehicles and Tata Motors Commercial Vehicles became effective on 1 October 2025.
