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Tata Motors Q1 profit falls 80.2% despite revenue rise

The fall in profit came even as revenue climbed 9.3% year-on-year to Rs957.99bn, a rise achieved despite a softer showing from Jaguar Land Rover (JLR).

India’s Tata Motors Passenger Vehicles Limited (TMPVL) has reported an 80.2% fall in profit attributable to shareholders for the first quarter ended 30 June 2026, with the figure dropping to Rs7.75bn ($81.2m).

The fall in profit came even as revenue climbed 9.3% year-on-year to Rs957.99bn, a rise achieved despite a softer showing from Jaguar Land Rover (JLR), the group's UK-based luxury arm.

Earnings before interest and tax (EBIT) at TMPVL declined 21.08% to Rs22.72bn.

Profit before tax – calculated before exceptional items and inclusive of the company's share from joint ventures and associates – stood at Rs16.06bn, down from Rs39.50bn in the same quarter of the previous financial year, a fall of Rs23.44bn.

At JLR, revenue for the quarter fell 9.6% to £5.97bn ($8.06bn), tracking a 9.2% drop in wholesale volumes.

The company attributed the weaker volumes to a combination of short-term factors: supply disruption following a fire at a key component supplier early in the quarter, instability in markets linked to the conflict in the Middle East, and the planned wind-down of existing Jaguar models ahead of the launch of the Jaguar Type 01.

JLR reported that retail vehicle margin expenses rose to 7.1%, up from 4.1%, adding pressure to margins.

The company said this was partly offset by lower structural costs.

Profit after tax for the quarter at JLR stood at £66m, down from £248m in the corresponding quarter last year.

Looking ahead, the company said geopolitical developments and trends within the luxury segment would remain important factors to monitor.

JLR is preparing to broaden its electric vehicle line-up, with four new battery electric models due for launch in the coming months.

On the domestic front, demand is expected to remain “healthy” despite elevated commodity costs, supported by growing adoption of electric vehicles.

The group’s local business delivered a revenue growth of 65% YoY.

TMPVL managing director and CEO Shailesh Chandra said: “Supported by a strong order book, exciting product pipeline, sustained demand, and focused margin improvement initiatives, we remain confident of maintaining growth momentum and delivering sequential improvement through the rest of the year.”