Stocks in Tata Motors rallied as much 8.18 per cent in intraday trade on Tuesday, after India's biggest automaker by revenue posted 212 per cent increase in its consolidated net profit for the quarter ended June compared with the year-ago period, helped by robust sales volume growth of Jaguar Land Rover.
Tata Motors on Monday reported consolidated net profit of Rs 5,398 crore in the first quarter, up from Rs 1,726 crore in the same quarter last year and way higher than any street estimate.
Its revenue on a consolidated basis grew 38 per cent to Rs 64,683 crore, up from Rs 46,796 crore a year ago.
Its revenue on a consolidated basis grew 38 per cent to Rs 64,683 crore, up from Rs 46,796 crore a year ago.
All this despite Tata Motors' sales fall continuing unabated in the domestic market. Domestic revenues for the June quarter dropped 15.4 per cent year-on-year to Rs 7,705 crore, down from Rs 9,105 crore a year ago while profit declined 44 per cent to Rs 393 crore from Rs 703 crore. "Macro-economic factors continued to impact the demand for the entire commercial vehicle industry. Light commercial vehicle in particular continued to be severely impacted due to the financiers pull-back," the company said in statement.
Tatas' commercial vehicle sales volume dropped 29.8 per cent year-on-year in the first quarter while its passenger car volumes fell 29.5 per cent.
Tata Motors said the passenger vehicle industry as a whole saw increasing demand from rural and semi-urban areas.
Tata Motors said the passenger vehicle industry as a whole saw increasing demand from rural and semi-urban areas.
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