Volume recovery, margins key to Jaguar Land Rover taking the wheel

Subsidiary of TaMo's India biz continues to expand on volumes, market share

Multiple headwinds for its UK-based subsidiary Jaguar Land Rover (JLR) led to weaker-than-expected performance of Tata Motors in the April-June quarter (first quarter, or Q1) of 2022-23 (FY23). While brokerages were expecting a lukewarm display, JLR’s performance missed those low-key expectations.

JLR’s operating profit was down 38 per cent over the year-ago quarter and over 30 per cent lower than estimates.

Profitability, too, took a hit, halving from the 12.6 per cent in the January-March quarter of 2021-22 to 6.3 per cent in the June quarter.

The margin hit was on account of lower production because of supply (chip shortage)