Tata Motors said that Jaguar Land Rover's wholesale sales amounted 75,307 units in the second quarter of FY23, up 4% compared to the previous quarter ending 30 June 2022.
"This improvement was lower than planned, primarily due to a lower than expected supply of specialised chips from one supplier which could not be readily re-sourced in the quarter. This was mitigated partially by further prioritisation of production to the highest margin products, while new agreements with semiconductor suppliers are expected to enable sales improvements in the second half of the fiscal year, Jaguar Land Rover (JLR) said in a statement.
Retail sales for the quarter were 88,121 vehicles, an increase of 9,296 units or 11.8% as compared with the previous quarter ending 30 June 2022. The retail sales are, however, lower by 4.9% in comparison to the second quarter of FY22.
Compared to the first quarter, retail sales were higher in China (up 38%), North America (up 27%) and Overseas (up 14%) but were lower in UK (down 7%) and Europe (down 10%).
The company continues to see strong demand for its products, with global retail orders again setting new records in the quarter. As at 30 September 2022, the total order book has grown to 205,000 units, up around 5,000 orders from 30 June 2022.
JLR said that it expects free cashflow to be near break-even despite the lower than expected wholesale volumes, based on preliminary cash balances of 3.7 billion. Free cashflow in the second half of the fiscal year is expected to be positive driven by sequential improvement in wholesale volumes.
JLR is owned by Tata Motors, a global automobile manufacturer of cars, utility vehicles, pick-ups, trucks and buses.
Tata Motors reported a consolidated net loss of Rs 5,006.60 crore in Q1 FY23 as against a net loss of Rs 4,450.92 crore in Q1 FY22. Revenue from operations increased 8.3% YoY to Rs 71,935 crore in Q1 June 2022.
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