New Delhi
Jaguar Land Rover, the luxury auto brand of Tata Motors has reported its best ever quarter one (Q1) sales performance with a growth of 102 per cent retailing a total of 1048 units, in the first quarter of FY24 compared to the same period last year. This performance was enabled by a phenomenal growth of 209 per cent in Range Rover, Range Rover Sport and Defender sales. The three models continue to see sustained demand, contributing 78 per cent of the current order book. The company has an impressive line-up of product initiatives scheduled for the year, starting with the highly anticipated release of the enhanced Range Rover Velar – bookings for which have recently commenced.
The company reported revenues in Q1 FY24 of £6.9 billion, up 57 per cent y-o-y, reporting a third consecutive quarter of strengthening financial performance. Adrian Mardell, JLR Chief Executive Officer looks back at the strong start to the financial year for JLR in which it delivered the highest production levels in nine quarters and highest Q1 cashflow on record. According to Motilal Oswal Financial Services data, JLR’s volumes grew 29 per cent yoy which was a flat quarter on quarter (QoQ) growth to 106.25k units. On the outlook, the MOFSL report expects JLR’s Q2 production and cashflow to be lower than 1Q due to the annual summer plant shutdown. However, wholesales and profitability are expected to be more in line with recent quarters.
With the successful launch of the New Range Rover and New Range Rover Sport in the second half of FY23, and the overwhelming response to the Defender, the order book for Q1 FY24 grew by 88 per cent as compared to the same period last year. The current order book covers for more than six months of sales and is witnessing a consistent increase month-on-month. Besides, JLR certified pre-owned business grew by 137 per cent in the first quarter of FY24, again, reflecting the growing demand and the equity of JLR brands in India.’
Overall, the consolidated Q1 FY24 results of Tata Motors shows revenue at ₹102.2K crore which is up 42.1 per cent with the auto maker continuing its strong performance in Q1 FY24 driven by JLR and CV businesses whilst the PV business was steady with 11.1 per cent revenue growth and EBIT of 1.0 per cent (+10bps). Looking ahead, Tata Motors remains optimistic on the demand situation despite near term uncertainties and expect a moderate inflationary environment to continue in the near term. The company aims to deliver a strong performance in the rest of the year too, thanks to a healthy order book coupled with low-break-even in JLR, a steady improvement in demand whilst we continue to drive our demand-pull strategy in CV, a set of exciting launches ahead of the festive season in PV and continued
aggression in EVs.