Tata Motors Passenger Vehicles reports loss of ₹3,486 crore in December quarter, revenue drops by 26%

Tata Motors Passenger Vehicles (TMPV) on Thursday, February 5, reported a consolidated net loss of ₹3,486 crore in the December quarter compared with a net profit of ₹5,406 crore in the year-ago period.

Its revenue from operations dropped 26% to ₹70,108 crore as against ₹94,472 crore in the year-ago period.

On a standalone basis, Tata Motors net loss came in at ₹233 crore in Q3FY26 compared with a net profit of ₹1,471 crore in the same period last year.

The loss came on account of sharp jump in purchase of raw materials as cost of materials consumed jumped 92% to ₹10,603 crore from ₹5,517 crore in the year-ago period.

Tata Motors Passenger Vehicles' standalone revenue from operations advanced 26% to ₹15,268 crore in October-December period from ₹12,141 crore in the corresponding period last year.

The company reported mixed operational performance as its EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also known as operating profit advanced 7% to ₹689 crore, but EBITDA margin contracted by 80 basis points to 4.5%.

“Overall, it was a challenging quarter as anticipated on account of carryover impact of Cyber Incident at JLR, while domestic business delivered robust revenue and margin improvement QoQ," said Dhiman Gupta, Chief Financial Officer, TMPV.

"We expect performance to significantly improve in Q4 with recovery at JLR and continuing growth in domestic market share. We are well poised to seize the opportunities and drive growth through an exciting product portfolio and focused approach to achieve margin improvement,” Gupta added.

Jaguar Land Rover's revenue in December quarter declined 39% to 4.5 billion pounds compared with 16 billion pounds in the previous quarter on the back of reduction in wholesale volumes, which were impacted following the cyber incident, with production only returning to normal levels by mid-November and the time being required thereafter to distribute vehicles globally, Tata Motors said.

"JLR remains resilient and well placed to address the economic, geopolitical and policy challenges the industry faces. Investment spend is expected to remain at £ 18 billion over the five-year period from FY24. In light of the challenges faced, FY26 guidance is reaffirmed, with EBIT margin in the range of 0% to 2% and free cash outflow of £2.2 billion to £2.5 billion," the Mumbai-based auto maker said.

“Q3 was a challenging quarter for JLR with performance impacted by the production shutdown we initiated in response to the cyber incident, the planned wind down of legacy Jaguar, and US tariffs. Thanks to the commitment of our dedicated teams, we returned vehicle production to normal levels by mid-November, and we are focused on building our business back stronger," said PB Balaji, Chief Executive Officer, TMPV.

The company added that as per Vahan data, its market share grew to 13.8% in Q3FY26 and it secured second position in Q3.

EV Vahan market share grew at 43.6% following highest ever registrations in Q3.

Tata Motors PV shares ended 0.04% higher at ₹375.60 ahead of its earnings announcement.