Tata Motors Passenger Vehicles turns profitable in March quarter, revenue jumps 50%

Tata Motors Passenger Vehicles, the parent of luxury car maker Jaguar Land Rover (JLR), on Thursday said that it turned profitable in January-March quarter as its performance significantly improved quarter-on-quarter (QoQ) on account of normalised JLR production and record domestic volumes, leading to healthy Q4 free cash flow (FCF) of ₹11,400 crore.

Tata Motors PV said that it earned a consolidated net profit of ₹5,783 crore in the fourth quarter of financial year 2025-26 as against the loss of ₹3,486 crore in the previous quarter.

The Mumbai-based car maker's revenue from operations jumped 50% to ₹1.05 lakh crore compared with ₹70,108 crore in the previous quarter.

The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) also known as operating profit jumped multi fold to ₹11,259 crore and its EBITDA margin improved by 9.6 percentage points to 10.7%.

Jaguar Land Rover Q4 performance

Jaguar Land Rover's revenue during the quarter fell 11% to 6.9 billion pounds and EBITDA margin dropped 130 basis points to 14%, Tata Motors PV said.

Jaguar Land Rover's Defender OCTA saw a fourfold YoY sales uplift in Q4, supported by brand and product activities such as Defender Trophy, Oasis tour and victory for the Defender DX7-R in the Stock Class at January’s Dakar Rally, the world’s toughest off-road endurance race, the company said.

Volumes and profitability for JLR were impacted YoY by the continued planned wind down of outgoing Jaguar models ahead of the new Jaguar launch, and the competitive environment the automotive industry is facing in China, the company added.

“JLR faced a challenging year with revenue and profit impacted by multiple headwinds, including a pause in production following the cyber incident. We recovered well in the fourth quarter as production returned to normal levels, demonstrating the commitment of our people, suppliers and retail partners," said PB Balaji, Chief Executive Officer.

Tata Motors PV said that it will regularly monitor global geopolitical and regulatory challenges for supply-chain risks and cost headwinds.

"We will leverage on healthy demand and continue to deliver profitable and industry-beating growth in domestic business, whilst mitigating the margin headwinds through structural cost reductions. We will continue to step-up growth at JLR, by leveraging House of Brands in focused markets, with flawless delivery of exciting launches over next 18 months," Tata Motors PV said.

“Overall, FY26 was a tale of two halves. While domestic business witnessed a strong momentum post GST 2.0, at JLR we witnessed several headwinds including tariffs and the cyber incident. In Q4 FY26, all the consolidated financial metrics improved significantly as JLR operations recovered post the cyber incident and domestic business continued its positive trajectory. Going ahead, we will continue to build on our resilience through a slew of product interventions, and cost-side actions, while the global geopolitical environment and commodity prices continue to remain key monitorable,” said Dhiman Gupta, Chief Financial Officer of the company.

Passenger vehicles Q4 performance

Market share of its passenger vehicle rose to 14.2% in March quarter reaching number two spot in the second half of FY26.

Overall Vahan market share came at 13.6% and EV Vahan market share was steady at 40.2% in FY26.

Tata.ev surpassed 250,000 cumulative EV sales, reaffirming leadership in India’s electric mobility charge.

"In Q4 FY26, PV and EV volumes were 201.8K units (+37% YoY), with quarterly revenues of ₹18.7K Cr (+49% yoy), EBITDA and EBIT margins of 9.4% (+150 bps yoy) and 4.7% (+310 bps yoy), respectively, driven by favourable volumes, mix and operating leverage, despite a challenging pricing and cost environment. In FY26, the business achieved revenues of ₹58.5 K Cr (+21% YoY), while EBITDA and EBIT margins remaining steady at 6.9% (flat yoy) and 1.4% (+50 bps yoy) as adverse pricing and commodities offset the favourable impact of volumes and mix," Tata Motors PBV said.

"Looking ahead, domestic demand continues to sustain, led by growth in SUVs, CNG and EV. However, geopolitical developments remain a key monitorable to mitigate potential supply-side and commodity price risks. We will ramp up production to meet demand," Tata Motors PV added.

Tata Motors PV shares ended 0.56% higher at ₹338.75 ahead of its earnings announcement.