Tata Motors shares decline 4% as JLR cyberattack threatens billions in losses; check details

The report further stated that JLR may be unable to recover the losses—along with other costs related to the cyberattack—as it was still in talks with insurance broker Lockton about purchasing a policy at the time the breach occurred.

On September 23, JLR announced a further extension of its ongoing production shutdown until October 1, as the company continues to deal with the fallout of a cyber hack since the start of this month.

The British luxury carmaker’s factories in Merseyside, north-west England, and Solihull in the West Midlands, as well as facilities around the world, including in India, Slovakia and China, remain at a standstill after an IT network shutdown. In a latest company update, JLR said its latest announcement was intended to give clarity to its staff and suppliers.

“Today we have informed colleagues, suppliers and partners that we have extended the current pause in production until Wednesday 1 October 2025, following the cyber incident,” the JLR had said in a statement.

“We have made this decision to give clarity for the coming week as we build the timeline for the phased restart of our operations and continue our investigation. Our teams continue to work around the clock alongside cybersecurity specialists, the NCSC [National Cyber Security Centre] and law enforcement to ensure we restart in a safe and secure manner,” it said.

The company said its focus is on supporting its customers, suppliers and colleagues, as well as the car retailers – who remain open.

“We fully recognise this is a difficult time for all connected with JLR, and we thank everyone for their continued support and patience,” the statement added.

The production shutdown, nearing a month, is expected to cost JLR tens of millions of pounds a day in lost revenue and has raised major concerns for the companies and jobs in the supply chain.

More than 33,000 people are directly employed with JLR in the UK, across assembly lines at its factories, with an estimated 200,000 employed by hundreds of companies in the supply chain.

Tata Motors shares have lost over 7% in the last five trading sessions, with more than a 5% decline coming after news of the cyberattack.

On Thursday, the stock tumbled almost 4% to an intraday low of ₹657.10 apiece on the National Stock Exchange. At 10:42 AM, shares of the carmaker were trading at ₹659.35 apiece, declining 3.46%.

Since the beginning of the year, Tata Motors shares have fallen 12%. Its market capitalisation stands at ₹2.43 lakh crore.

Tata Motors, the parent of luxury car maker Jaguar Land Rover (JLR) and the country's largest commercial vehicle maker, had reported a consolidated net profit of ₹3,924 crore in the first quarter of the current financial year (Q1FY26), marking a decline of 30% from ₹5,643 crore in the same period last year.

Its revenue from operations declined 2.5% to ₹1.04 lakh crore in the April-June period from ₹1.07 lakh crore in the year-ago period. The company's operating profit declined 33% to ₹10,224 crore, and its operating profit margin contracted to 9.79%.

Tata Motors' performance in the first quarter was impacted by a volume decline in all businesses and a drop in profitability primarily at JLR, the company said. JLR revenues were down by 9.2% to £6.6 billion with EBIT margins of 4.0% (-490 bps) affected by the US trade tariff impact.