Tata Motors reported a consolidated net profit of Rs 17,528.59 crore in Q4 FY24, steeply higher from Rs 5,496.04 crore posted in Q4 FY23.

Total revenue from operations increased 13.52% YoY to Rs 1,19,213.35 crore in the quarter ended 31 March 2024.

The companys profit before tax stood at Rs 9,369.31 crore in fourth quarter of FY24, up 92.18% YoY from Rs 4,875.39 crore posted in corresponding quarter last year.

EBITDA for the quarter climbed 34.5% to Rs 13,574 crore as against Rs 10,092 crore posted in same quarter last year. EBITDA margin to 14.9% in Q4 FY24 as compared to 13.3% reported in Q4 FY23. EBIT margin increased to 9.1%, up 230 bps on YoY basis. The auto major said that all the three auto businesses delivered a strong performance.

Going forward, Tata Motors remains cautiously optimistic on domestic demand over the full year and expect H1 to be relatively weaker. The premium luxury segment demand is likely to remain resilient despite emerging concerns on overall demand. Despite this, we are confident of delivering a strong performance in FY25.

PB Balaji, group chief financial officer of Tata Motors said: It is pleasing to report the FY24 results during which Tata Motors Group delivered its highest ever revenues, profits, and free cash flows. The India business is now debt free, and we are on track to become net automotive debt free on a consolidated basis in FY25. The businesses are executing well on their distinct strategies and therefore, we are confident of sustaining this strong performance in the coming years.

JLR reported a net profit of 1,391 million pounds in Q4 FY24 as against a net profit of 259 million pounds recorded in Q4 FY23. Revenue increased 10.67% YoY to 7,860 million pounds in the quarter ended 31 March 2024.

JLR continued its strong financial performance trend in the financial year, with another record-breaking quarter in Q4 FY24. The higher profitability YoY reflects increased volumes and reduced material costs, offset partially by increased marketing spend compared to a year ago, stated the company.

Free cash flow (FCF) stood at 892 million pounds in the quarter ended 31 March 2024.

Total liquidity was at 5.8 billion pound including the 1.52 billion pound undrawn revolving credit facility.

Looking ahead, the company will continue to focus on brand activation to maintain order book. We expect EBIT margins in FY25 to be around the FY24 level. It anticipates a modest increase in investment spend to 3.5 billion pound but still expect to become net debt zero during FY25.

Tata Commercial Vehicles (Tata CV) recorded a profit after tax of Rs 2,022 crore in Q4 FY24, up 19.22% from Rs 1,696 crore reported in Q4 FY23. Revenue from operations during the quarter rose 1.65% YoY to Rs 21,590 crore on account of improved pricing and lower VMEs.

In its outlook, Tata CV said that with promising GDP growth outlook, incentives from government to improve productivity in both manufacturing and agriculture sectors, and continuing focus on infra, demand for CVs is expected to improve from H2 FY25. It remains cautiously optimistic about domestic demand while keeping a close watch on geopolitical developments, interest rates, fuel prices and inflation. Tata CV will continue to deliver strong EBITDA performance and focus on net cash will continue.

Girish Wagh, executive director of Tata Motors, said, The Indian CV industry grew by a modest 2% in volumes during FY24, impacted by a high base effect of FY23, elections held across 5 states and the announcement of general elections. Our sharp focus on profitable growth resulted in the CV business recording its highest-ever revenues. Going forward, we will intensify our efforts to grow market share, profitably and consistently, in every business segment by delivering more value to customers with innovative products, smarter services and holistic mobility solutions.

Tata Passenger Vehicles (TATA PV) recorded revenue of Rs 14,431 crore (down 19.33% YoY). It reported a profit after tax of Rs 394 crore in Q4 FY24, higher than Rs 142 crore posted in the same period a year ago.

The auto maker said that PV volumes were at 155.6K units (up 14.8% YoY) supported by new SUV facelifts and multiple power trains. Nexon continued to be the highest selling SUV in FY24 and along with the Punch was amongst top 5 models sold in India.

On Outlook front, TaMo said, We expect the demand for passenger cars to remain strong, although the high base effect, coupled with extraneous factors elections, heat wave, etc. may keep the growth rate moderate. We will continue to focus on retails and deliver market beating growth to sustain double digit EBITDA margins and positive free cash flows for PV business. We will continue to proactively drive EV penetration through new product launches and ecosystem development and improve profitability.

Shailesh Chandra, managing director, Tata Motors Passenger Vehicles & Tata Passenger Electric Mobility, said, PVsales in India set a record in FY24 with over 4.2 million units sold, driven by SUVs (50% of overall sales) and emission-friendly powertrains. Tata Motors recorded its third consecutive year of highest sales volumes with 6% growth in wholesales and 10% in retail sales over FY23. Our multi-powertrain approach and sharp focus on green technologies increased the penetration of CNG and electric vehicles to 29% in the overall portfolio.

We sold 73.8K EVs during the year (up 48% vs FY23) and crossed milestone of 150,000 cumulative EV production. Overall, the business recorded its highest-ever turnover with annual volumes of 573.5K units, growing by 6.0% over FY23, and recorded highest ever profits.

On full year basis, Tata Motors consolidated net profit zoomed to Rs 31,807 crore in FY23 from Rs 2,690 crore recorded in FY22. Total revenue from operations grew by 26.58% YoY to Rs 4,37,928 crore during financial year ended March 2024.

Finance costs reduced by Rs 239 crore to Rs 9,986 crore during FY24, due to reduction in gross debt during the period.

For FY24, net profit from joint ventures and associates amounted to Rs 700 crore compared with a profit of Rs 336 crore in FY23. Other income (excluding grants) was at Rs 2,979 crore in FY24 as against Rs 1,720 crore in FY23.

Free cash flow (automotive) for the year, was highest ever at Rs 26.9K cr (as compared to Rs 7.8K cr in FY23) owing to significant improvement in cash profits and favourable working capital.

Meanwhile, the company’s board has recommended a final dividend of Rs 6 per ordinary share and Rs 6.20 per A ordinary share, for the financial year ended 31 March 2024. The dividend, if declared at the AGM, shall be paid to the eligible shareholders on or before 28 June 2024.

Tata Motors, part of the Tata group, is a global automobile manufacturer of cars, utility vehicles, pick-ups, trucks and buses.

Shares of Tata Motors ended 1.62% higher at Rs 1,046.85 on the BSE.

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