Tata Motors Group is a leading global automobile manufacturer. Part of the illustrious multi-national conglomerate, the Tata group, it offers a wide and diverse portfolio of cars, sports utility vehicles, trucks, buses and defence vehicles to the world. Presenting below are its Q1 FY26 earnings results.
Q1 FY26 Earnings Results
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Consolidated Net Profit (PAT): ₹4,003 crore, down 62% year-over-year (YoY) from ₹10,514 crore in Q1 FY25 and down about 54% sequentially from ₹8,470 crore in Q4 FY25.
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Total Revenue from Operations: ₹1.04 lakh crore, down slightly by 2.52% YoY (from about ₹1.07 lakh crore), and down 13% sequentially from Q4 FY25.
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Earnings Before Interest and Taxes (EBIT): ₹4,500 crore, with an EBIT margin of 4.3%, down 370 basis points YoY.
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EBITDA: Declined 36% YoY to ₹9,700 crore.
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Segment Performance:
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Passenger Vehicles (PV): Revenue down 8.2%, reflecting industry-wide softness and transition to new models; EBITDA margin declined by 180 basis points to 4%.
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Commercial Vehicles (CV): Revenue down 4.7% to ₹17,000 crore; EBITDA margin improved by 60 basis points to 12.2%, supported by better realizations and cost savings despite lower volumes.
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Jaguar Land Rover (JLR): Revenue dropped 9.2% to £6.6 billion; EBIT margin slipped 490 basis points to 4%, impacted by US tariffs and volume decline. JLR posted its 11th consecutive profitable quarter despite these headwinds.
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Free Cash Flow (JLR): Negative £758 million; cash balance at £3.3 billion.
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Impact of Tariffs: US trade tariffs on UK exports (27.5%) impacted JLR; the new UK-US trade deal (reducing tariffs to 10% from June 30, 2025) and forthcoming EU-US deal (reducing tariffs to 15%) are expected to improve the outlook.
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Basic EPS: ₹10.66, down by 66.3% on the YoY basis
Key Management Commentary & Strategic Highlights
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Group CFO, P.B. Balaji: Emphasized a challenging macroeconomic environment but highlighted that the business remains profitable. With tariff clarity emerging and festive demand seasonal pickup expected, the focus is on accelerating performance and rebuilding momentum.
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Management aims to deliver a strong second-half FY26 performance, especially around the upcoming demerger planned for October 1, 2025.
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JLR CEO, Adrian Mardell: Reiterated commitment to their Reimagine Strategy with planned investments of £3.8 billion FY26, focusing on next-gen vehicles including new electric Range Rover and Jaguar models.
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Management expects the new trade deals to significantly ease tariff pressures in coming quarters.
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The company continues to focus on cost control, brand leverage, and product mix optimization to mitigate macro and tariff impacts.
Q4 FY25 Earnings Results
- Tata Motors Ltd reported Revenues for Q4FY25 of ₹1,19,503.00 Crores up from ₹1,19,033.00 Crore year on year, a rise of 0.39%.
- Total Expenses for Q4FY25 of ₹1,09,056.00 Crores down from ₹1,11,136.00 Crores year on year, a fall of 1.87%.
- Consolidated Net Profit of ₹8,556.00 Crores down 51.19% from ₹17,528.00 Crores in the same quarter of the previous year.
- The Earnings per Share is ₹23.01, down 56.06% from ₹52.37 in the same quarter of the previous year.
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EBITDA Margin: Higher than Q1 FY26, reflecting better profits before tariff headwinds.
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The quarter served as a strong base to Q1 FY26, with sequential declines in Q1 attributed to tariff impact and volume softness.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.