Tata Motors (TMCV) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 consolidated revenue was ₹101.5K Cr, down 3.5% YoY, with EBITDA margin at 11.4% and EBIT margin at 5.6%.

• Standalone revenue from operations for Q2 FY25 was ₹15,518 crore, down from ₹18,542 crore in Q2 FY24.

• Net auto debt stood at ₹22.0K Cr, impacted by seasonality, with expectations of reversal in H2.

• JLR Q2 revenue was £6.5b, down 6% YoY, with EBIT margin at 5.1% and PBT (bei) at £398m.

• Commercial Vehicles (CV) and Passenger Vehicles (PV) segments maintained market share despite industry headwinds.

Financial highlights

• Q2 FY25 consolidated PBT (bei) was ₹5.8K Cr, down from ₹6.2K Cr YoY.

• Net profit for Q2 FY25 stood at ₹477 crore, a significant decrease from ₹1,270 crore in Q2 FY24.

• JLR Q2 FY25 free cash flow was negative £256m, with net debt at £1.2b, an improvement of £1.0b YoY.

• Tata CV Q2 revenue was ₹17.3K Cr, EBITDA margin 10.8%, and PBT (bei) ₹1.3K Cr.

• Tata PV Q2 revenue was ₹11.7K Cr, EBITDA margin 6.2%, and PBT (bei) positive.

Outlook and guidance

• Sequential recovery expected in H2 FY25, with full-year guidance unchanged for JLR: c.£30b revenue, EBIT margin ≥8.5%, and net cash positive.

• Awaiting regulatory approvals for the demerger of the Commercial Vehicle business and merger of the Passenger Vehicle business, which will result in two separate listed companies.

• Domestic demand outlook remains cautious, but infrastructure investment and festive season are expected to support growth.