DBT Bureau
Pune, 9 August 2025
Tata Motors Ltd. (TML) reported a fall in revenue and profit for the quarter ending June 30, 2025, as demand slowed across all businesses and new US tariffs hit Jaguar Land Rover (JLR) sales.
Consolidated performance
Tata Motors’ consolidated revenue fell 2.5% to ₹1.04 lakh crore ($12.5 billion), while EBIT margin slipped to 4.3%. Profit before tax (PBT) stood at ₹5,617 crore ($674 million), helped by lower finance costs. Automotive free cash flow was negative at ₹12,300 crore ($1.48 billion) due to seasonal working capital needs and tariffs.
Jaguar Land Rover
JLR revenue dropped 9.2% to £6.6 billion ($8.4 billion), mainly because of 27.5% US trade tariffs on UK- and EU-made vehicles and the planned phase-out of old Jaguar models. EBIT margin fell to 4.0%. However, a new UK-US trade deal effective June 30 will cut tariffs to 10%, and an EU-US deal will also help in the future.
Tata Commercial Vehicles
Revenue was down 4.7% to ₹17,009 crore ($2.05 billion) due to weak demand in heavy and small trucks. EBITDA margin improved to 12.2% thanks to cost savings. Exports rose 68%, partly offsetting a 9% fall in domestic sales.
Tata Passenger Vehicles
Revenue fell 8.2% to ₹10,877 crore ($1.31 billion) as industry demand softened and model upgrades were underway. EV sales stayed strong, making up 13% of volumes, with market share at 36.7%. New launches like the Harrier.ev received strong bookings.
Looking ahead
The company expects the festive season and recent trade deals to boost sales. Tata Motors is also moving ahead with its planned October 2025 demerger and its acquisition of Iveco Group, expected to complete in 2026.
CFO PB Balaji said Tata Motors aims to improve performance in the second half of the year despite global challenges.
