Tata Motors reports healthy performance for Q3FY22TATAMOTORS - 405 Change: 1.05 (0.26 %)
News: The company reported a healthy performance in Q3FY22 with consolidated sales for the quarter coming in at Rs.72,229 crore up 17.7% QoQ. (amidst ~16.5% sequential jump in volumes to ~2 lakhs units in standalone operations where as JLR volumes stood at ~83,000 units, up 6.2% QoQ). EBITDA for the quarter came in at Rs.9,057 crore with corresponding EBITDA margin at 12.5% (up 250 bps QoQ). PAT in Q3FY22 was at negative Rs.1,516 crore. Standalone EBITDA margins stood at 3.3% while the same for JLR came in at 12.0%.
Views: It outperformed our expectations with sequential jump in EBITDA margins primarily driven by JLR amid favourable product mix. Gross margins expansion for the quarter was at ~320 bps QoQ. The company guided for robust demand prospects (JLR order-book at 1.55 lakh units, up 30,000 units QoQ) which coupled with gradual improvement in chip availability to result in healthy profitability going forward. It continues to lead the domestic EV market with market share pegged at ~82% and remains committed to its long term electrification goals at JLR.