Mumbai, Feb 7 (IANS) Automobile major Tata Motors Group on Thursday reported a massive net loss of Rs 26,961 crore for the quarter ended December 31, 2018.
The automobile group had posted a net profit of Rs 1,214.60 crore for the corresponding period of the previous year.
According to the group, its net profit was impacted by an exceptional item of “Asset Impairment” in JLR (Jaguar Land Rover) worth Rs 27,838 crore (3.1 billion pounds).
On JLR, it said: “Performance impacted by challenging market conditions particularly in China and inventory corrections. Continue to invest in exciting products and leading edge technologies.”
“Taking decisive actions to make the business ‘Fit for Future’ by stepping up competitiveness, reducing costs and improving cash flows.”
However, on the standalone basis, the company reported healthy quarterly numbers.
Its net profit during the quarter under review rose to Rs 617.62 crore from Rs 211.59 crore reported for the corresponding quarter of the previous year.
Besides, the company’s net revenue rose by 1.5 per cent to Rs 16,208 crore.
In Q3 FY19, the company’s wholesales (including exports) declined 0.5 per cent to 171,354 units on the back of challenging market conditions in the domestic market.
“Fiscal year 2019 so far has been a challenging period for the industry. Despite the muted growth, Tata Motors has delivered strong results, registered an impressive profitable growth this year on the back of exciting products, renewed brand positioning and aggressive cost reduction,” Guenter Butschek, CEO and MD, Tata Motors, said in the statement.