DELHI: Tata Motors has released its financial results for the third quarter of the fiscal year 2025 (Q3 FY25). This report indicates a mixed performance across its various motor segments. Tata Motors reported a 2.7% increase in consolidated revenue, reaching ₹113,575 crores, driven by strong performances in some segments while some segments faced challenges. Here’s a simplified presentation of the key numbers and insights from this quarter's performance.
Table of Contents
TATA Motors Q3 FY25 Performance Report
Consolidated Financial Highlights (Q3 FY25 vs. Q3 FY24)
| Metric | Q3 FY25 | Q3 FY24 | Change |
| Revenue (₹ Crores) | 113,575 | 110,577 | +2.7% |
| EBITDA (₹ Crores) | 15,521 | 15,822 | -1.9% |
| EBITDA Margin (%) | 13.7% | 14.3% | -60 bps |
| EBIT (₹ Crores) | 10,088 | 9,165 | +10.1% |
| Net Profit (₹ Crores) | 5,578 | 7,145 | -21.9% |
Revenue: ₹113,575 crores (+2.7% YoY)
EBITDA: ₹15,521 crores (13.7% margin, down 60 bps)
EBIT: ₹10,088 crores (8.9% margin, up 60 bps)
Profit Before Tax (PBT): ₹7,700 crores (down ₹75 crores YoY)
Net Profit: ₹5,578 crores
TATA Motors Segment-wise Performance (Q3 FY25)
1. Jaguar Land Rover (JLR):
| Metric | Q3 FY25 | Q3 FY24 | Change |
| Revenue (₹ Crores) | 81,264 | 76,655 | +6.0% |
| EBITDA Margin (%) | 14.2% | 16.1% | -190 bps |
| EBIT Margin (%) | 9.0% | 8.8% | +20 bps |
| PBT (₹ Crores) | 5,702 | 6,508 | -12.4% |
| Revenue: £7.5 billion (+1.5% YoY) |
| EBITDA Margin: 14.2% (down 200 bps) |
| EBIT Margin: 9.0% (up 20 bps) |
JLR delivered a strong performance in Q3 FY25, with record quarterly revenue and the highest EBIT margin in a decade. The segment saw a 1.5% increase in revenue, reaching £7.5 billion, driven by higher wholesales and improved product mix. However, EBITDA margins declined by 200 bps due to increased warranty costs and unfavorable foreign exchange changes.
Notes for JLR:
- Modern Luxury: Jaguar Type 00 design vision was revealed, and Defender OCTA was showcased.
- Electrification: Range Rover Electric development continues, with a waiting list of 57,000 customers.
- Sustainability: JLR’s Circularity Lab introduced recycled seat foam for future vehicles.
2. Tata Commercial Vehicles (CV)
| Metric | Q3 FY25 | Q3 FY24 | Change |
| Revenue (₹ Crores) | 18,431 | 20,123 | -8.4% |
| EBITDA Margin (%) | 12.4% | 11.1% | +130 bps |
| EBIT Margin (% ) | 9.6% | 8.6% | +100 bps |
| Market Share (YTD) | 37.7% | 38.5% | -0.8% |
| Revenue: ₹18,431 crores (-8.4% YoY) |
| EBITDA Margin: 12.4% (up 130 bps) |
| EBIT Margin: 9.6% (up 100 bps) |
The CV segment faced challenges with an 8.4% decline in revenue, primarily due to lower volumes. However, the segment improved its EBITDA margin by 130 bps, driven by cost savings and the impact of the Production Linked Incentive (PLI) scheme.
Notes for Tata CV:
- Market Share: Domestic Vahan market share stood at 37.7% for YTD FY25.
- Product Launches: Over 50 product variants were introduced in Q3 FY25, including the Prima E.555 (battery electric prime mover) and Prima H.28 (hydrogen ICE truck).
3. Tata Passenger Vehicles (PV)
| Metric | Q3 FY25 | Q3 FY24 | Change |
| Revenue (₹ Crores) | 12,354 | 12,910 | -4.3% |
| EBITDA Margin (%) | 7.8% | 6.6% | +120 bps |
| EBIT Margin (%) | 1.7% | 2.1% | -40 bps |
| EV Market Share (YTD) | 61% | 58% | +3% |
| Revenue: ₹12,354 crores (-4.3% YoY) |
| EBITDA Margin: 7.8% (up 120 bps) |
| EBIT Margin: 1.7% (down 40 bps) |
The PV segment saw a 4.3% decline in revenue, but EBITDA margins improved by 120 bps due to cost controls and PLI incentives. The segment maintained a substantial market share in the electric vehicle (EV) space, with a 61% market share in YTD FY25.
Notes for Tata (PV):
EV Leadership: Over 200,000 Tata EVs have covered over 5 billion kilometers, eliminating 700,000 tons of CO2 emissions.
New Launches: The 2025 Tiago, Tiago Ev, and Tiger were introduced with new tech and designs.
TATA Motors Revenue Distribution (Q3 FY25)
| Segment | Revenue (₹ Crores) | Share of Total Revenue |
| Jaguar Land Rover | 81,264 | 71.6% |
| Tata CV | 18,431 | 16.2% |
| Tata PV | 12,354 | 10.9% |
| Others | 1,526 | 1.3% |
TATA Motors EBITDA Margins Comparison (Q3 FY25)
| Segment | EBITDA Margin (%) | Change vs. Q3 FY24 |
| Jaguar Land Rover | 14.2% | -190 bps |
| Tata CV | 12.4% | +130 bps |
| Tata PV | 7.8% | +120 bps |
Key Factors in Q3 of TATA Motors:
Tata Motors remains optimistic about the future, expecting gradual improvement in domestic demand due to infrastructure spending and new product launches. The company is also focused on electrification and sustainability, with JLR leading the charge in luxury EVs and Tata Motors expanding its EV portfolio in India.
- Consolidated Growth: Revenue was up 2.7%, but net profit fell 21.9% due to higher costs.
- JLR’s Mixed Performance: Strong revenue but lower margins due to FX and warranty costs.
- CV Resilience: Margins improved despite revenue decline.
- PV Challenges: Volume growth offset by pricing pressure; EV leadership continues.
TATA Motor’s Future Plans:
- JLR: Wholesales are expected to improve further in Q4 FY25, focusing on achieving an EBIT margin of≥8.5%.
- Tata CV: Demand is expected to improve across most segments, driven by government infrastructure spending.
- Tata PV: The segment is poised for moderate growth, focusing on expanding its multi-powertrain strategy.
TATA Motor’s Q3 FY2025 Conclusion
Tata Motors delivered a resilient performance in Q3 FY25, with strong revenue growth and improved profitability in key segments of the business, but not profitable in all segments. Despite challenges in certain areas, the company’s focus on cost control, innovation, and sustainability positions it well for future growth. With a robust product pipeline and strategic investments in electrification, Tata Motors is set to continue its leadership in the automotive industry according to its long-run strategies for the future. Also, make your revision for any investment decision you take.
Article Written By: MD Imran ( Financial Analyst at ‘Watan Tak’ – 30 Jan 2025 )