Tata Motors Gains After Revenue More Than Doubles In June Quarter

Shares of the parent of luxury car maker - Tata Motors - rose as much as 1.53 per cent to hit an intraday high of Rs 297.60 after its revenue in June quarter jumped as much as 108 per cent to Rs 66,406 from Rs 31,983 crore in the same quarter last year. Tata Motors loss in April-June period narrowed to Rs 4,451 crore from Rs 8,438 crore in the year ago period

During the quarter retail sales of Jaguar Land Rover came in at 124,537 vehicles, up 68.1 per cent on an annual basis. In domestic market, Tata Motors sales jumped 340 per cent to 95,200 units.

Meanwhile, the company has reiterated that global chip shortages, uncertainty due to the spread of coronavirus variants and commodity inflation would impact business in the short term.

"Demand remains strong for JLR and India PV, while CV demand is showing gradual improvement. In this dynamic business environment, we anticipate that semiconductor issues, commodity inflation and pandemic uncertainty will have an impact in the short term. We expect the performance to improve progressively from H2 as supply chain and pandemic situation improves," Tata Motors said in a stock exchange filing post market hours on Monday.

"The successful implementation of a comprehensive business agility plan enabled us to manage lockdowns effectively and also deliver competitive growth as markets reopened. In the near term, we remain focused on fulfilling customer demands while driving all levers of the business to mitigate the unprecedented commodity inflation," Girish Wagh, Executive Director at Tata Motors said in a statement.

As of 10:58 am, Tata Motors shares traded 0.61 per cent higher at Rs 295, outperforming the Sensex which was trading on a flat note.