Tata Motors Passenger Vehicles Ltd (TMPVL) reported a consolidated loss of ₹3,486 crore for the third quarter of FY26, a sharp reversal from a profit of ₹5,406 crore in the same period last year. Revenue from operations fell 26% to ₹70,108 crore, reflecting pressure across its business segments.
The decline was mainly driven by Jaguar Land Rover (JLR), Tata Motors’ UK-based luxury car subsidiary. JLR faced a cybersecurity breach that disrupted production and distribution for several weeks, resulting in lost sales and a significant one-time charge. Weak global demand, higher US tariffs, and challenging conditions in China further impacted performance.
For JLR, revenue and profits tumbled, with its EBIT (earnings before interest and tax) turning negative, wiping out last year’s gains. Tata Motors expects JLR to recover gradually, but now anticipates a modest EBIT margin of 0–2% for the full year and continued free cash outflows. The British government has extended a £1.5 billion loan guarantee to support JLR’s operations and investment plans.
Despite international challenges, Tata Motors’ domestic passenger vehicle business performed well. Sales and exports in India rose 22% year-on-year, aided by lower GST rates, stronger market demand, and strategic incentives. This helped offset some losses from JLR and improved sequential performance quarter-on-quarter.
The company’s management said it expects production at JLR to normalise in the coming months, which should boost revenues and cash flows. Tata Motors is also focusing on new product launches, operational efficiency, and brand initiatives to strengthen both domestic and global segments.
Also Read: Anthropic’s AI Agents raise market concerns for Indian IT