Tata Motors sees JLR back in profit in 2019 as China sales recover
India’s biggest carmaker says cost cutting and a turnaround at Jaguar Land Rover helped dull the impact of an economic slowdown at home
Mumbai/Bengaluru — India’s Tata Motors expects its luxury Jaguar Land Rover (JLR) arm to return to profit this financial year helped by cost cuts and a recovery in Chinese demand, it said on Monday, after the group’s fourth-quarter profit fell less than expected. Finance chief PB Balaji said he expected Chinese sales of its sleek Jaguar saloons and Land Rover sport-utility vehicles (SUVs) to return to growth “a quarter from now”. Brexit-related disruption and a slowdown in sales in China, once JLR’s fastest-growing market, have hammered Tata’s finances. Three months ago, it posted the biggest quarterly loss in Indian corporate history. “Metrics (in China) have started stabilising, return on sales have picked up dramatically and at the same time our inventories at the dealers have come down significantly,” Balaji said. “We should start seeing China come back to growth a quarter from now,” he added. Tata, India’s biggest carmaker by revenue, said tighter control of expenses and a turn...
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