INDIA’s Tata Motors announced a $1 billion loss Tuesday (18) despite a strong performance in the first quarter of 2021 as restructuring costs related to its British luxury car brand Jaguar Land Rover (JLR) hit the automaker’s bottom line.
The Mumbai-headquartered firm posted a consolidated net loss of Rs 76bn during the January-March period, narrowing its losses from Rs 98.9 billion ($1.3bn) a year earlier.
The auto giant’s revenues jumped 42 per cent, but exceptional costs worth £1.5bn ($2.13bn) related to its restructuring of JLR hurt its profitability.
“It was a strong and resilient all-round performance for us, despite the pandemic,” P B Balaji, chief financial officer of Tata Motors, told reporters in a post-earnings conference call.
The company reported losses for three consecutive quarters last year, as the pandemic hammered demand in domestic and international markets.
But an easing of coronavirus restrictions saw the firm’s revenues soar between October 2020 and March this year, as consumers splashed out on big-ticket items.