Consolidated Financial Results for the Quarter and Nine months ended December 31, 2016
– As per Ind AS
For the quarter ended December 31, 2016, Tata Motors reported consolidated revenues (net of excise) of ₹67,484 crores as against ₹70,567 crores for the corresponding quarter last year (unfavourable translation impact of ₹ 10,670 crores). Consolidated Profit before tax for the quarter was ₹599 crores, against ₹3,414 crores for the corresponding quarter last year. This broadly reflects:-
- In Jaguar Land Rover business-
- Strong retail sales, up 8.5% y-o-y on continued strong demand for the product, revenue (in £) up 13.1% y-o-y ;
- Lower wholesale volumes and relatively weaker product mix (including the run out of Discovery) in Jaguar Land Rover business, overall higher marketing expenses partially offset by credit relating to the recovery because of explosion at the port of Tianjin (China).
- In Standalone business-
- De-growth in the M&HCV segment and flat LCV segment partially offset by growth in Car segment.
Consolidated Profit after tax (post profit / loss in respect of joint ventures and associate companies) for the quarter was ₹112 crores, against the Consolidated Profit after tax (post profit / loss in respect of joint ventures and associate companies) of ₹2,953 crores for the corresponding quarter last year.
For the nine months ended December 31, 2016, the Consolidated revenue (net of excise) was ₹1,99,429 crores against ₹1,92,543 crores (unfavourable translation impact of ₹ 18,840 crores) for the corresponding period last year. The Consolidated Profit before tax for the nine months ended December 31, 2016 was ₹4,149 crores against ₹8,237 crores for the corresponding period last year. Consolidated Profit after tax (post profit / loss in respect of joint ventures and associate companies) for the nine months ended December 31, 2016 was ₹3,220 crores, as against ₹6,467 crores for the corresponding period last year.
Tata Motors Standalone Financial Results (including Joint Operations) for the Quarter and Nine months ended December 31, 2016 – As per Ind AS
During the quarter, Commercial vehicle segments of the Company witnessed demand shrinkage due to the demonetization –M&HCV segment witnessed major pressure with a fall of 9.0% Y-o-Y and LCV segment was overall flat. Passenger vehicles segment grew by 25.4% Y-o-Y with Car segment growth of 31.1% Y-o-Y on the back of continued strong response to the Tiago. Exports grew by 34.6% Y-o-Y.
The sales (including exports) of commercial and passenger vehicles for the quarter ended December 31, 2016, stood at 132,572 units, a growth of 7.5%, as compared to the corresponding quarter last year. The revenues (net of excise) of the Standalone business (including Joint Operations) for the quarter ended December 31, 2016 stood at ₹10,167 crores, as compared to ₹10,019 crores for the corresponding quarter last year. Operating profit (EBITDA) of the Standalone business (including Joint Operations) for the quarter stood at ₹153 crores with operating margin at 1.5%. Loss before and after tax for the quarter ended December 31, 2016 was ₹1,032 crores and ₹1,046 crores, respectively, against ₹139 crores and ₹137 crores, respectively, for the corresponding quarter last year.
The revenues (net of excise) of the Standalone business (including Joint Operations) for the nine months ended December 31, 2016, stood at ₹30,940 crores as compared to ₹30,068 crores in the corresponding period last year. Operating profit (EBITDA) of the Standalone business (including Joint Operations) for the nine months stood at ₹1,229 crores with operating margin at 4.0%. Loss before and after tax for nine months ended December 31, 2016 was ₹1,603 crores and ₹1,651 crores, respectively, against the ₹404 crores and ₹460 crores, respectively, for the corresponding period last year.
Jaguar Land Rover Automotive PLC – (figures as per IFRS)
Total Retail sales including the China JV in the third quarter were 149,288 units, up 8.5% on strong demand for products, primarily reflecting higher volumes in China (incl. CJLR), North America and Europe led by strong sales of Discovery Sport, F-PACE and the new long wheel base XFL in China. Jaguar Land Rover wholesales and retails excluding the China JV for the quarter were 130,910 units and 129,893 units, respectively. China JV wholesales and retails for the quarter were 21,335 units and 19,395 units, respectively.
Revenues for the quarter ended December 31, 2016 were £6,537 million (up 13.1% Y-o-Y), compared to £5,781 million for the corresponding quarter last year. Operating profit (EBITDA) for the quarter was £611 million (9.3% margin), compared to £834 million (14.4% margin) for the corresponding quarter last year. The Operating performance in the quarter reflects
- Lower wholesale volumes and less favourable product mix partially offset by favourable market mix (including the runout of Discovery);
- Unfavourable variable marketing expense including the extended 16MY runout expenses in the US;
- Higher new model launch costs and Biennial pay negotiation settlement;
- Favourable operating exchange offset by realized hedges.
Profit before tax (PBT) was £255 million for the quarter ended December 31, 2016 (after an exceptional item of £85 million of further recoveries related to Tianjin) compared to £499 million in the corresponding quarter last year (which also included an exceptional item of £30 million of recoveries related to Tianjin). The PBT performance reflects:
- Lower EBITDA as explained above and higher depreciation and amortisation,
- Unfavourable unrealized FX and commodity hedge revaluation as well as USD debt revaluation
partially offset by
- Higher China JV profitability (£35 million in Q3 FY 17 vs £22 million in Q3 FY 17) and lower net finance expenses.
- Further recoveries related to Tianjin (£85 million compared to £30 million a year ago)
Profit after Tax (PAT) was £167 million for the quarter ended December 31, 2016 compared to £440 million in the corresponding quarter last year.
Revenues for the nine months ended December 31, 2016 stood at £17,951 million, compared to £15,614 million in the corresponding period of last year and operating profit (EBITDA) stood at £1,898 million for the nine months, compared to £2,244 million in the corresponding period of last year. PBT for the nine months ended December 31, 2016 was £934 million compared to £980 million in the corresponding period of last year and PAT for the nine months stood at £715 million compared to £840 million in the corresponding period of last year.
Tata Daewoo Commercial Vehicles Co. Ltd – (figures as per Korean GAAP)
Tata Daewoo Commercial Vehicles Co. Ltd. registered net revenues of KRW 268 billion (approx. ₹1,603 crores) and recorded a net profit of KRW 15 billion (approx. ₹90 crores) in the quarter ended December 31, 2016. Net revenue and net profit for the nine months ended December 31, 2016 stood at KRW 773 billion (approx. ₹4,509 crores) and KRW 36 billion (approx. ₹210 crores), respectively.
Tata Motors Finance Ltd- (As per I GAAP)
Tata Motors Finance Ltd, the Company’s captive financing subsidiary, on a consolidated basis registered net revenue from operations of ₹688 crores and reported a Loss after tax of ₹3 crores for the quarter ended December 31, 2016. Net revenue from operations and Profit after tax for the nine months ended December 31, 2016 stood at ₹2,104 crores and ₹9 crores, respectively.
The Financial Results for the Quarter ended December 31, 2016, are enclosed.
