Tata Motors slips as JLR sales skid over 12% in FY20

Tata Motors on Saturday (18 April 2020) said that Jaguar Land Rover retail sales fell 12.1% to 508,659 vehicles in the fiscal year 2019-20 (FY20) over FY19.

The scrip fell 1.24% to Rs 75.90 on the BSE. It has traded in the range of Rs 75.60 and Rs 77 so far during the day.

Jaguar Land Rover added that the coronavirus pandemic had significantly impacted sales in the fourth quarter of the fiscal year. While the Jaguar sales fell 22% to 140,593 units, the Land Rover sales contracted by 7.7% to 368,066 units in FY20 over FY19.

The company's total retail sales for the quarter ending on 31 March 2020 were 109,869 vehicles, down 30.9% compared to the same period last year.

Jaguar sales slumped 42.6% to 28,288 units while Land Rover sales tumbled 25.6% to 81,581 units in Q4 FY20 over Q4 FY19.

The auto manufacturer said that the fiscal 2019-20 sales had been impacted across all regions with lower sales in North America (7.5% down on record prior year), China (down 8.9%), UK (down 9.6%), Europe (down 16.1%) and overseas (down 20.3%). China had generated double digit growth in Q2 and Q3 and, with lockdown measures easing, nearly all of the company's retailers in the region have now reopened and sales are recovering.

In light of the ongoing coronavirus situation, Jaguar Land Rover has temporarily suspended production at its facilities outside China. In addition, the company is tightly managing all other costs and investments as well as working capital.

Felix Brautigam, Jaguar Land Rover chief commercial officer, said that 2019/20 has been a year of unprecedented disruption for the automotive sector. Despite the impact of regulatory change, shifting consumer tastes, Brexit and ongoing trade tensions, sales for Jaguar and Land Rover were showing improvement until the coronavirus pandemic hit in the fourth quarter.

Jaguar Land Rover is the UK's largest automotive manufacturer. On 2 June 2008, Tata Motors acquired the Jaguar Land Rover businesses from Ford Motor Company.

Tata Motors is a leading global automobile manufacturing company. Its diverse portfolio includes an extensive range of cars, sports utility vehicles, trucks, buses and defense vehicles.

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