Tata Motors demerger complete: Here's how CV & PV arms stack up financially

Tata Motors CV share price list at 26 per cent premium after demerger. Strong earnings growth from both CV and PV units highlight value unlocking for investors. Read Analysis

Tata Motors demerger, Tata Motors CV share price: The long awaited demerger of Tata Motors, which marked a structural milestone for the 80-year-old automaker, reached its final stage today with Tata Motors commercial vehicle (CV) shares listing on the stock exchanges on November 12, 2025.

 

The demerger paved the way for a sharper business focus, unlocking value for shareholders. The demerger, effective October 2025, has split the automaker into two listed entities -- Tata Motors Passenger Vehicles Ltd (TMPV) and Tata Motors Commercial Vehicles Ltd (TMCV) -- reflecting their distinct product portfolios, profitability profiles, and growth trajectories.

 

Tata Motors CV share price today

Tata Motors CV share price listed at ₹330.25 per share on the BSE, 26 per cent higher than the stock’s ‘discovered’ price of ₹261. While the stock extended gains in the initial hours, hitting a high of ₹346.75 per share, it turned lower to touch an intraday low of ₹320 per share on the stock exchange.

 

On the NSE, the listing of Tata Motors CV shares happened at ₹335 per share. It hit a high of ₹345 and a low of ₹320 per share during the day.

 

Most analysts remain bullish on Tata Motors CV shares outlook, expecting them to rerate in the coming months, as they remain optimistic on the cyclical recovery in the commercial vehicle industry.

 

"After becoming a standalone CV-arm, Tata Motors CV is now India’s largest commercial vehicle manufacturer across the entire spectrum of categories from small cargo carriers to medium and heavy commercial vehicles (M&HCVs). The CV business will be at the core of India's growth story - facilitating the expansion of logistics, mining and infrastructure. With freight activity improving, commodity costs easing, and the GST rate cut from 28 per cent to 18 per cent, demand for commercial vehicles is expected to rise sharply," said Jahol Prajapati, research analyst at SAMCO Securities.

 

For Pramod Amthe, head of institutional equity research at InCred Capital, the fair value of Tata Motors CV shares is around ₹358 per share.

 

"Post demerger, we feel CV business gives an interesting option to play the Indian economic recovery where Tata Motors' market share recovery could drive superior valuation. We prefer CV over PV as the latter business may face challenges from a slow and gradual recovery of JLR and increased competition from Hyundai and Maruti Suzuki India in the domestic market," he said, valuing Tata Motors PV at ₹386 per share.

 

In this backdrop, here’s a look at the financials of Tata Motors CV, and how it compares against Tata Motors PV.

ALSO READ | Tata Motors demerger: PV unit vulnerable as JLR dominance clouds growth 

Tata Motors: Financial Analysis of CV vs PV business

 

Tata Motors Commercial Vehicle financials

 

The commercial vehicle division of Tata Motors has posted resilient financial growth over FY23–FY25.

 

Revenue grew from ₹70,816 crore in FY23 to ₹75,053 crore in FY25, while Ebitda nearly doubled to ₹8,839 crore, and margins rose from 7.4 per cent in FY23 to 11.7 per cent in FY25.

 

The business achieved a net profit of ₹6,132 crore in FY25, more than double the FY23 level of ₹2,869 crore, driven by cost efficiencies and price discipline.

 

Looking ahead, the segment is positioned for accelerated growth with the planned acquisition of Iveco Group NV (excluding its defence business) for €3.8 billion. The deal, once completed, is expected to triple TMLCV’s revenue base and provide global market access, advanced powertrain technologies, and a stronger export footprint.

 

Tata Motors Passenger Vehicle financials

 

The passenger vehicle vertical, which includes the domestic car business, Jaguar Land Rover (JLR), and investments in the electric vehicle (EV) segment, has seen a remarkable financial turnaround between FY23 and FY25.

 

JLR, which contributes nearly 87 per cent of TMPV’s total revenue, recorded a strong recovery post-pandemic. Revenues jumped from ₹2.23 trillion in FY23 to ₹3.14 trillion in FY25, driven by improved product mix, easing supply chain pressures, and premium SUV demand.

 

The British luxury unit’s Ebitda more than doubled, from ₹25,733 crore in FY23 to ₹44,963 crore in FY25, while margins expanded sharply from 11.4 per cent to 14.2 per cent. JLR also swung to profitability, posting a net profit of ₹19,010 crore in FY25 compared to a loss of ₹472 crore two years earlier.

 

The domestic passenger vehicle business—home to brands like Nexon, Harrier, and Punch—also displayed steady performance, with revenue rising from ₹47,868 crore in FY23 to ₹48,445 crore in FY25.

 

Despite competitive intensity, Ebitda margins improved marginally to 6.8 per cent, supported by better operating leverage and rising EV sales. However, profitability moderated slightly in FY25, with PAT at ₹714 crore, down from ₹1,089 crore in FY24, reflecting cost pressures and investment in new EV models.

 

Tata Motors Q2 results preview

That said, auto giant Tata Motors is set to announce its first quarterly results post-demerger, on November 14, 2025.

 

While Tata Motors PV and Tata Motors CV will present their individual financial results here on, analysts have shared their result expectations for the consolidated business.

 

Those at Nuvama Institutional Equities expect Tata Motors’ consolidated revenue to fall on a year-on-year (Y-o-Y) basis, weighed by a decline in JLR volumes. Consolidated Ebitda margin, too, could contract in Q2FY26.

 

Within revenue, PV and CV segments are estimated at ₹79,800 crore and ₹19,300 crore, respectively, while Ebitda from PV and CV is projected at ₹6,340 crore and ₹2,340 crore. READ PREVIEW