Challenging demand outlook may derail Tata Motor's JLR turnaround plan

The company, however, believes that new model launches and China revival will lead to a reversal in fortunes

Demand issues in China continue to weigh on Tata Motors forcing the company to cut costs, curtail capital expenditure and improve its cash flow at its UK-based subsidiary Jaguar Land Rover. The company, which reported a consolidated loss of Rs 10 billion in the September quarter, seeks to improve its performance in the second half largely on the back of a turnaround plan for JLR with gains pegged at 2.5 billion pounds over the next 18 months. While a large part of it will come cut in capex (1 billion pounds), the street will focus on whether the company can