Range Rover goes electric as JLR looks to recharge growth and margins

First electric Range Rover kicks off crucial new-product cycle after British luxury arm weighed on Tata Motors PV earnings amid falling revenue and margins

Jaguar Land Rover (JLR) on Wednesday opened orders in India for the first all-electric Range Rover, kicking off a crucial new-product cycle as the Tata Motors-owned luxury carmaker looks to revive growth and profitability after a difficult FY26 and a weak start to the current financial year.

 

JLR has not disclosed the price for India. The Range Rover Electric starts at £154,070 (around Rs 1.84 crore) in the UK and at $138,000 (around Rs 1.22 crore) in the US, before taxes and other charges. Sources indicated the car is available for booking in India for a token amount of Rs 10 lakh.

 

 

The Range Rover Electric, built at JLR's Solihull plant in the UK, offers a range of up to 600 km under the Worldwide Harmonised Light Vehicles Test Procedure (WLTP). It is the first battery-electric version of one of JLR's most profitable models and will be sold alongside internal combustion engine (ICE), mild-hybrid and plug-in hybrid versions.

 

The launch assumes significance for Tata Motors Passenger Vehicles (TMPVL), where JLR accounts for the bulk of consolidated revenue (nearly four-fifths) and has weighed on profitability even as the domestic passenger vehicle business has strengthened.

 

JLR's revenue fell 21 per cent to £22.9 billion in FY26, a year marked by a major cyber incident, higher US tariffs and challenging market conditions in China. Lower volumes and increased marketing expenditure also weighed on profitability, with adjusted EBIT margin dropping to 0.7 per cent in FY26 from 8.5 per cent in FY25. The luxury carmaker posted a loss after tax of £244 million in FY26, against a profit of £1.8 billion in the previous year.

 

The pressure continued in the June quarter. JLR revenue declined 9.6 per cent year-on-year to £5.97 billion and its EBIT margin fell 120 basis points to 2.8 per cent. By contrast, Tata's domestic PV business grew revenue 64.8 per cent to Rs 17,930 crore and improved its EBIT margin by 230 basis points to minus 0.5 per cent. At the consolidated TMPVL level, EBIT margin fell 90 basis points to 2.4 per cent and profit after tax stood at Rs 900 crore.

 

JLR is counting on new models to help change that trajectory. Range Rover Electric is the first of four products lined up over the coming months, followed by Range Rover Sport Electric, Range Rover GT and Jaguar Type 01.

 

During the Q1 media call, JLR Chief Financial Officer Richard Molyneux underlined the importance of the Range Rover franchise to profitability. Range Rover, Range Rover Sport and Defender accounted for around 81 per cent of first-quarter sales and were the three vehicles that "drive our profitability", he said.

 

The benefits from the product cycle, however, will take time. Molyneux said the four new models would not have a "massive impact" on FY27 wholesales, but would become key drivers of growth thereafter.

 

The Electric also illustrates JLR's recalibrated approach to electrification. Rather than moving rapidly towards an all-electric portfolio, the company is retaining multiple powertrains as EV adoption progresses at different speeds across markets. Range Rover Electric consequently shares its architecture and Solihull production base with ICE and hybrid versions.

 

For JLR, the test now is whether electrifying one of its strongest franchises can bring incremental volumes while preserving the pricing and profitability on which its broader earnings recovery depends.