You are right that the results of Tata Motors for the December 2019 quarter need to be seen in the light of the rally it has already experienced. Here are the highlights.

· The company posted a net profit of Rs.1,756 crore for the third quarter ended December 2019 as against a net loss of Rs.26,960.8 crore in the year ago period.

· If you look at the sales revenues of Tata Motors, it came in about 7% lower at Rs.71,676 crore in the year ago period. However, the standalone loss stood at Rs.1,039 crore. In line with the trend in the auto industry there was a 25% volume compression in the quarter at 1,29,185 units sold.

· The big news was on Jaguar Land Rover, the biggest contributor to sales and operating profits of the Tata Motors group. Revenues of Jaguar Land Rover increased to GBP6.4 billion and were up at a healthy clip of 2.8% compared to same period last fiscal.

· JLR persisted with its turnaround and transformation journey with China continuing to improve gradually while Project Charge (to cut down costs) is well ahead of plans having already delivered GBP2.9 billion so far.

· Strong headwinds continued in the Indian auto industry due to the economic slowdown. The profitability was impacted by adverse product mix and rising input costs.

In a nutshell, the performance of Tata Motors appears to be encouraging. Of course, the real thrust may only come from the EV plans, which are still some time away.