Tata Motors had another bad quarter as it reported net loss of Rs.8444 crore for the quarter ended June 2020. The elaborate lockdown in several countries had a deep impact on Jaguar Land Rover or JLR. Of course, even the domestic business of TAMO got hit. Revenues from core operations during for the Jun-20 quarter almost halved to Rs.31,983 crore. EBITDA margins impacted due to adverse mix and negative operating leverage.

For the JLR segment, COVID-19 resulted in temporary retailer and plant shutdowns. This had significantly impacted sales and profits. Retail sales of 74,067 vehicles were lower by 42.4% on a YOY basis. JLR revenues stood at £2.9 billion pound in the quarter and the company made a pre-tax loss of £413 million.

While the company has admitted that the outlook remained uncertain for the year due to infections continuing to rise and intermittent lockdowns in many countries, TAMO does expect a gradual recovery of demand and supply. Now, in line with the overall TAMO group strategy, it is looking to substantially deleverage the business