Tata Motors Q1 net profit falls 31% YoY on lower revenue, margins
The automaker posted a net profit of Rs 3,924 crore for the April–June 2025 period, compared to Rs 5,643 crore in the same quarter last year. Revenue from operations slipped 2.8 per cent YoY to Rs 1.04 lakh crore from Rs 1.07 lakh crore.
- Aug 8, 2025,
- Updated Aug 8, 2025 5:54 PM IST
Tata Motors Ltd on Friday reported a 30.5 per cent year-on-year (YoY) decline in consolidated net profit for the first quarter of FY26, as weaker margins weighed on earnings.
The automaker posted a net profit of Rs 3,924 crore for the April–June 2025 period, compared to Rs 5,643 crore in the same quarter last year. Revenue from operations slipped 2.8 per cent YoY to Rs 1.04 lakh crore from Rs 1.07 lakh crore.
Earnings before interest, tax, depreciation and amortisation (EBITDA) dropped 35 per cent to Rs 9,724 crore, while operating margins contracted sharply to 9.3 per cent from 14 per cent a year ago.
With demand conditions expected to stay challenging, the automaker said it will continue to strengthen business fundamentals and offset the impact of tariffs by leveraging its brand strength to achieve a better product mix, along with targeted measures to enhance contribution margins.
PB Balaji, Group Chief Financial Officer at Tata Motors, said, "Despite tough macro headwinds, we delivered a profitable quarter backed by strong fundamentals. As tariff clarity improves and festive demand gains traction, we aim to accelerate performance and regain momentum across our portfolio. With the upcoming demerger slated for October 2025, our focus is firmly on delivering a robust performance in the second half of the year."
Meanwhile, Tata Motors shares slipped 2.19 per cent to close at Rs 633.30.
Tata Motors Ltd on Friday reported a 30.5 per cent year-on-year (YoY) decline in consolidated net profit for the first quarter of FY26, as weaker margins weighed on earnings.
The automaker posted a net profit of Rs 3,924 crore for the April–June 2025 period, compared to Rs 5,643 crore in the same quarter last year. Revenue from operations slipped 2.8 per cent YoY to Rs 1.04 lakh crore from Rs 1.07 lakh crore.
Earnings before interest, tax, depreciation and amortisation (EBITDA) dropped 35 per cent to Rs 9,724 crore, while operating margins contracted sharply to 9.3 per cent from 14 per cent a year ago.
With demand conditions expected to stay challenging, the automaker said it will continue to strengthen business fundamentals and offset the impact of tariffs by leveraging its brand strength to achieve a better product mix, along with targeted measures to enhance contribution margins.
PB Balaji, Group Chief Financial Officer at Tata Motors, said, "Despite tough macro headwinds, we delivered a profitable quarter backed by strong fundamentals. As tariff clarity improves and festive demand gains traction, we aim to accelerate performance and regain momentum across our portfolio. With the upcoming demerger slated for October 2025, our focus is firmly on delivering a robust performance in the second half of the year."
Meanwhile, Tata Motors shares slipped 2.19 per cent to close at Rs 633.30.