Tata Motors Q4 results: Net profit declines 51% to ₹8,556 cr, income flat

Tata Motors Q4 results: Net profit declines 51% to ₹8,556 cr, income flat

Tata Motors reported a consolidated net profit of ₹8,556 crore in the fourth quarter of financial year 2024-25, this marks a decline of 51.2 per cent from last year's Q4 result of ₹17,528 crore.

The automaker has declared total income of ₹121,012 crore in the Q4 FY25, the company had reported ₹120,431 crore total income in the corresponding quarter of previous financial year.

The Q4 EBITDA came in at ₹16,700 crore, down 4.1 per cent, while EBIT rose to ₹11,500 crore, that’s ₹1,000 crore increase Y-o-Y.

The company’s board of directors have recommended a final dividend of ₹6 per share subject to approval by the shareholders.

The company anticipates the luxury automobile segment will navigate global economic challenges with relative ease. “Tariffs and related geo-political actions are making the operating environment uncertain and challenging. The global premium luxury segment and Indian domestic markets are expected to weather this relatively better.” Tata Motors said in an exchange filing.

PB Balaji, group chief financial officer (CFO), Tata Motors said, “Despite external headwinds, Tata Motors sustained its strong performance in FY25, delivering its highest ever revenues and PBT(bei). On a consolidated basis the automotive business is now debt-free, reducing interest costs. In this environment of heightened uncertainty, we will remain agile, proactively drive our growth agenda, reduce our cash breakeven further whilst continuing to invest in our future.

“With the shareholders also approving the demerger, we are on track to realise the full potential of each of the businesses,” the CFO said.

In FY25, Tata Motors Limited (TML) reported record revenues of ₹4,39,700 crore, with EBITDA at ₹57,600 crore. The company posted its highest-ever profit before tax (before exceptional items) at ₹34,300 crore, a rise of ₹5,000 crore over the previous year, and recorded a net profit of ₹28,100 crore. During the year, the TML Group became net auto cash positive, ending with a net cash balance of ₹1,000 crore. ''Lower depreciation and amortisation at JLR, better CV profitability and savings in interest cost were partially offset by lower volumes and lower operating leverage.'', the company said.