Tata Motors Group announced audited standalone and consolidated financial results for the fourth quarter (Q4 FY25) and full financial year ended March 31, 2025.
For FY25, the consolidated revenue was ₹439.7 thousand crore, with the highest ever annual PBT (before exceptional items) at ₹34.3 thousand crore.
Consolidated automotive free cash flow (FCF) for Q4 FY25 was strong at ₹19.4 thousand crore, leading to a full-year FCF of ₹22.4 thousand crore. The company achieved its deleveraging commitment, ending FY25 with net auto cash of ₹1.0 thousand crore.
Jaguar Land Rover (JLR) achieved its best full-year profit in a decade, delivering on its EBIT margin target of ≥8.5%. For FY25, JLR reported revenue of £29.0 billion and PBT (bei) of £2.5 billion. Q4 FY25 PBT (bei) was strong at £875 million. JLR generated £1.5 billion in free cash flow for FY25 and ended the year with a net cash balance of £4.6 billion.
JLR addressed the new US trading terms, noting a UK-US trade deal on 8 May 2025, which included a tariff-rate quota of 100,000 car exports from the UK to the US per year at a 10% rate, reduced from 27.5%. Defender and Discovery sales from Slovakia remain subject to 27.5% tariffs.
Tata Commercial Vehicles (CV) delivered over ₹1 billion EBITDA in FY25, sustaining strong ROCE. For FY25, CV revenue was ₹75.1 thousand crore, with EBITDA margin at 11.8% and PBT (bei) at ₹6.6 thousand crore. The business achieved its highest ever absolute EBITDA and PBT (bei) in FY25. For FY26, the focus is on sustaining momentum, winning back SCV market share, ensuring smooth transition to AC regulation in trucks, and continuing to deliver double-digit EBITDA margins and strong cash flows/ROCE.
Tata Passenger Vehicles (PV) maintained a Vahan market share of 13.2% in FY25, with alternative powertrains (CNG & EVs) growing to 36% penetration. For FY25, PV revenue was ₹48.4 thousand crore, EBITDA margin was 6.9%, and PBT (bei) was ₹1.1 thousand crore. Despite volume decline, EBITDA margins improved by 40 bps in FY25. For FY26, the focus is on regaining growth momentum with a refreshed product portfolio, strengthening the EV portfolio, enhancing customer experience, expanding the sales network, and accelerating cost reduction.
Corporate Actions:
The Board recommended a final ordinary dividend of ₹6 per share (300% of face value) for FY25, subject to shareholder approval. The resultant cash outflow would be ₹2,209 crore.
Update on Demerger: Shareholder approval was secured on 6 May 25. The Appointed Date is July 1, 2025, and the Effective Date is expected to be October 1, 2025. Operational separation activities are progressing as planned.
Production Linked Incentives (PLI): Received ₹142 crore claim for FY24 and accrued income of ₹385 crore for FY25.
Merger of Tata Motors Finance Limited (TMFL) with Tata Capital Limited concluded, with the Appointed Date for the scheme being April 1, 2024. Prior period income statements have been restated to exclude TMFL's performance.
Outlook: The company expects the operating environment to remain uncertain due to tariffs and geo-political factors but believes the global premium luxury segment and Indian domestic markets are relatively better positioned. Focus remains on executing growth strategy, serving customers, maintaining cost/cash vigilance, and investing in the future to achieve consistent, competitive, cash-accretive growth and strong returns.