Jaguar Land Rover books GBP1.04bn fiscal year profit

Champagne corks should be popping just about now at Jaguar Land Rover HQ after Tata Motors’ annual results for fiscal 2010-11 included, to quote the statement: "strong profitability, with healthy volumes..., net revenue of GBP9,906m ($US16,169m) and a profit after tax of GBP1,043m ($1,702m)".

JLR unit volumes rose 26% to 243,621 versus 193,982 in the previous fiscal year, due to "improved market conditions, better market mix with strong growth in China, continued strong response to product introduction including the [redesigned] XJ and Land Rover models and favourable exchange rates".

The announcement coincided with completion of the first Indian-assembled Freelander 2 at a Tata plant on the outskirts of Pune, with Jaguars scheduled to follow later.

JLR earlier this month completed the issue of seven- and 10-year bonds totalling GBP 1bn.

The Tata Motors group itself saw global sales grow 24.2% to pass 1m mark in fiscal 2010-11 with revenue up 33.1% to INR123,133 crores [123 trillion, $26.9bn; GBP16.5bn] and pre-tax profit up 196.3% to INR10.4trillion.

Global wholesale unit volume, including Jaguar Land Rover, rose 24.2% to 1,080,994 units with commercial vehicles accounting for 512,731 and passenger vehicles 568,263.

After-tax profit was INR9,274 crores [INR92.7bn; $2.04bn;GBP1.25bn), up from INR25.7 crores the previous year.

Tata Motors’ sales (including exports) of commercial and passenger vehicles rose 25.2% to 836,629 units.