Tata Motors Braces for Profit Dip in Q4 FY25 Amid Volume Slowdown

Mumbai-based auto giant

rs is slated to release its Q4 FY25 earnings report today, May 13th, and analysts anticipate a significant drop in net profit. According to a Moneycontrol poll of five brokerage firms, the company's net profit is projected to plummet by approximately 58 percent year-on-year to ₹7,361 crore, a stark contrast to the ₹17,495 crore reported in the same period last fiscal year. While revenue is expected to see a marginal 1.1 percent increase to ₹1,21,345 crore, this growth appears muted due to anticipated volume slowdowns across key segments. The company's standalone commercial vehicle (CV) business is predicted to experience a 5 percent year-on-year revenue decline. Furthermore, the passenger vehicle (PV) segment, known for models like the Nexon, is also expected to register a high single-digit drop in revenue. Adding to the challenges, the performance of Tata Motors' luxury car unit, Jaguar Land Rover (JLR), is also projected to see a dip, with analysts forecasting a 3 percent year-on-year decrease in revenue. The anticipated pressure on margins is another key concern. Weak operating leverage, stemming from the volume slowdown, is likely to contribute to this squeeze on profitability. Investors will be keenly watching the company's official report for insights into how these factors have impacted Tata Motors' financial performance in the final quarter of the fiscal year.