Tata Motors Ltd, formerly TML Commercial Vehicles Ltd, reported a standalone net profit of ₹2,138 crore for the September quarter, against a loss of ₹1,021 crore in the year-ago period, as revenue growth and improved operating performance helped offset commodity cost pressures.
Revenue from operations rose 41.9% year-on-year to ₹23,930 crore in Q2 FY27, compared with ₹16,861 crore in the corresponding quarter last year. Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 31.1% to ₹2,723 crore, while EBITDA margin declined 90 basis points to 11.4% in the financial results presentation.
Profit before tax and exceptional items rose 51% to ₹2,660 crore. The company reported an exceptional gain of ₹218 crore in the quarter, compared with an exceptional loss of ₹2,366 crore a year earlier.
On a consolidated basis, revenue increased 36% year-on-year to ₹25,338 crore, while EBITDA rose 31% to ₹2,770 crore. Consolidated profit after tax stood at around ₹1,300 crore, up 244% year-on-year, aided by lower mark-to-market losses on investments in Tata Capital.
Wholesales rise 42%; international business nearly triples
Total wholesales increased 42% year-on-year to 135,100 units during the quarter. Domestic and export volumes rose 30% and 177%, respectively, with international business growth supported by an Indonesia order.
The company’s domestic commercial vehicle market share stood at 36.2% for the first half of FY27, up 110 basis points from FY26. Its heavy commercial vehicle market share was 55.7%, while the small commercial vehicles and pickups segment recorded a share of 27.6%.
“Q2 FY27 marked another strong quarter in our journey of consistent, profitable growth. Wholesale volumes grew 42%, with broad-based growth across segments, reflecting healthy underlying demand and disciplined execution,” Girish Wagh, managing director and chief executive officer, said.
Wagh said infrastructure activity, stable fleet utilisation and freight demand continued to support the business, but added that growth rates were expected to moderate in the second half against a higher base. He also flagged commodity cost pressures as a continuing headwind.
Free cash flow rises; net cash at ₹11,300 crore
Free cash flow stood at ₹4,606 crore in the September quarter, an increase of ₹2,396 crore from a year earlier. The company’s net cash position reached ₹11,300 crore at the end of September.
“Despite significant commodity cost pressures, particularly in steel and rubber, we maintained margins sequentially through rigorous cost management, operating efficiencies and calibrated pricing actions,” chief financial officer G V Ramanan said.
For the first half of FY27, standalone revenue rose 33% year-on-year to ₹43,259 crore, while profit before tax and exceptional items increased to ₹4,717 crore from ₹3,392 crore in the year-ago period.