India’s Tata Motors reported wider losses for the July-September quarter on Tuesday(27) as the coronavirus pandemic hammered demand in domestic and international markets.
The Mumbai-headquartered firm, which owns British luxury brand Jaguar Land Rover (JLR), announced a consolidated net loss of Rs 3.14 billion ($42.61 million) for the quarter ending September 30 against a loss of Rs 2.17bn a year earlier.
JLR sales were down nearly 12 per cent compared to the same period the previous year as the virus crisis and uncertainty over Brexit weakened demand.
Tata Motors’ revenues fell by 18.2 per cent to Rs 535.3bn, the firm said.
The company said however that it expected sales to improve as lockdowns ease and supply chain bottlenecks are removed.
“We remain hopeful for a full recovery… by end of this fiscal year aligned to the overall improvement in the economy”, chief executive Guenter Butschek said in a statement.
Indian carmakers were struggling with low demand due to an economic slowdown and lack of liquidity through 2019, before the virus and a months-long lockdown dealt a sharp blow to Asia’s third-largest economy.
Tata Motors shares closed 1.5 per cent higher in Mumbai ahead of the earnings announcement.