Tata Motors (NYSE:TTM) earnings for the company’s fiscal fourth quarter of 2020 have TTM stock dropping lower on Monday. This comes after reporting revenue of 62,493 rupees.
Let’s take a closer look at the most recent Tata Motors earnings report below.
- Revenue reported during the quarter was down 28% compared to the same time last year.
- Jaguar Land Rover revenue for the quarter was £5.4 billion, which is a 24% decrease year-over-year.
- Tata Motors stand alone revenue for the period was 9,733 rupees, which is a 48% drop from the same period of the year prior.
- The company attributes this decline to the negative impact of the novel coronavirus on sales.
- It saw Jaguar Land Rover retail unit sales decline 12% to 508,700 for fiscal 2020.
- Net revenue for Jaguar Land Rover also dropped 5% to £23 billion during the fiscal year.
Guenter Butschek, CEO of Tata Motors, said this in the earnings report.
“The auto industry faced strong headwinds in FY20 amidst a slowing economy due to multiple factors – liquidity crisis, high fuel prices, changes in axle load norms and BS6 transition, all leading to weak consumer sentiments and subdued demand across segments. Disruption in the supply chain induced by the pandemic and the nationwide lockdown in mid-March 2020 added to the problems.”
Tata Motors doesn’t provide financials for its fiscal Q1 2021 guidance. However, it’s not looking good. The company is expecting further declines during the quarter as it feels the full weight of the coronavirus pandemic.
TTM stock was down 5.1% as of Monday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.