Tata Motors is the bright shinning star currently; from its close of Rs,.636.80, it opened almost 4% higher at Rs.661, rising further to Rs.665.45, which is not too far from its 52-week high of Rs.677.90.
Tata Motors DVR on the other hand, rose over 4% to hit a new 52-week high today at Rs.449.65.
This all over cheer on the Tata Motors counter is on account of its exuberant earnings posted for Q2FY24.
The company posted a 32% (YoY) rise in consolidated revenue from operations at Rs.1,0,128 crore and on this, it reported a net profit of Rs.3832 crore v/s net loss of Rs.898 crore.
EBITDA for the quarter came in at Rs.13,767 crore, up 147% while margins doubled up from 6.99% to 13.1%.
The sentiments on the counter were buoyed despite the return-to-black being below most analysts expectations because its more optimistic forward looking statements. The company said that its performance in H2FY24 would be much stronger, driven mainly by a healthy order book. Its expects margins at its largest division Jaguar Land Rover (JLR) to improve and raised JLR's full-year EBIT margin forecast to around 8% from 6%; it was at 7.3% in current Q2.
The company has signed an MoU with LJR’s EMA platform for development of premium pure electric vehicles under the 'Avinya' series. This is the mid-size pure electric SUV, designed for the global market and scheduled for launch in 2025.