Tata Motors PV Reports ₹5,531 Crore Loss in Q2FY27 Results

Tata Motors Passenger Vehicles Limited (TMPVL) reported a consolidated net loss of ₹5,531 crore for the second quarter of FY27, compared with a profit of ₹76,170 crore in the year-ago quarter. The results were impacted by exceptional charges of ₹6,738 crore, including ₹3,776 crore in employee separation costs and ₹2,856 crore in asset impairment.

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The results for the quarter ended September 30, 2026, were announced on November 13. Consolidated revenue from operations increased 34% year-on-year to ₹96,920 crore, compared with ₹72,349 crore in Q2 FY26.

However, the year-ago profit included a substantial one-time accounting gain arising from the demerger of the commercial vehicle business. On a continuing operations basis, TMPVL reported a loss of ₹5,451 crore in Q2 FY27, compared with a loss of ₹6,368 crore in the corresponding quarter last year.

Employee Separation Costs and JLR Restructuring

The exceptional charges of ₹6,738 crore primarily comprised ₹3,776 crore towards employee separation costs and ₹2,856 crore towards impairment of assets.

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A significant portion of the restructuring costs was associated with Jaguar Land Rover (JLR), the company’s British luxury vehicle subsidiary. JLR recognised exceptional charges of £530 million during the quarter, including costs related to employee separation and the write-down of intangible assets under development.

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Despite the reported loss, the company’s consolidated profit before tax and exceptional items stood at ₹403 crore.

Domestic Passenger Vehicle Business Records Revenue Growth

TMPVL’s domestic passenger vehicle business reported its highest-ever quarterly revenue of ₹20,423 crore, registering 50.9% year-on-year growth.

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However, profitability remained under pressure due to higher commodity costs and an adverse product mix. The domestic business reported an EBITDA margin of 4%, down 180 basis points year-on-year, while its EBIT margin stood at -0.3%.

At the consolidated level, EBITDA stood at approximately ₹6,000 crore, with an EBITDA margin of 6.2%, improving 630 basis points year-on-year. The EBIT margin improved 790 basis points to 1.1%.

JLR Revises FY27 Financial Outlook

JLR reported quarterly revenue of £5.89 billion, an increase of 20.3% year-on-year. Its EBITDA margin improved to 6.6%.

However, market-specific challenges, commodity cost pressures and restructuring expenses continued to affect its financial outlook.

JLR revised its full-year FY27 guidance to an adjusted EBIT margin of 2–3%, compared with its earlier expectation of approximately 4%. The company also expects free cash outflow of around £1.25 billion.

The results reflect the financial impact of JLR’s restructuring programme, including employee separation costs, even as its domestic passenger vehicle business reported strong revenue growth.