Tata Motors Q1FY23 Results: Loss widens by 384.7% to ₹5,006.6 Cr QOQ, Cash Flow fall 46.15% although EV business grew 444% YoY

Free cash flow (automotive) in the quarter, was negative at ₹ 9.8 K Cr (as compared to negative ₹ 18.2K Cr in Q1FY22), primarily due to working capital impact of ₹8.9 K Cr. Posted highest ever EV sales at 9,310 units in Q1; Market Share stood at 88%

Tata Motors
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Tata Motors Group (Tata Motors) is a $37 billion organisation. It is a leading global automobile manufacturing company. Its diverse portfolio includes an extensive range of cars, sports utility vehicles, trucks, buses and defence vehicles and Electric Vehicles.

The company has posted its Q1FY23 financial results on 27th July, 2022, the details are as below :

(I) Unaudited Consolidated Financial Results for Quarter Ended (QOQ comparison):

The company has reported, a consolidated Total Income of ₹72,822.02 crore in the quarter ended on June 30, 2022 as against ₹79,341.61 crore in the last quarter ended on Mar 31, 2022, decreased by 8.21%.

The company has posted a consolidated Net Loss of ₹(5,006.60) crore in the quarter ended on March 31, 2022 as against loss of ₹(1,032.84) crore in the previous quarter ended on June 30, 2022. The PAT swung to Net Loss, widens by 384.74%.

The status of the EPS of Tata Motors stood at ₹(13.07) as on March 31, 2022 compared to the previous quarter ended on June, 2022 which was ₹(2.70), down by 384.07%.

₹*June 30, 2022 (Q1FY23)Mar 31, 2022 (Q4FY22)
Total Income72,822.0279,341.61
Total Expenses77783.6978968.90
PBT /(Loss)(3468.05)(341.10)
Total Tax /(credit)1518.96758.22
PAT /(Loss) [to the owners](5,006.60)(1,032.84)
*figures are in Crores

(II) Unaudited Consolidated Financial Results for Quarter Ended (YoY comparison):

The company has reported, a consolidated Total Income of ₹72,822.02 crore in the financial year ended on June 30, 2022 as against ₹66,988.05 crore for the same quarter ended on last year June 30, 2021 that increased by 8.71%.

The company has posted a consolidated Net Loss of ₹(5,006.60) crore in the financial year ended on June 30, 2022 as against loss of ₹(4,450.92) crore for the same quarter ended on last year June 30, 2021. The PAT surges to Net Loss, widens by 12.48%.

The status of the EPS of Tata Motors stood at ₹(13.07) as on June 30, 2022 compared to the quarter ended on last year June 30, 2021 which was ₹(11.62), down by 12.47%.

₹*June 30, 2022 (Q1FY23)June 30, 2021 (Q1FY22)
Total Income72,822.0266,988.05
Total Expenses77783.6969,569.21
PBT /(Loss)(3468.05)(2578.64)
Total Tax /(credit)1518.961741.96
PAT /(Loss) [to the owners](5,006.60)(4,450.92)
*figures are in Crores
Tata Motors

(III) Key Highlights about the Performance :

  • JLR (Jaguar Land Rover) Revenue £ 4.4b, down 11.3%, EBITDA at 6.3% (-270 bps), EBIT at -4.4% (-350 bps)
  • Tata CV (COMMERCIAL VEHICLES) Revenue ₹ 16.3KCr, up 107.2%, EBITDA at 5.5% (+430 bps), EBIT at 2.8% (+690 bps)
    • Q1 revenue at ₹ 16.3KCr, (+107%), EBITDA 5.5% (+430 bps), EBIT 2.8% (+690 bps), PBT (bei) 0.3 K Cr.
    • Q1 Tata CV global wholesales stood at 103.7K units (+100.3%).
    • Q1 CV domestic wholesales at 95.9 K units (+124%), domestic retails at 90.5K units in (+119%).
    • Domestic CV market share at 42.5% in Q1’FY23 (-240 bps vs FY 22); expect to improve in coming quarters.
    • TML Smart City Mobility Limited incorporated for undertaking mass mobility under an own, operate and maintain mode.
    • Q1 FCF negative at ₹ (4.1)K Cr, primarily due to adverse working capital
Tata Motors EV Business

  • Tata PV(PASSENGER VEHICLES) and EV (Electric Vehicle)
    • Revenue ₹ 11.6 K Cr, up 122.5%, EBITDA at 6.1% (+200 bps), EBIT at 0.9% (+750 bps)
    • Q1 revenue at ₹ 11.6KCr, (+122%), EBITDA 6.1% (+200 bps), EBIT 0.9% (+750 bps), PBT (bei) breakeven.
    • Q1 Tata PV global wholesales at 130.4K units (+102%).
    • Q1 PV domestic wholesales at 130.1 K units (+102%), domestic retails at 124.8K units (+ 132%).
    • Q1 EV (Electric Vehicle) volumes highest at 9.3 K units (+444%). EV penetration at 7%.
    • 14.3% market share in Q1FY23; PV and EV business grew by 102% and 444% YoY respectively.
    • Posted highest ever EV sales at 9,310 units in Q1; Market Share stood at 88%
    • the company delivered ~100 electric buses in Q1, Cumulative ~715 e-buses running on Indian roads with cumulative coverage of less than 40million Kms
    • FCEV Bus order from IOCL under execution and first milestone completed successfully
    • Forayed into cargo E-mobility with launch of ACE EV. MOU for ~39K units from marquee Ecommerce customers signed
    • CNG penetration increased to 11% in Q1 FY23. Tiago and Tigor CNG well received by the market.
    • Domestic PV market share strengthened further by 220 bps to 14.3% in Q1 FY23.
    • EV Fleet segment witnessed strong demand, signed MOU with Lithium Urban Technologies for 5,000 EVs, BluSmart Electric Mobility for 10,000 XPRES T EVs.
    • Q1 FCF positive at ₹ 1.2KCr. Cash profits funding investments.
  • Free Cash Flows
    • Free cash flow (automotive) in Q1FY23, was negative at ₹ 9.8 K Cr, as compared to negative ₹ 18.2K Cr in Q1FY22, primarily due to working capital impact of ₹8.9 K Cr. Cash flow declined by 46.15% YoY.
Tata Motors Q1FY23 Results – Free Cash Flows

  • the Industry continued recovery and grew by 114% in Q1 against Q1 last year
  • Led by pricing and cost actions, EBIT improved by 690 bps over Q1 FY22 and 240 bps over FY22(full year)*
  • Consistent growth in Spare and Service penetration, helped grow Non-vehicle business gross revenue up by 75% in Q1FY23 against Q1 last year
  • 15+ new products & 25+ variants launched in Q1, including ACE EV

Shares of Tata Motors Ltd was last trading in BSE at ₹443.95 as compared to the previous close of ₹441.05. The total number of shares traded during the day was 548553 in over 8930 trades.

The stock last hit in BSE,

  • Intraday High of ₹ 44.95
  • Intraday low of ₹ 436.00