The company’s passenger and commercial vehicle sales are declining, with its British crown jewellery Jaguar Land Rover facing threats to increase U.S. tariffs.
Even a few years ago, its territory is now competing with challenges in electric vehicles through companies such as JSW MG Motor India Private Ltd, Mahindra and Mahindra Ltd, and Hyundai Motor India Ltd.
According to Choice Equity Broking’s April 2, the market share of the Tata Motors market fell from 73.5% in March 2024 to 38.3% in March 2025.
In the entire passenger car market, Tata Motors ceded the ground of Mahindra, which surpassed the company’s second position in the entire automotive market in April 2025.
Total passenger car sales during the period fell 6% from 155,651 units to 146,999 units. The 109,439 units fell 3% from 109,439 units to 105,643 units in the same period last year.
Chandresekaran, chairman of Tata Motor’s board, may face some tough problems. One of them is how they plan to win growth?
Jaguar Land Rover contributed 69% to Tata Motors’ overall profits in fiscal 24, and things have looked bright over the past few months.
The company was able to record 14.4% growth in North America between January and March. But the dream will end soon.
During the first month of fiscal 2026, JLR did not export any vehicles to the United States. It decided to resume exports in May. The company may gain some benefits due to lower tariffs on the US-UK trade agreement.
However, with the tariff reduction limit for all UK players is 100,000 cars, the benefits may not be much for Tata Motors’ international subsidiary.
In this background, Mint Five things highlighted, which will be the key, and announced revenues from Tuesday, May 13, between January and March, as the company is about to complete its 80-year operation.
Tata Auto’s revenue
According to estimates by three analysts, the company’s revenue will rise by 2.7% in the last quarter of fiscal year 2025 to ₹1.22 trillion.
However, the company may face challenges in margins. “Tata Motors are likely to witness a 120bps contraction, led by global headwinds that affect the JLR space,” EBITDA (earnings before interest, taxes, depreciation and amortization) had a profit margin of 14.2% in the fourth quarter.
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A light profit
According to the average estimated by three analysts, Tata Motor’s profitability could increase slightly by 1% to reach ₹78 billion. Grow one-time ₹It recognized 83 billion tax deferred assets in the fourth quarter of 2024, which boosted its profits to ₹1.75 billion.
The combined profit will help by delaying adoption of Jaguar Land Rover’s electric vehicle platform. “JLR EBIT margin is 10.3% on better operating leverage, and JLR EBIN is 10.3% as the company expands its current platform with delays in the EV program,” an analyst at HDFC Securities wrote in an April 11 note.
Electric Vehicle Plan
As competitors shut down the company’s leadership in the electric vehicle sector, management’s comments on how to protect its turf will be closely watched.
During the January-March period, its electric vehicle sales in the international and domestic markets fell 23% to 15,936 units.
With Maruti Suzuki’s new launch in the current fiscal, the market will be more difficult for electric vehicle leaders.
Comments about the transition of Jaguar to all electric positioning will also be noticed. In a meeting with analysts in March, Tata Motors’ management raised concerns about a slowdown in the global electric vehicle market, which could force the company to extend the life of its internal combustion engine platform.
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Demand prospects
Maruti Suzuki has marked the slowing signs on the country’s auto market, but Mahindra and Mahindra are still optimistic about customer sentiment.
Now, investors will be watching comments managed by Tata Motors, as the industry is expected to grow 1-2% in the current fiscal year.
Tata Electric also faces a slowdown in the commercial vehicle market, with competition about to increase after Mahindra’s acquisition of SML Isuzu. Over the next five years, the Mahindra-SML portfolio will focus on more than 10% of the truck and bus market, which will also challenge Tata Motors’ growth.
JLR’s headwind
JLR, the biggest contributor to Tata Automobile’s profits, faces multiple headwinds. In the last quarter, its sales fell nearly 30% in the Chinese market, but Europe and North America remain strong.
However, U.S. President Donald Trump’s decision to impose a 25% tariff on all automatic imports, which could endanger JLR’s growth. North America accounted for the second highest sales of its fiscal year 2024, accounting for 94,994 of its total 431,733 units.
While a trade deal between the UK and the US has the potential to alleviate some pain as 100,000 vehicles imported from the UK lower tariffs to 10%, the outlook for growth in the US market is severely limited.
Management’s plan to navigate the headwind will be key to tracking during the post-result revenue call.
Tata Motors’ shares rose 1.5% on the National Stock Exchange on Monday. ₹719.70 in a strong market.
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