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Tata Motors Q4 Results 2025: Net Profit Drops 51% to ₹8,470 Cr; ₹6 Dividend Announced
📊 Key Financial Highlights
Metric | Q4 FY25 | Q4 FY24 | YoY Change |
---|---|---|---|
Revenue from Operations | ₹1,19,503 crore | ₹1,19,033 crore | 🔼 +0.4% |
Net Profit (Consolidated) | ₹8,470 crore | ₹17,407 crore | 🔽 -51.3% |
EBITDA | ₹16,992 crore | ₹16,993 crore | ➖ Flat |
EBITDA Margin | 14.2% | 14.2% | ➖ Unchanged |
Dividend Declared | ₹6 per share | ₹2 per share | 🔼 3x |
Note: All figures are consolidated and unaudited.
🧾 What’s Driving the Numbers?
1. Jaguar Land Rover (JLR)
Despite a 1.1% increase in JLR sales, overall revenue growth was modest at 0.4% YoY. The EBIT margin stood at 10.7%, meeting the full-year target of 8.5% for FY25. Reuters
2. Cost Management
The company achieved a 2% reduction in overall expenses, including a 1.6% drop in raw material costs, aiding in offsetting weaker domestic demand. Reuters
3. Domestic Performance
In India, both Passenger Vehicles (PV) and Commercial Vehicles (CV) segments saw volume declines of approximately 6% and 3% YoY, respectively. However, CV EBITDA margins expanded by 90 basis points, while PV margins remained stable at 7.3%. mint
💸 Dividend Announcement
Tata Motors’ Board has recommended a final dividend of ₹6 per equity share (face value ₹2), representing a 300% payout for FY25. Subject to shareholder approval at the upcoming AGM, the dividend is slated for payment on or before June 24, 2025.
📉 Market Reaction
Despite the dividend announcement, Tata Motors’ stock closed 1.8% lower at ₹707.90 on the BSE ahead of the results. Business Today
🧠 EduInvesting Takeaway
While the significant drop in net profit raises concerns, the company’s ability to exceed expectations and maintain a robust dividend payout indicates resilience. The improved margins in JLR and effective cost management are positive signs. Investors should monitor upcoming developments, including the planned demerger and its potential impact on the company’s structure and performance.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult with a financial advisor before making investment decisions.