Tata Motors Faces Profits Slump Amid Geopolitical Challenges

On Wednesday, Tata Motors saw a decline in its stock performance, with shares dropping by over 1% following the company's report on a significant profit slump. The firm disclosed a 51% decline in consolidated net profit for the March quarter, attributed to lower volumes and operating leverage challenges.

The auto giant's stock value settled at Rs 699 on the BSE, after hitting a low of Rs 686 during intra-day trading. On the NSE, it closed at Rs 700.20 per share. The reported net profit fell to Rs 8,556 crore, compared to Rs 17,528 crore in the same period last year, as stated in a regulatory filing.

Despite a marginal increase in total revenue, rising from Rs 1,19,033 crore to Rs 1,19,503 crore, Tata Motors faces a complex operating environment due to tariffs and geopolitical tensions. For the fiscal year 2024-25, consolidated net profit stood at Rs 28,149 crore, with total revenue at Rs 4,39,695 crore.

(With inputs from agencies.)