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Tata profit soars on back of JLR

2014-02-11 09:07

STAR PERFORMER: Tata Motors' net profit has increased substantially thanks to its luxury brand sales of the new Range Rover and Jaguar’s F-type (above) Image: Jaguar

NEW DELHI, India - In 2008 Indian automaker Tata Motors bought Land Rover and Jaguar to save the two luxury brands. Now, those two brands have saved the mother ship as the company reported tripled quarterly net profit.

They must be doing something right after all or perhaps its thanks to most of the extra income originating from sales of the new Range Rover and Jaguar F-Type.

Jaguar Land Rover has been a subsidiary of the Indian carmaker Tata Motors since 2008.

Tata, recovering from the apparent suicide of its managing director Karl Slym who was driving the firm's attempted domestic turnaround, said consolidated net profit soared to the equivalent of R8.56-billion in the three months to December 2013 from a third of that figure a year.

The surging performance, Tata said, was attributable to "strong demand, growth in volumes and a favourable product mix" at Jaguar Land Rover (JLR).

JLR's profit more than doubled to the equivalent of R11.2-billion.

Slym was struggling to put the domestic operations of Tata Motors back on the road to profit when he fell to his death from a Bangkok hotel in January 2014. JLR has separate management.

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