Tata Motors shares rise on strong Land Rover sales
Tata Motors shares rose around 3 percent on Thursday morning as investors cheered the strong growth at its British luxury Jaguar Land Rover unit in November.
December 13, 2012 / 15:31 IST
Moneycontrol Bureau
Tata Motors shares rose around 3 percent on Thursday morning as the British Jaguar Land Rover unit shrugged off the slowdown in key markets to report strong growth.Sales at JLR, which accounts for a majority of Tata Motors' profits, last month increased 14 percent year-on-year to 29,893 vehicles, helped by continued demand for the Evoque SUV. The company is also banking heavily on the new Range Rover, whose deliveries begin from Jan, to drive sales next year."November sales increased in almost every major market with sales up in China (43 percent), Asia Pacific (26 percent), the UK (15 percent) and Europe (12 percent)," it said. Ramp up in production at the Halewood plant in UK, which is now running on a three shift basis, also helped increase sales of the Freelander and Evoque, according to Angel Broking. However, in North America, sales were down 7 percent, which the company attributed to increased competition and model year changeover effects.Jaguar's total sales in November also fell 5 percent to 4,031 vehicles as customers postponed purchases in anticipation of the introduction of the new 2013 XF and XJ models across most markets towards the end of the year.Land Rover sales were up 17 percent to 25,862 units.Over the past 11 months (Jan-Nov), JLR sales have accelerated 32 percent to 3.24 lakh vehicles. At 10:00 hrs, Tata Motors shares were up 2.7 percent at Rs 283.85 on NSE. Angel Broking has a "buy" rating on the stock with a target of Rs 319. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
