Moneycontrol Bureau
Shares of Tata Motors fell 3.9 percent intraday Thursday on consistent weakness in Jaguar Land Rover (JLR) August sales.
"Jaguar Land Rover, the UK's leading manufacturer of premium luxury vehicles, reported August 2015 retail sales of 29,327 vehicles, down 3 percent year-on-year," said the subsidiary of Tata Motors.
Land Rover sales declined 5 percent to 23,992 vehicles while Jaguar sales grew by 5 percent to 5,335 vehicles during the same period.
Jaguar sales were boosted by all-new XE sports saloon, introduced in May, along with the F-TYPE.
Year-to-date sales growth in Europe was 19 percent, 18 percent in UK and 14 percent in North America, whilst China was down 29 percent and the overseas region down 11 percent.
Sales in China were down due to slowing economic conditions, model transitions of Range Rover Evoque & Discovery Sport, run out phase of Jaguar XF & XJ in advance of upcoming launches, and Tianjin port explosion on August 12 (which affected up to 5,800 imported Jaguar Land Rover vehicles).
JLR targets retail sales of around 500,000 units in CY15 which implies around 26 percent growth in the remaining four months of CY15 (around 49,500 units per month).Nomura says this is a challenging target. It has maintained buy rating on the stock with a target price of Rs 502. At 09:37 hours IST, the scrip of Tata Motors was quoting at Rs 335.90, down Rs 9.00, or 2.61 percent on the BSE.Posted by Sunil Shankar Matkar
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