Tata Motors dips 2 per cent after JLR sales plummet
Jaguar Land Rover sales dropped by 4.9 per cent (YoY) to 36,629 units in the month of August. Consequentially, in the Monday morning trade, the stock of Tata Motors witnessed a 2 per cent drop. The stock reported an intraday high of Rs. 276.30 and an intraday low of Rs. 272 per share.
Although the sales for the month of August witnessed a fall, JLR’s retail sales went up by 7.7 per cent at 11,802 units on a year-on-year basis. The UK contributed to 64.9 per cent of the retail sales while the overseas markets, North America and Europe contributed 20.2 per cent, 2.5 per cent and 3.1 per cent respectively.
In an exchange filing, the company observed that despite the unsettled condition of the Chinese market on account of tariff changes and trade tensions, the reduction in duty on UK imports from 25 per cent to 15 per cent is likely to prove beneficial for the company over the year.
Retail sales of JLR documented at 24,827 vehicles, were down 9.9 per cent in comparison to the August 2017 figures. This was because the surge in sales of the Velar and the refreshed Range Rover were offset by the plummeting sales of Range Rover Evoque and Discovery Sport in China. The concerns over diesel and Brexit continue to pervade the industry in the UK and Europe market, despite UK’s encouraging sales stats in August, reported a company official.
The stock witnessed over a 9 per cent surge in the last month alone, while it was up 3 per cent in the last three days.