Tata Motors PV Q2 results: Net profit rises multi-fold to Rs 76,170 crore on one-time gain

Tata Motors PV Q2 results: Net profit rises multi-fold to Rs 76,170 crore on one-time gain

Tata Motors Passenger Vehicles (PV) posted a record net profit of ₹76,170 crore for Q2 FY26, a multi-fold increase driven by a one-time gain from the demerger of its commercial vehicle business.​

Key Highlights of Q2 Results

• The ₹76,170 crore net profit is primarily attributed to an exceptional gain of ₹82,616 crore from the disposal of discontinued operations linked to the demerger, and not core business operations.​

• In the same quarter last year, Tata Motors PV reported a consolidated net profit of ₹3,446 crore, showing a more than 2,100% YoY jump due to this exceptional item.​

• Total revenue from operations declined 13–14% YoY to around ₹71,714–₹72,349 crore, impacted by weak global demand and supply chain issues, most notably a cyber incident at Jaguar Land Rover (JLR).​

• EBIT for the PV segment fell to a loss of ₹4,900 crore, highlighting ongoing operational and international challenges despite strong domestic sales and electric vehicle growth.​

Details of “One-Time Gain”

• The exceptional gain of ₹82,616 crore was recognized following the demerger of the commercial vehicles business, creating a large surge in the quarter’s profit.​

• This gain is accounting-related and does not alter Tata Motors PV’s net worth or its operational earnings; it is excluded from earnings-per-share (EPS) calculations for clarity.​

• After adjusting for this one-off item and losses from discontinued operations, the underlying business saw much smaller profits or operating losses in Q2.​

Management Outlook

• Management emphasized the focus on stabilizing production, increasing supply chain resilience, and driving demand for both passenger vehicles and EVs.​

• The outlook for the second half of FY26 includes improved domestic PV demand and further strategic initiatives, although international headwinds persist from the cyber incident and JLR’s performance.