Tata Motors widens investment outlay to Rs 43,000 Cr for FY25
Jaguar Land Rover will get the maximum share of Tata Motors' Rs 43,000 crore investment outlay.
Tata Motors group has raised its investment outlay for FY25 to Rs 43,000 crore for new products and technologies, with its British arm Jaguar Land Rover absorbing the maximum share, according to a senior company official.
In FY24, Tata Motors group had given a guidance of £3 billion investment for Jaguar Land Rover (about Rs 30,000 crore) and Rs 8,000 crore for Tata Motors—a total of about Rs 38,000 crore.
"Investment by JLR ended at £3.3 billion (more than Rs 33,000 crore), and Tata Motors did more than Rs 8,200 crore. So, the total we ended was at about Rs 41,200 crore investment in FY24," Tata Motors Group CFO PB Balaji said in an earnings conference.
Coming to FY25, he said, for JLR, the investment will be "more like £3.5 billion, broadly Rs 35,000 crore, because all the product plans we had are coming together (next year)".
He further said, "There is a phasing issue we are dealing (with), and these products have to (be) launched on time".
For Tata Motors, Balaji said, "We will repeat the Rs 8,000-odd crore range. So, JLR is about 6% increase and Tata Motors is flat. So, that's how the investment is (for FY25)".
He said the investment is "all about products and technologies" for JLR and Tata Motors.
Elaborating on the new product launch programme, Jaguar Land Rover CFO Richard Molyneux said, "FY 2026 is the year when our new product starts to hit. We will have Range Rover BEV in the market by then and other products as well. At that point in time, we start to replace some of the vehicles on which we make less money with brand-new vehicles, which normally helps EBIT levels".
Edited by Kanishk Singh