Tata Motors PV Q2 Results: Profit Sees Exponential Surge On Rs 2,600-Crore Exceptional Gain; Revenue Falls 14%

Tata Motors Ltd. reported 200 times rise in net profit for the second quarter of the fiscal year 2026, according to an exchange filing on Friday. This was the first earnings the company posted following the demerger of its passenger vehicle and commercial vehicle businesses.

The net profit in the July-September period stood at Rs 76,170, whereas the company had posted a profit of Rs 3,446 crore in the year-ago period. The company saw an exceptional gain on disposal of discontinued operations worth Rs 82,616 crore after the demerger with Tata Motors Commercial Vehicles.

There was also an exceptional item of Rs 2,608 crore. This includes Rs 840 crore in employee separation cost and Rs 2,008 crore in cyber related incident of supplier claim.

After the adjusted one-time gain and the adjusted loss for the Tata Motors commercial vehicles business the company posted a loss of Rs 3,838 crore.

Similarly in the fourth quarter of the previous fiscal, there are an exceptional loss of Rs 31 crore, which takes the profit to Rs 3,490 crore.

The earnings before interest, taxes, depreciation and amortisation loss came in at Rs 1,043 crore.

The revenue, however, has fallen 13.5% for the quarter at Rs 72,349 crore compared to Rs 83,656 crore in the previous year.

Tata Motors PV Q2 Highlights (Consolidated, YoY)

• Revenue down 13.5% at Rs 72,349 crore versus Rs 83,656 crore.

• Ebitda swung to a Loss of Rs 1,043 crore versus a Profit of Rs 9,478 crore.

• Net Profit up significantly at Rs 76,170 crore versus Rs 3,446 crore

• Exceptional Gain of Rs 2,608 crore recorded in Q2.

The performance was impacted significantly by the cyber incident at JLR, the company said in an exchange filing. The revenue from JLR was down 24.3% in the quarter ended September, while Ebit margins were won 1,370 basis points.

JLR's EBIT guidance has been revised to 0% -2% for fiscal 2026.

Tata Motors PV added that the focus is on stabilising production and increasing resilience throughout the extended supply chain.

Domestic performance was steady during the quarter but rebounded post GST reductions. The company's vahan registration market share stood at 12.8% in the fourth quarter, while EV Vahan market share was at 41.4%.

"“It has been a difficult period for the business. However, we are committed to emerging from the cyber incident even stronger. With the demerger completed, both JLR and domestic PV businesses are well poised to leverage the significant opportunities provided by this exciting industry," said PB Balaji, Group Chief Financial Officer, Tata Motors.