Tata Motors shares slumped nearly 4 per cent on Tuesday on account of a sharp slowdown in sales volume of the automaker’s British Jaguar Land Rover subsidiary. Tata Motors gets over 90 per cent profit from Jaguar Land Rover.
In April, JLR’s retail volumes grew by 11 per cent year-on-year, as compared to the average 25 per cent volume growth JLR clocked in the previous six months.
After US, JLR sales are also slowing down in the key China market, where volume grew by 10 per cent in April as compared to 43 per cent in March. JLR volume in China grew at a subdued 10 per cent despite a weak base, analysts noted.
Tata Motors shares closed 3.6 per cent lower at Rs 388.95 as compared to 0.3 per cent gain in the Nifty. Tata Motors DVR, or shares with differential voting rights, closed 2.9 per cent lower at Rs 281. Tata Motors was also the top Nifty loser today