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56
Sixty-Seventh Annual Report 2011-2012
reported a Profit After Tax of
`
240 crores in FY 2011-12. Tata
Motors Finance Limited announced their maiden dividend of
5% per equity share for FY 2011-12.
VEHICLE SALES AND MARKET SHARES
TheTataMotors Group
sales stood at 12,69,483 vehicles, higher
by 17.7% over the previous year. Global sales of all commercial
vehicles were at 5,99,913 units, while global sales of all passenger
vehicles were at 6,69,507 units.
TataMotors
The Company recorded sales of 8,63,248 vehicles, a growth of
10.9% over the previous year, in the Indian domestic market.
With the industry growing at a moderate 7.2%, the improved
sales resulted in an increase in the Company’s market share
from 24.3% to 25.2%, in the Indian industry. The Company
exported 63,105 vehicles from India, against 58,089 vehicles
exported last year.
CommercialVehicles
Within the domestic market, the Company continued to
strengthen its presence in commercial vehicles, with sales of
5,30,204 units, growing 15.7% from the previous year - an all-
time high for the Company. This represented a market
leadership share of 59.4% in the domestic CV market.
Some of the highlights for the year were:
Sales in the LCV segment continued to drive performance,
growing by a healthy 23.5% during the year to 323,118
units. The ramp up of micro-trucks -
Ace Zip
and
Magic Iris
continued, contributing to the growth in this segment
alongwith the traditional
Ace
and
Magic
family. The
Dharwad plant for the manufacture of the
Zip
and
Iris
was
commissioned as scheduled and started operations from
February 2012. However, as competition intensified, the
market share dipped to 59.4% from 62.1% last year. The
new generation
Tata Ultra
range of trucks was displayed at
the Auto Expo and is expected to further drive growth in
this segment.
pressure on margins. Additionally, the need to increase
marketing expenses to protect and grow market share have
resulted in EBITDA margins reducing from 10.2% to
8.1%. During the year, there was an impact of
`
585 crores
of exceptional items on account of exchange loss (net)
including on revaluation of foreign currency borrowings,
deposits and loans arising from the depreciation of Indian
Rupee and provision for impairment made for certain
investments. The Profit Before Tax and Profit After Tax for the
fiscal were lower at
`
1,341 crores and
`
1,242 crores, as compared
to
`
2,197 crores and
`
1,812 crores in the previous
year, respectively.
Jaguar Land Rover
continued its growth in expandingmarkets,
including a 76% year-on-year increase in China retail sales. The
strengthening of business in China is expected to make it the
largest market for Jaguar Land Rover within the next 12months.
Jaguar Land Rover also improved performance in more mature
economies, where, despite uncertain trading conditions, it
increased sales in all major markets.
Jaguar Land Rover recorded a turnover of
`
1,03,635 crores, a
growth of 47.4% from
`
70,304 crores in the previous year.
Volume growth was driven not only by new vehicle launches in
the year, but also by increasing sales of existing models.
Profitability growth was also benefitted from favourable
exchange rates. The positive impact of the strengthening
US$ against the GB£ and the Euro, improved revenues given a
largely GB£ and Euro cost base. Fur ther, cost efficiency
improvements in material costs and manufacturing
costs supported improvement in operational performance.
These resulted in a higher EBITDA and Profit Before Tax
of
`
17,035 crores and
`
11,820 crores respectively, as
compared to
`
11,478 crores and
`
7,665 crores, respectively in
the previous year. The EBITDA margin for FY 2011-12 is 16.3%.
After recognition of previously unrecognised tax losses of
`
1,794 crores the Profit After Tax was higher at
`
12,279 crores,
as compared to
`
7,073 crores in the previous year.
TataMotors Finance Limited
, the Company’s captive financing
subsidiary, registered net revenues of
`
2,018 crores and