77
Notice
Directors’ Report
(69-103)
Management Discussion & Analysis
Corporate Governance
Secretarial Audit Report
FINANCIAL PERFORMANCE ON A
CONSOLIDATED BASIS
The financial information discussed in this section is derived from
the Company’s Audited Consolidated Financial Statements.
Tata Motors Group primarily operates in the automotive segment.
The acquisition of JLR enabled the Company to enter the premium
car market. The Company continues to focus on profitable growth
opportunities in global automotive business, through new products
and market expansion. The Company and JLR, continue to focus
on integration, and synergy through sharing of resources, platforms,
facilities for product development and manufacturing, sourcing
strategy, mutual sharing of best practices.
The business segments are (i) automotive operations and (ii) all
other operations. The automotive operations include all activities
relating to development, design, manufacture, assembly and sale
of vehicles including financing thereof, as well as sale of related
parts and accessories. The Company provides financing for vehicles
sold by the dealers in India. The vehicle financing is intended
to drive sale of vehicles by providing financing to the dealers’
customers and as such, is an integral part of automotive business.
Automotive operations segment accounted for 98.9% and 98.8% of
total revenues in FY 2013-14 and FY 2012-13, respectively. For FY
2013-14, revenue from automotive operations before inter-segment
eliminations was
`
231,601.80 crores compared to
`
187,623.91crores
for FY 2012-13.
The automotive operations segment is further divided into Tata
Motors and other brand vehicles (including spares and vehicle
financing) and Jaguar Land Rover. (A reference may be made to
review of performance of TML and Jaguar Land Rover business as
discussed above). For FY 2013-14, Jaguar Land Rover contributed
82.2% (72.9% for FY 2012-13) of the total automotive revenue
(before intra segment elimination) and the remaining 17.8%
(27.1% for FY 2012-13) was contributed by Tata and other brand
vehicles. Revenue and segment results for automotive operations
are given below:
Total Revenues
(
`
in crores)
FY 2014-13
FY 2012-13
Tata vehicles / spares and financing
thereof
41,299.44
50,895.05
Jaguar and Land Rover
190,378.50 136,822.17
Intra-segment eliminations
(76.14)
(93.31)
Total
231,601.80 187,623.91
Segment results before other income, finance cost, tax and exceptional
items
Tata vehicles / spares and financing
thereof
(966.93)
1,753.59
Jaguar and Land Rover
24,561.20
14,975.61
Intra-segment eliminations
-
-
Total
23,594.27 16,729.20
The other operations business segment includes information
technology, machine tools and factory automation solutions, and
investment business. For FY 2013-14, revenue from other operations
before inter-segment eliminations was
`
2,518.99 crores compared
to
`
2,265.92 crores for FY 2012-13. Segment results before other
income, finance cost, tax and exceptional items (before inter-
segment eliminations) were
`
282.66 crores as compared to
`
375.68
crores for FY 2012-13.
The revenue from operations net of excise duty on a consolidated
basis has grown by 23.3% in FY 2013-14 to
`
232,833.66 crores. The
increase is mainly attributable to growth in automotive revenue
mainly at Jaguar Land Rover business. The analysis of performance
on consolidated basis is given below:-
Percentage to Revenue from operations
FY 2013-14
FY 2012-13
Revenue from operations net of excise
duty
100
100
Expenditure:
Cost of material consumed (including
change in stock)
61.7
63.6
Employee Cost
9.3
8.8
Manufacturing and other expenses (net)
18.8
18.9
Amount Capitalised
(5.8)
(5.4)
Total Expenditure
84.0
85.9
Other Income
0.4
0.4
