Mumbai, February 5, 2026 — Tata Motors Passenger Vehicles Limited (TMPVL) reported a turbulent but telling Q3 FY26, where a cyber incident hangover at its British luxury arm Jaguar Land Rover (JLR) pressed the financial brake pedal, even as the domestic passenger vehicle and EV business kept its foot firmly on the accelerator. The result: a quarter that looked like a split-screen — stormy overseas, sunny at home.
On a consolidated basis, TMPVL posted revenue of ₹70.1K crore, down 25.8% year-on-year, with EBITDA at ₹1.5K crore. Profit before tax (before exceptional items) came in at a loss of ₹3.1K crore, while free cash flows turned negative at ₹17.9K crore, largely due to JLR-related disruptions and working capital pressures. Net debt stood at ₹39.4K crore at the end of December 2025.
Or in simple automotive terms: one division hit a digital pothole, the other found a freshly paved expressway.
JLR: Cyber Shock, Model Transition and Tariff Headwinds Stall the Quarter
JLR’s Q3 numbers carried the after-effects of the earlier cyber incident, which disrupted production and global vehicle distribution schedules. Revenue for the quarter fell to £4.5 billion, down 39.4% year-on-year. EBITDA margin shrank to 0.7%, while EBIT margin slipped to -6.8%. Loss before tax (before exceptional items) stood at £310 million.
Production normalized by mid-November, but the delay in global dispatches, combined with:
- Planned wind-down of legacy Jaguar models ahead of the new-generation launch
- Weakening market conditions in China
- Incremental US tariffs
- Higher marketing and incentive spends
all added extra weight to the balance sheet gym session nobody asked for.
Free cash outflow for the quarter was £1.5 billion. Still, JLR closed with total liquidity of £6.6 billion, including undrawn credit lines and facilities — essentially, a well-stocked financial toolkit for the repair job.
On the brighter side, the brand kept its halo polished:
- New Jaguar prototype rides drew strong global media response
- Range Rover SV Black made a high-luxury splash in the US
- Defender won the Dakar Rally Stock Class on debut — proving that while spreadsheets slipped, suspension travel did not
Leadership reaffirmed FY26 EBIT margin guidance of 0–2% and expects a significantly stronger Q4 as volumes normalize.
Tata Passenger Vehicles: Record Volumes, Strong Growth, EV Muscle
Back home, Tata’s passenger vehicle and EV business delivered a quarter that can only be described as “numbers with chest day done properly.”
Q3 FY26 highlights for the India PV + EV business:
- Revenue at ₹15.3K crore, up 24% YoY
- EBITDA margin at 7.0%
- EBIT margin at 1.2%
- PBT (before exceptional items) at ₹0.3K crore
- Free cash flow positive at ₹0.3K crore
Quarterly volumes reached 171,000 units (+22% YoY) — the highest ever — while retail sales crossed 200,000 units for the first time.
Market and product momentum highlights:
- Vahan market share rose to 13.8%, securing #2 position for the quarter
- EV market share climbed to 43.6% with record registrations
- Powertrain mix stayed diverse and healthy: EV at 14%, CNG at 28%
- Tata.ev crossed 250,000 cumulative EV sales
And product action came thick and fast:
- All-new Sierra launch triggered over 70,000 Day-1 booking confirmations
- Harrier and Safari petrol introduced with the new 1.5L Hyperion Turbo-GDi engine
- New Punch rolled out in “Command Max” avatar
- XPRES re-entered fleet space with petrol and twin-cylinder CNG
Margins saw sequential improvement too, with EBITDA and EBIT margins up over 100 basis points quarter-on-quarter, helped by volumes and incentives.
Management Speak: Pain in Q3, Punch in Q4
Company leadership acknowledged the tough quarter but sounded confident about the rebound story already underway.
Finance leadership noted that the quarter’s weakness was largely anticipated due to the JLR cyber incident carryover, while domestic operations showed clear QoQ strength in revenue and margins. With JLR production normalized and domestic demand healthy, management expects a sharp Q4 recovery.
Passenger vehicle leadership highlighted record wholesales and retails, strong GST 2.0 demand tailwinds, and blockbuster response to new launches like Sierra and the refreshed Punch. With deliveries ramping up and a strong pipeline ahead, growth momentum is expected to accelerate into FY27.
The Road Ahead: From Recovery Mode to Launch Mode
While global demand conditions remain mixed and geopolitics continues to behave like an unpredictable traffic signal, TMPVL says it is stepping up brand actions, cost programs, and product offensives — especially at JLR — to restore margins and cash flows.
If Q3 was the unexpected speed breaker, Q4 is being billed as the smooth flyover.
And if the order books — especially for Sierra — are any indication, the showroom may be busier than the finance team’s calculator very soon.
| Q3 FY26 | Consolidated (₹ Cr, Ind AS) | Jaguar Land Rover (£m, IFRS) | Tata Passenger Vehicles (₹Cr, Ind AS) | ||||
| FY26 | Vs. PY | FY26 | Vs. PY | FY26 | Vs. PY | ||
| Revenue | 70,108 | (25.8)% | 4,538 | (39.4)% | 15,317 | +24.0% | |
| EBITDA (%) | 2.2 | (1120) bps | 0.7 | (1350) bps | 7.0 | (80) bps | |
| EBIT (%) | (4.7) | (1290) bps | (6.8) | (1580) bps | 1.2 | (50) bps | |
| PBT (bei) | (3,136) | ₹(9,242) Cr | (310) | £ (833) mn | 302 | +₹13 Cr | |
| YTD FY26 | Revenue | 230,135 | (14.0)% | 16,042 | (24.5)% | 39,723 | +10.6% |
| EBITDA (%) | 3.9 | (920) bps | 3.6 | (1040) bps | 5.8 | (80) bps | |
| EBIT (%) | (2.3) | (930) bps | (2.9) | (1070) bps | (0.2) | (90) bps | |
| PBT (bei) | (4,648) | ₹(23,100) Cr | (444) | £ (2,058) mn | 334 | ₹(357) Cr | |
