Jaguar Land Rover Reports Sharp Q2 Sales Decline Following Cyber Attack

Jaguar Land Rover Automotive plc has reported significant declines in both wholesale and retail sales for the second quarter of fiscal year 2026, with the company citing a cyber incident that disrupted production throughout September as a major factor in the downturn.

The British luxury automaker, a wholly owned subsidiary of Tata Motors Limited, reported wholesale volumes of 66,165 units for the quarter ending September 30, 2025, representing a 24.2% decrease compared to the same period last year. Retail sales including the Chery Jaguar Land Rover China joint venture totaled 85,495 units, down 17.1% year-on-year.

The company's performance was impacted by three primary factors: production stoppages resulting from a cyber incident that began in early September, the planned discontinuation of legacy Jaguar models ahead of new launches, and the continued effect of incremental US tariffs on JLR's American exports. CEO Adrian Mardell noted that the company's performance had been robust and aligned with expectations during July and August before the cyber incident occurred.

The production disruption affected all major markets, with the UK experiencing the steepest decline at 32.3%, followed by China at 22.5%, Europe at 12.1%, MENA at 15.8%, North America at 9.0%, and Overseas markets at 4.1%. The UK market was particularly impacted by both the cyber incident and the Jaguar model wind-down, while China saw reduced domestically produced vehicle sales partially offset by increased imports.

Despite the challenges, JLR maintained its focus on premium models, with Range Rover, Range Rover Sport, and Defender accounting for 76.7% of total wholesale volumes during the quarter. This represented a slight decrease from 77.2% in the previous quarter but an increase from 67.0% in the same period last year, reflecting the company's strategy of prioritizing its most profitable models.

On October 7, JLR announced a phased restart of its manufacturing operations, beginning with the Wolverhampton engine production plant, followed by facilities in Nitra, Slovakia, and Solihull in the UK. Mardell thanked customers, suppliers, employees, and retailers for their support during the recovery period, stating that "our recovery is firmly underway."

JLR is scheduled to release its complete financial results for the second quarter of fiscal year 2026 in November 2025. The company is pursuing its Reimagine strategy, which aims to achieve carbon net zero status across its supply chain, products, and operations by 2039, with plans to introduce electric models across its Range Rover, Discovery, and Defender collections before the end of the decade, while Jaguar will transition to an entirely electric lineup.