Tata Motors' India operations turn debt-free after record year

Delivering its highest ever revenues, profits, and free cash flows during FY24, Mumbai-based Tata Motors' India operations have turned debt free, even as it hopes to become automotive net free on a consolidated basis in the current fiscal year.

PB Balaji, Group Chief Financial Officer, Tata Motors, said in a statement: “It is pleasing to report the FY24 results during which Tata Motors Group delivered its highest ever revenues, profits, and free cash flows." The India business is now debt free, and we are on track to become net automotive debt free on a consolidated basis in FY25. The businesses are executing well on their distinct strategies and therefore, we are confident of sustaining this strong performance in the coming years."

Tata Motors, on a consolidated basis, reported revenues of Rs 437.9K crore in FY24, an all-time high EBITDA of Rs 62.8K crore,the highest ever PBT of Rs 28.9K crore (+ Rs 27.1K crore over the previous year) and net profit of  Rs 31.8K crore (+ Rs 29.1K crore over the previous year). The strong performance has also helped to recognize a deferred tax asset of Rs 8.3K crore at JLR and Tata Motors.

In Q4 FY24, Tata Motors delivered a strong performance with revenue of Rs 120.0K crore (up 13.3%), EBITDA of Rs 17.9K crore  (up 26.6%) and EBIT of Rs 11.0K crore  (+ Rs 3.8K crore ) with all three auto businesses delivering a strong performance. PBT (bei) stood at  Rs 9.5K crore  (+ Rs 4.4K Cr) and net profit was  Rs 17.5K Cr (+ Rs 12.0K Cr). Net automotive debt reduced further to  Rs 16.0K Cr.

"We remain cautiously optimistic on domestic demand over the full year and expect H1 to be relatively weaker. The premium luxury segment demand is likely to remain resilient despite emerging concerns on overall demand. Despite this, we are confident of delivering a strong performance in FY25" the company said in a statement.