The consolidated profits of Tata Motors are actually down and its standalone net profit has risen. Yet the stock is amongst the top gainers on the BSE today and there is a lot of cheer around for its Q4FY17 performance. This optimism despite lower numbers is because even they have beaten all estimates – all analysts had estimated a fall; that was a given but beating those estimates is what has spurred on the investors.

This time too, needless to say, it is JLR which propelled the consolidated numbers. Call it the lower base effect, sequentially, the rise is spectacular. Its EBITDA was up by a smart 125% at Rs.10,846 crore and this was helped mainly by JLR; the UK subsidiary reported a whopping 156% jump at Rs.5,903 crore. The JLR business showed a strong retail sales, up 13.0% y-o-y on continued strong demand for the product, revenue (in £) up 10.1% y-o-y ; its higher wholesale volumes were partially offset by overall higher marketing expenses and higher depreciation and amortization. On the other hand, standalone business saw a de-growth in the M&HCV segment and LCV segment partially offset by growth in Passenger vehicle segment.

For the quarter ended March 31, 2017, Tata Motors reported consolidated revenues (net of excise) of Rs.77,272 crore, down 3% (YoY). Consolidated revenues for the quarter are lower by Rs.9,032 crores due to translation impact from GBP to INR. Net profit was at Rs.4336 crore, down 17% and it was lower by Rs.747 crores, due to translation impact from GBP to INR.

The impact of the inventory it held on account of BS-III standard vehicles was to the tune of Rs.150 croe, over and above the hit it took on account of the discounts given to sell the stock before 29^th March deadline.