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JLR Cuts Margin Guidance for FY26 on US Tariff, China Market Slowdown
The New Indian Express Vellore
|June 17, 2025
TATA MOTORS' British subsidiary Jaguar Land Rover has projected that its operating profitability would suffer in 2025-26 and that its free cash flow would take a big hit due to US tariff hikes and a slowdown in the Chinese market.
JLR, which contributed 71% to Tata Motor's total revenue and 79% to its total operating profit in FY25, has guided for operating profit margin in the range of 5-7%, which is lower than 8.4% it recorded in the last fiscal, as it would face higher tariffs in its biggest market i.e North America. The carmaker's long-term vision is to reach a 15% operating profit margin.
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