Jaguar Land Rover Targets $2.3 Billion Savings as Tata Motors Profit Falls

Jaguar Land Rover plans to achieve 1.7 billion pounds ($2.3 billion) in cost savings over the next two years after its parent company, Tata Motors, reported a steep decline in quarterly profit. The automaker has faced multiple challenges over the past year, including U.S. tariff pressures, weak demand in China, a cyberattack that disrupted production, and a recent supplier fire.

For fiscal year 2026, JLR posted a 20.9% drop in revenue to 22.9 billion pounds, while profit before exceptional items fell sharply to 14 million pounds. The company’s EBIT margin, a key measure of operating profitability, declined by 780 basis points to just 0.7%, reflecting mounting cost pressures and softer global demand for luxury vehicles.

Meanwhile, Tata Motors Passenger Vehicles reported a 31.7% fall in quarterly profit to 57.83 billion rupees for the quarter ended March 31. JLR, which contributes nearly 80% of Tata Motors’ overall revenue, said it will maintain its planned investment of 18 billion pounds over the five-year period beginning fiscal 2024 despite the current headwinds.

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