Tata motors shares erase early gains; close in negative zone

The auto major had reported a net loss of Rs 187.7 crore during the July-September period of the previous fiscal. It also expects most of the issues concerning the commercial vehicle segment to be resolved in the next three months if the present trend of improvement in demand continues, P B Balaji, Group Chief Financial Officer, Tata Motors, said on Tuesday.


PTI | New Delhi | Updated: 28-10-2020 19:28 IST | Created: 28-10-2020 19:28 IST
Tata motors shares erase early gains; close in negative zone
  • Country:
  • India

Shares of Tata Motors on Wednesday erased all its early gains and closed nearly 1 per cent lower as investors resorted to profit-taking. During the early trade, it had jumped nearly 6 per cent after the company said it expects gradual recovery of demand and supply in the coming months.

Defying disappointing earnings in the September quarter, the stock opened with a gain and rose by 5.49 per cent to Rs 143.15 on BSE after favourable management commentary. But later it witnessed profit-taking and closed at Rs 134.80, down 0.66 per cent. On NSE, it dipped 0.66 per cent to settle at Rs 134.75 after rising 5.60 per cent to Rs 143.25 during the day.

On Tuesday, Tata Motors reported a consolidated net loss of Rs 307 crore for the September quarter due to the pandemic, but it expects gradual recovery of demand and supply in the coming months. The auto major had reported a net loss of Rs 187.7 crore during the July-September period of the previous fiscal.

It also expects most of the issues concerning the commercial vehicle segment to be resolved in the next three months if the present trend of improvement in demand continues, P B Balaji, Group Chief Financial Officer, Tata Motors, said on Tuesday. "As we look ahead, we see demand gradually improving. In the case of JLR, we see demand picking up in all the geography we operate under and we expect continued performance improvement in JLR as the quarter and year progress.

"At Tata Motors, we see passenger vehicles gradually returning back to growth, and we are also seeing an increase in market share as the supply chain issues start sorting out. Overall, we expect the second half of the year to be even stronger compared to the first half of the year," Balaji had said..

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Give Feedback