Tata Motors shares surge after Q3 results

Business

oi-Sneha

By Sneha B K

Published: Wednesday, February 15, 2012, 14:08 [IST]

Shares of auto major, Tata Motors surged on Wednesday after it posted a 44% growth in net profits on the back of growth in volumes, improved product and market mix.

Shares of the company were trading higher at Rs 287.45 up by Rs 19.55 or 7.30%.

On Tuesday, the company reported revenue growth of 44% at Rs 45,260 for the 3rd quarter ending December 31, 2011.

Tata Motors standalone revenues was Rs.13,338 crores representing a growth of 18.2% over Rs11,280 crores reported in the corresponding period of last year.

Higher marketing spends and overall cost pressures, resulted in a reduction in the operating margins to 6.7%, and an Operating Profit (EBITDA) of Rs 897 crores in the quarter, down by 26.3% over Rs1,217 crores in the period last year.

The Consolidated Profit before Tax (PBT) for the quarter was Rs 4,494 crores, compared to Rs 2,728 crores reported in the previous year.

Tata Motors' sales of commercial and passenger vehicles for nine months FY 2011-12, stood at 640,334 units, representing a growth of 8.2% as compared to the corresponding period of last year.

In the domestic market, the Company's commercial vehicles sales for the quarter ended December 31, 2011, stood at 131,220 units, an increase of 15.5% over the corresponding period of last year.

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