Tata Motors shares surge 5% as earnings beat estimates
Mumbai: Shares of Tata Motors today soared by 5 per cent in morning trade on the bourses after the company's results beat market estimates. After making a strong opening, shares of the auto major further gained 5 per cent to Rs 319 on the BSE, in an overall flat stock market. similarly, at the NSE, the stock was up 5 per cent at Rs 319.10.
The bellwether scrip was the top gainer on both the key indices – Sensex and Nifty during the morning trade.
"For Q4 FY13, Tata Motors consolidated performance was better-than our as well as street expectations on all broader fronts, as strong operating performance from JLR offset soft performance at standalone business and other subsidiaries," Angel Broking said in a report.
The British subsidiary Jaguar Land Rover came to the rescue of parent Tata Motors yet again, helping it to report a profit of Rs 3,945.5 crore in the January-March quarter, which was also aided by favourable exchange rates, record sales in China and some one-time tax gains.
The auto major's March quarter net profit was, however, down 37 per cent over Rs 6,234 crore posted a year ago, but better than what most analysts had expected.
A 21 per cent spike in sales in China helped the marquee brand JLR report a 17 per cent year-on-year growth. For the full year (FY13), China notched up 48 per cent rise in sales, making it the single largest market for JLR.
Consolidated income from operations was Rs 56,001.64 crore in the quarter under