Tata Motors profit rises but below market expectations

Tata Motors profit rises but below market expectations

Tata Motors is one of the leading automobile manufacturers in the Indian market. They just recently announced their decision to manufacture the ambitious Rs. 1 lakh car and the manufacturing base for this car would be based in West Bengal.

Tata Motors has also just come out with their revenue reports and they have come out with a lower-than-expected 17 percent rise in quarterly net profit.

The company has suffered due to the increased costs of raw materials. This has resulted in lower margins for the company leading to lower than expected profits from the sales of their cars in the Indian market.

The company also controls around 60 percent of India’s $5 billion truck and bus market. Tata Motors reported that its net profit rose to 4.58 billion rupees in the fiscal fourth quarter to March from 3.9 billion a year earlier. Market analysts had expected them to come out with figures of 5.03 billion rupees.

Tata Motors’ Finance Director Praveen Kadle said in a statement on these results: “We are living in uncertain times, and there are some question marks related to oil prices, interest rate movements and volatile input costs.”