However, on a standalone basis Tata Motors still remained in the red but wit hugely narrowed losses. Revenues climbed 30% to Rs 13,400 crore, while operating profit jumped almost two times to Rs 971 crore. Tata Motor's shares posted their first gain in three days, rising 0.5 percent at the close in Mumbai.
"With our turnaround plan in full action, we are seeing encouraging results", said Guenter Butschek, managing director and CEO of Tata Motors.
The turnaround plan includes filling the product gap and customer centric initiatives, which helped it cover nearly 70 per cent of its addressable market now in the vehicle segment, cost-cutting across all areas, especially in planning and engineering, and resolving by debottlenecking suppliers side, Butschek said.
Tata Motors is a market leader in commercial vehicles in India.
The sales (including exports) of commercial and passenger vehicles stood at 152,979 units in Q2FY18, a growth of 13.8%, as compared to Q2FY17, with an impressive growth across segments - 28% in MHCV, 35% in ILCV, 38% in SCV and pick-ups.
Passenger vehicles grew 14.4 percent over the same period last fiscal. Tata Nexon, the newly launched compact SUV has received overwhelming response from the market and added to the positive excitement. The better margins were a result of higher sales of its new models, particularly Range Rover Velar.
JLR plans to launch several new products next year including the Jaguar XF Sportbrake sport-utility vehicle (SUV), the E-Pace, a compact SUV, and the I-Pace, its first electric sports auto, Speth said after the company announced a three-fold rise in profit.