Tata Motors experienced a remarkable surge in its stock, soaring by almost 8% on Monday morning following the release of the company's robust financial results for the December 2023 quarter. The automotive giant reported a substantial two-fold increase in net profit, reaching an impressive ₹7,100 crore.
Investor enthusiasm propelled Tata Motors' stock to a historic high of ₹949.60 on the Bombay Stock Exchange (BSE), making it the standout performer among the BSE Sensex firms. This surge marked a significant milestone for the company, which had last posted a net profit of ₹3,043 crore during the same period a year ago, signalling a remarkable turnaround.
The stellar financial performance was underlined by a 25% year-on-year increase in revenue, amounting to ₹1,10,600 crore for the third quarter of the fiscal year. In a statement released on Friday, Tata Motors expressed confidence in the future, stating, "We remain positive on all three auto businesses. We expect the performance to further improve in Q4 (March quarter) on account of seasonality, new launches, and improving supplies at JLR."
Furthermore, the company highlighted its commitment to financial discipline, noting a net debt reduction of ₹9,500 crore during the December quarter.
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