Tata Motors Q3 net profit soars 41 per cent on JLR sales

Tata Motors on Tuesday reported a stronger-than-expected 40.51 per cent jump in consolidated net profit to Rs 3,406 crore for the quarter ended December 2011, as strong sales at Jaguar Land Rover more than made up for weakness in its home market.

Stocks of the company jumped to an all-time high on the bourses after the news.

Tata Motors had posted a net profit of Rs 2,424 crore in the corresponding period last financial year.

Rising demand for luxury models, especially in China and other emerging markets, has swelled Tata's profits over the past few quarters as demand for cars waned in India.

The consolidated revenue during the third quarter also increased by 43.95 per cent to Rs 45,260 crore from Rs 31,442 crore in the year-ago period, it added.

Revenue at Jaguar Land Rover rose nearly 41 percent to 3.75 billion pounds, the company said, led by surging demand for its new Range Rover Evoque SUV.

Tata, which also makes the ultra-cheap Nano, bought Jaguar Land Rover in 2008 from Ford Motor Co for $2.3 billion.

Shares of the company jumped 5.36 per cent to Rs 272.10 apiece - their highest level since December 2010 - before closing up 3.7 per cent at Rs 267.95.

With inputs from agencies