JLR reported revenues of £6.2 billion and a pre-tax loss before exceptional items of £273 million with 2.6% negative EBIT margin for the quarter.
"Given the muted demand scenario and the associated impact on the financials, Jaguar Land Rover has concluded that the carrying value of capitalized investments should be adjusted down, resulting in a non-cash £3.1 billion pre-tax exceptional charge and an overall pre-tax loss of £3.4 billion for the quarter", said Tata Motors in a statement. The firm sold 144,602 vehicles between October and December 2018, down from 154,447 in the same period of the previous year.
In a filing to the BSE, the automaker said its performance was impacted by challenging market conditions particularly in China and inventory corrections. Its heavy production presence in the United Kingdom exposes it to a disorderly Brexit, the likelihood of which has risen over the past few weeks, Fitch Ratings said this week.
Jaguar Land Rover has fallen to its biggest-ever quarterly loss after slumping sales of its cars in China and the falling appetite for diesel models forced it to slash the value of its assets by more than £3bn.More news: Actor Albert Finney Dies Aged 82
Speth said: "This is a hard time for the industry but we remain focused on ensuring sustainable and profitable growth and making targeted investments that will secure our business in the future". We continue to work closely with Chinese retailers to respond to current market conditions.
"We are taking the right decisions to prepare the company for the new technologies and strong product offensive that will enable a long term future of sustainable profitable growth". It delivered £500m of the programme in the third quarter.
The company announced last month that it would reduce its global workforce by 4,500 people.
Auto manufacturers across the world are facing many challenges, from the transition to electric vehicles, Brexit uncertainty and regulatory pressure on demand for diesel.More news: Top Virginia Democrats imperiled by blackface, sex assault scandals
FILE PHOTO: The 2017 Land Rover Discovery is pictured at the 2016 Los Angeles Auto Show in Los Angeles, California, U.S November 16, 2016.
Total investment spending for the quarter was £1bn.
On a standalone basis, Tata Motors posted PAT of Rs 617.62 crore as against Rs 211.59 crore in the year-ago quarter.
Dr Speth added: "This is a hard time for the industry, but we remain focused on ensuring sustainable and profitable growth, and making targeted investments, that will secure our business in the future".More news: Popular iPhone Apps Including Expedia and Abercrombie & Fitch Secretly Record Users' Screens