Tata Motors-owned Jaguar Land Rover (JLR) has reported profit before tax in the quarter ended 30 September (Q2 FY25) at GBP398m, down from GBP442m in the same quarter of last year.
Q2 FY25 Revenue was posted at GBP6.5bn (-5.6%) with EBITDA 11.7% (-320 bps) and EBIT at 5.1% (-220 bps).
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JLR said profitability was impacted due temporary aluminium supply constraints and a hold placed on 6,029 vehicles for additional quality control checks. It said production and wholesale volumes are ‘expected to recover strongly in H2’.
Last month, JLR said production in the second quarter (Q2 FY25) was restricted to around 86,000 units, down 7% compared to the same quarter a year ago, as a result of supply disruptions from a ‘key high‑grade aluminium supplier that affected multiple OEMs’.
Floods in Switzerland during the summer disrupted flat-rolled aluminium production at Novelis. The company notified its automotive customers of a ‘force majeure event’ that had forced it to shut down its plant in late June.
Full year JLR issued guidance for revenue is unchanged at c. £30 billion, alongside EBIT margin ≥8.5% and the company achieving a positive net cash position.
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By GlobalDataJLR said over 2,900 orders taken for recently launched Defender OCTA, retailing at GBP145,000.
Also, it said new Range Rover Electric continues to generate strong global interest, with over 48,000 signed up to the waiting list.
Also, 11,000 Range Rover SV and Range Rover Sport SV models have been sold since launch, including the new Range Rover Sport SV Edition Two, launched in Q2 FY25, and a collection of five Range Rover Sport SV Celestial models retailing at c. GBP215,000.
EV investment
JLR said that more than GBP250m has been invested to date – of a total GBP500 million planned – for electric vehicle production at the UK Halewood facility, including several kilometres of new EV production lines and automated robots
EPMC in Wolverhampton is now producing new V8 engines to offer Range Rover and Range Rover Sport customers ‘the full range of ICE, PHEV and BEV powertrains in line with client demand.’
Adrian Mardell, JLR CEO said: “JLR has delivered a resilient performance in Q2, resulting in a 25 per cent increase in first half profits year-on-year. Our teams responded brilliantly to the aluminium supply shortages we experienced in the quarter, so we could deliver as many orders as possible to clients. We continue to make good progress delivering our Reimagine strategy. We have invested GBP250m so far to prepare our Halewood UK plant for electric vehicle production and with strong global demand for our products, we are well positioned to deliver on our commitments again this financial year.”
