Tata Motors July 2025 Sales Dip 4% While EV Sales Hit Record High

Mumbai, 1 August 2025 – Tata Motors Ltd (NSE: TATAMOTORS) reported total sales of 69,131 units in July 2025, marking a 4% year-on-year decline from 71,996 units in July 2024. The fall was primarily attributed to a drop in passenger vehicle volumes, though gains in commercial and electric vehicle sales helped cushion the overall slide.

Commercial Vehicle Sales Grow 7% in July 2025 Backed by 17% ILMCV Surge and 57% Export Jump

The commercial vehicle (CV) division posted a 7% YoY increase, with 28,956 units sold in July 2025, up from 27,042 units in July 2024. This growth was led by ILMCV trucks, which surged 17% YoY to 5,068 units. Additionally, international CV sales saw a sharp 57% rise to 2,524 units, aided by steady demand for heavy commercial vehicles.

Passenger Vehicle Sales Drop 11% as 12% Domestic Fall Offsets Export Growth

Passenger vehicle (PV) sales declined 11% YoY to 40,175 units in July 2025, compared to 45,007 units in July 2024. The drop was largely due to a 12% decline in domestic PV volumes, which stood at 39,521 units. However, international PV sales soared 186% YoY to 654 units, partially softening the domestic weakness.

EV Sales Hit All-Time Monthly High at 7,124 Units, Up 42% YoY

Electric vehicle (EV) sales surged 42% YoY to a record 7,124 units in July, covering both domestic and export markets. Tata Motors hailed this figure as “our highest ever monthly EV sales,” underlining its momentum in the zero-emission space and reflecting growing consumer demand for sustainable mobility.

CV and EV Strength Help Offset Overall Volume Dip Amid Evolving Market Dynamics

Despite a decline in total volumes, the company’s robust CV sales and record-setting EV numbers highlight its shift towards future-ready vehicles. Demand from international markets across both CV and PV categories also helped mitigate the domestic slowdown, reinforcing Tata Motors’ strategic resilience.

Tata Motors Continues to Lead Indian Auto Industry with Expanding EV Focus

As a flagship of the Tata Group, Tata Motors operates across commercial, passenger, and electric segments through subsidiaries Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd. The automaker remains a key player in India’s evolving mobility ecosystem and a publicly listed entity on both the NSE and BSE.

Quarterly Net Profit Falls 51.3% Even as Annual Revenue Grows 0.5%

For Q4 FY25, Tata Motors posted consolidated revenue of ₹1,21,012 Cr, down 0.4% YoY, with net profit at ₹8,470 Cr, down 51.3% YoY. For the full fiscal year ending March 2025, revenue rose 0.5% to ₹4,45,939 Cr, while net profit declined 11.4% to ₹27,830 Cr. Automotive operations contributed 87.1% of total sales.

Key Financial Metrics Show Profit Pressure Amid Scaling Efforts

Tata Motors’ market capitalisation stood at ₹2,38,888 Cr, with a trailing twelve months (TTM) P/E ratio of 10.5. TTM revenue growth was 1.1%, while net profit dropped 27.3%, and quarterly profit declined 51.3% YoY. The operating profit margin was 14.1% for the quarter and 13.1% TTM. Institutional holdings fell to 34.41%, with sector and Nifty50 relative returns at –9.2% and –0.2%, respectively.

Tata Motors Shares Drop 2.44% on Weak PV Update Despite EV Momentum

On 1 August 2025, Tata Motors stock closed at ₹649.70, down ₹16.25 (2.44%). The day’s trading saw the stock open at ₹667.95 and touch a low of ₹647.00. The decline followed subdued investor sentiment after the weak domestic PV numbers, though the market acknowledged strong EV performance.

Mixed Signals for Investors Despite Record EV Sales and CV Strength

Despite weak domestic PV sales raising short-term concerns, Tata Motors’ strong EV performance, growing commercial vehicle numbers, and increasing international sales offer optimism. Record-high EV volumes and strategic export growth highlight future strength. While investors reacted cautiously, the long-term outlook remains positive, underscoring Tata Motors’ resilience and future readiness in key growth segments.

REF:https://nsearchives.nseindia.com/corporate/TATAMOTORSSJS_01082025135601_NSEBSELETTER.pdf

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