India’s Tata Motors is back in the black after rising demand for the Land Rover and Jaguar cars, as well demand in India for Tata products. The Tata group posted an overall profit of $543 million, compared to last year’s loss of $535 million. Tata was able to beat analyst expectations of a $321 million profit, thanks in part to Jaguar and Land Rover raking in their own profit of $46 million.
Land Rover recently fired 2,200 workers and hired a new manager away from General Motors Europe to help them back on the road to profitability. However, analysts are still skeptical about the economic conditions in Europe, and whether they are conducive to a recovery for the British luxury maker.
“Europe is in doldrums and that is a big worry for Tata Motors since it is a big market for Jaguar Land Rover,” said Umesh Karne, an analyst at BRICS Securities Ltd in Mumbai. “Until Europe stabilizes, Jaguar Land Rover will be under pressure.”
[Source: Automotive News]