Tata Final

A Project Report on
Research methodology report on
Submitted by:
Borse Makarand Mukund
for the partial fulfillment of

Bachelor of Vocation Direct – Indirect Tax [B.Voc.(DT-IDT)] Course
Under the guidance of

CMA Maithili S Malpure
KRT Arts, BH Commerce and AM Science (KTHM)

College, Nashik – 422002
2020-2021 Batch
Plastic Page
A Project Report on
Research methodology report on
Submitted by:
for the partial fulfillment of

Bachelor of Vocation Direct – Indirect Tax [B.Voc.(DT-IDT)] Course
Under the guidance of

CMA Maithili S Malpure
KRT Arts, BH Commerce and AM Science (KTHM)

College, Nashik – 422002
2020-2021 Batch
Plastic Page
Certificate by the business organization
Plastic Page
Certificate by college
Acknowledgement
I am using this opportunity to express my gratitude to everyone who supported me throughout

the course of this B.Voc.(DT-IDT) Course project. I am thankful for their aspiring guidance,
invaluably constructive criticism and friendly advice during the project work. I am sincerely grateful
to them for sharing their truthful and illuminating views on a number of issues related to the project.
I would like to thank my project external guide Mr. [SURNAME] from the [NAME]
company’s name and Ms. [SURNAME] and all the people who provided me with the facilities being
required and conductive conditions for my B.Voc.(DT-IDT) Course project.
I would like to extend my gratitude to our Principal Dr. V. B. Gaikwad Sir and Nodal Officer
Dr. N. D. Gaikwad to give this opportunity for critical and detailed study as a part of partial
completion of the B.Voc.(DT-IDT) course.
I would like to extend my thanks to our department’s faculty Mrs Priyanka Deshmukh and
CMA Maithili Malpure who not only co-operated but also extended valuable guidance, helpful
suggestion and contribution to enhance the project. Last but not least, I would like to express my
thanks to my parents, all my friends for standing by me and to all those who gave inputs in the project
work directly or indirectly.

T.Y. B.Voc.(DT-IDT) course
student
Declaration
I, undersigned, the student of T.Y. B.Voc.(DT-IDT) course, hereby declare that this
project entitled Research methodology project on Tata Motors Ltd. is genuine and analytical work
prepared by me under the guidance of CMA Maithili Malpure Mam. All the data, findings are
collected by myself.
This project is strictly undertaken as a part of academic curriculum according to the university
rules, guidelines and with no commercial interest and motives.
Date: _________ Sign of the student
Place: Nashik Borse Makarand Mukund

Contents
Chapter 1 Introduction
1.1 Intro
1.2 Objectives of study
1.3 Scope of the study
1.4 Limitations
1.5 Hypothesis
1.6 Role & responsibility of the guide person (from the organization)
1.7 Assumptions of the study
1.8 Research methodology used
Chapter 2 Company’s Profile

2.1 History of the organization
2.2 Profile of the organization
2.3 Organisation structure
2.4 Business activities conducted by the organization
Chapter 3 Conceptual Background and feasibility study

3.1 Problem identification
3.2 Various aspects related to problems
3.3 Options available for solving the problems
3.4 Feasibility of the options available
Chapter 4 Analysis and Interpretations of Financial Statements

4.1 Financial Statements
4.2 Analysis of Financial statements through comparative statements
4.3 Ratio Analysis
4.4 Graphical/ Pictorial representation of Financial statements
4.5 Graphical/ Pictorial representation of Ratios
Chapter 5 Conclusion
5.1 Conclusion
5.2 Observation and findings
5.3 Suggestions
Annexure:
Bibliography / Webliography
Chapter 1 Introduction
1. Introduction, Meaning & Definition
Introduction:
Research is a sign of intelligence. Intelligence can be defined as the adaptation
of an environment to suit needs, which is why humans can be acknowledged
as the most 'intelligent' of species.
Humans observe, identify, plan and then effect change. Humans have social
gain through information as well as resource sharing.
As apart from any other species, humans have complex language structures
and the written word to share information from one person to another.
Literate societies with well structured, permanent means of communicating
information have immense evolutionary advantage.
Humans are 'intuitive' scientists ....always asking questions and testing
theories about themselves, others, events, the environment and the world
around them.
Research is asking a question and finding out the answer…..
 It is looking into something.
 It is looking for something.
 It is comparing and contrasting things.
 It is finding out more information… it is counting things… making
enquiries… being curious… finding out what people think… finding out what
people do…. finding out what works.... finding out what doesn’t work…
finding out what people want…
Definition: Research is defined as careful consideration of study regarding a

particular concern or problem using scientific methods.
According to the American sociologist Earl Robert Babbie, “research is a
systematic inquiry to describe, explain, predict, and control the observed
phenomenon. It involves inductive and deductive methods.”
Inductive research methods analyze an observed event, while deductive
methods verify the observed event. Inductive approaches are associated with
qualitative research, and deductive methods are more commonly associated
with quantitative analysis.
Research is careful and organized study or gathering of information about a
specific topic.
Research is defined as to track down information or gain knowledge about a
specific subject.
Research is a careful and detailed study into a specific problem, concern, or
issue using the scientific method. It's the adult form of the science fair
projects back in elementary school, where you try and learn something by
performing an experiment. This is best accomplished by turning the issue into
a question, with the intent of the research to answer the question.
Research can be about anything, and we hear about all different types of
research in the news. Cancer research has 'Breakthrough Cancer-Killing Treatment
Has No Side Effects in Mice,' and 'Baby Born with HIV Cured.' Each of these began
with an issue or a problem (such as cancer or HIV), and they had a question, like,
'Does medication X reduce cancerous tissue or HIV infections?'
But all I've said so far is what research has done (sort of like saying baking
leads to apple pie; it doesn't really tell you anything other than the two are
connected). To begin researching something, you have to have a problem,
concern, or issue that has turned into a question. These can come from observing
the world, prior research, professional literature, or from peers. Research really
begins with the right question, because your question must be answerable.
Questions like, 'How can I cure cancer?' aren't really answerable with a study. It's
too vague and not testable.
Having a question creates an internal state of 'I need to know something.'
To continue the baking example, this internal state of wanting something is like
having a hankering for apple pie. Since you are reading this in a psychology
section, we will put a psychological slant on this, and hopefully lose some of the
baking metaphors.
Characteristics of research:
1. Good research follows a systematic approach to capture accurate data.
Researchers need to practice ethics and a code of conduct while making
observations or drawing conclusions.
2. The analysis is based on logical reasoning and involves both inductive and
deductive methods.
3. Real-time data and knowledge is derived from actual observations in
natural settings.
4. There is an in-depth analysis of all data collected so that there are no
anomalies associated with it.
5. It creates a path for generating new questions. Existing data helps create
more research opportunities.
6. It is analytical and uses all the available data so that there is no ambiguity in
inference.
7. Accuracy is one of the most critical aspects of research. The information
must be accurate and correct. For example, laboratories provide a
controlled environment to collect data. Accuracy is measured in the
instruments used, the calibrations of instruments or tools, and the
experiment’s final result.
2. Objectives and purpose of study
There are three main purposes:

1. Exploratory: As the name suggests, researchers conduct exploratory studies
to explore a group of questions. The answers and analytics may not offer a
conclusion to the perceived problem. It is undertaken to handle new
problem areas that haven’t been explored before. This exploratory process
lays the foundation for more conclusive data collection and analysis.
2. Descriptive: It focuses on expanding knowledge on current issues through a
process of data collection. Descriptive studies describe the behavior of a
sample population. Only one variable is required to conduct the study. The
three primary purposes of descriptive studies are describing, explaining,
and validating the findings. For example, a study conducted to know if top-
level management leaders in the 21st century possess the moral right to
receive a considerable sum of money from the company profit.
3. Explanatory: Causal or explanatory research is conducted to understand the
impact of specific changes in existing standard procedures. Running
experiments is the most popular form. For example, a study that is
conducted to understand the effect of rebranding on customer loyalty.
Research begins by asking the right questions and choosing an appropriate
method to investigate the problem. After collecting answers to your questions,
you can analyze the findings or observations to draw reasonable conclusions.
When it comes to customers and market studies, the more thorough your
questions, the better the analysis. You get essential insights into brand perception
and product needs by thoroughly collecting customer data through surveys and
questionnaires. You can use this data to make smart decisions about your
marketing strategies to position your business effectively.
We research people and their behaviour, opinions, attitudes, trends and patterns,
also politics, animals, health and illness. Research can be conducted either
informally for our own benefit, through asking questions, watching, counting or
reading and formally, for medical or academic purposes, as a marketing strategy,
to inform and influence politics and policy.
Research may be carried out in our own lives, through the media, in our place of
work, with our friends and family or through reading past research.
Our views – personal, social, community and worldwide and our own identities
are socially constructed through our own theorising.
Research gives us information about:

 Thoughts and opinions
 Attitudes
 Habits
 Culture
 Norms
 Scientific facts
 Medical information
What do we do with research?

 Have it as interesting fact
 Use it to make decisions
 Use it to persuade influence others
 Use it to affect change
 Use it to change behaviour Use it to better use…medical …improve
customer care...write better funding applications....monitor and evaluate
our provision....
We research in order to understand society and social processes, as well as to test
and or create theories in order that we are better able to inform about social
action and potentially ‘improve’ social conditions.
3. Scope of the study

The purpose of this project is to financially study company Tata Motors Limited by
doing ratio analyses and research. Both quantitative and qualitative methods
were used for this report. Qualitative methods are introduction and literature
review. Quantitative methods are analyses and charts. Information is taken from
yahoo finance for three years: 2016,2017,2018,2019,2020. This report shows
whether the changes are major or minor and the financial position of Tata Motors
Limited.
Tata Motors Limited is the major manufacturer of automotive commercial buses,
cars, and trucks and protection (Business Standard Private Ltd., n.d.). Tata Motors
Limited took over the Jaguar Land Rover business from Ford Motors in June 2008.
Jaguar Land Rover are international automobile corporations developing,
producing, and sellingluxury sedans and sports cars, and premium Landrover, all-
terrain vehicles, and related parts.(Tata Motors Limited). The corporation became
the first car firmfromIndia to belisted on the New York stock exchange in
September 2004. (Tata Motors Limited). Tata Motors' sudden drop in
pricewasparadoxical as mostobserversstill assume the worth of their stock, the
assumptionthat Tata Motors isunderestimatedisnearlyjustified. (Kotak Securites,
n.d.). All otheroperations segment of the corporation involves information
technological services, and machine tools and factoryautomotive services.
(Reuters, n.d.).
4. Limitations
 Because of pandemic situation of covid-19, It is difficult to study project
 We cant visit the industry
 All the information is collected from different websites and company’s
annual report. We cant cross verify that it is correct or not.
 Tata Motors is one of the largest industry of the India. Hence it is not
possible for me to cover all the aspects of the organization.
7. Assumptions of the study

The data is collected through secondary sources such as journals, published
papers, and company websites. Most of the data is taken from company’s annual
report. So it is assumed that all the data in project is correct
8. Research methodology used

Research methods are broadly classified as Qualitative and Quantitative. Both
methods have distinctive properties and data collection methods.
Qualitative methods
Qualitative research is a method that collects data using conversational
methods, usually open-ended questions. The responses collected are essentially
non-numerical. This method helps a researcher understand what participants
think and why they think in a particular way.
Types of qualitative methods include:

1. One-to-one Interview
2. Focus Groups
3. Ethnographic studies
4. Text Analysis
5. Case Study
6. Quantitative methods
Quantitative methods
It deals with numbers and measurable forms. It uses a systematic way of
investigating events or data. It answers questions to justify relationships with
measurable variables to either explain, predict, or control a phenomenon.
Types of quantitative methods include:

1. Survey research
2. Descriptive research
3. Correlational research
Remember, research is only valuable and useful when it is valid, accurate, and
reliable. Incorrect results can lead to customer churn and a decrease in sales.
It is essential to ensure that your data is:
1. Valid – founded, logical, rigorous, and impartial.
2. Accurate – free of errors and including required details.
3. Reliable – other people who investigate in the same way can produce
similar results.
4. Timely – current and collected within an appropriate time frame.
5. Complete – includes all the data you need to support your business
decisions.
8 tips for conducting accurate research
1. Identify the main trends and issues, opportunities, and problems you
observe. Write a sentence describing each one.
2. Keep track of the frequency with which each of the main findings appears.
3. Make a list of your findings from the most common to the least common.
4. Evaluate a list of the strengths, weaknesses, opportunities, and threats that
have been identified in a SWOT analysis.
5. Prepare conclusions and recommendations about your study.
6. Act on your strategies
7. Look for gaps in the information, and consider doing additional inquiry if
necessary
8. Plan to review the results and consider efficient methods to analyze and
dissect results for interpretation.
Review your goals before making any conclusions about your research. Keep in
mind how the process you have completed and the data you have gathered help
answer your questions. Ask yourself if what your analysis revealed facilitates the
identification of your conclusions and recommendations.
Research involves gaining knowledge, interpreting data and disseminating
the findings.
Gathering data from direct and indirect sources:

 Observations
 Questionnaires
 Interviews
 Experiments
 Other research
Processing data for interpretation numerically and or verbally:
 Statistics
 Themes or perspectives
Dissemination of findings:
 Written reports
 Presentations
 Seminars
 Supply to media.
History
Tata Motors Limited is an Indian multinational automotive manufacturing
company, headquartered in Mumbai. Part of Tata Group, the company produces
passenger cars, trucks, vans, coaches, buses, sports cars, construction equipment
and military vehicles.
Formerly known as Tata Engineering and Locomotive Company (TELCO), the

company was founded in 1945 as a manufacturer of locomotives. The company
manufactured its first commercial vehicle in 1954 in a collaboration with Daimler-
Benz AG, which ended in 1969. Tata Motors entered the passenger vehicle market
in 1988 with the launch of the TataMobile followed by the Tata Sierra in 1991,
becoming the first Indian manufacturer to achieve the capability of developing a
competitive indigenous automobile. [5] In 1998, Tata launched the first fully
indigenous Indian passenger car, the Indica, and in 2008 launched the Tata Nano,
the world's cheapest car. Tata Motors acquired the South Korean truck
manufacturer Daewoo Commercial Vehicles Company in 2004 and
purchased Jaguar Land Rover from Ford in 2008.
Tata Motors was founded in 1945, as a locomotive manufacturer. Tata

Group entered the commercial vehicle sector in 1954 after forming a joint
venture with Daimler-Benz of Germany. After years of dominating the commercial
vehicle market in India, Tata Motors entered the passenger vehicle market in
1991 by launching the Tata Sierra, a sport utility vehicle based on the Tata
Mobile platform. Tata subsequently launched the Tata Estate (1992; a station
wagon design based on the earlier Tata Mobile), the Tata Sumo (1994, a 5-door
SUV) and the Tata Safari (1998).
Tata launched the Indica in 1998, a fully indigenous Indian passenger car tailor-
made to suit Indian consumer needs though styled by I.D.E.A, Italy. Although
initially criticised by auto analysts, its excellent fuel economy, powerful engine,
and an aggressive marketing strategy made it one of the best-selling cars in the
history of the Indian automobile industries. A newer version of the car, named
Indica V2, was a major improvement over the previous version and quickly
became a mass favourite. Tata Motors also successfully exported large numbers
of the car to South Africa. The success of the Indica played a key role in the
growth of Tata Motors.
In 2004, Tata Motors acquired Daewoo's South Korea-based truck manufacturing

unit, Daewoo Commercial Vehicles Company, later renamed Tata Daewoo. On 27
September 2004, Ratan Tata, the Chairman of Tata Motors, rang the opening bell
at the New York Stock Exchange to mark the listing of Tata Motors.
In 2005, Tata Motors acquired a 21% controlling stake in the Spanish bus and
coach manufacturer Hispano Carrocera. Tata Motors continued its market area
expansion through the introduction of new products such as buses (Starbus and
Globus, jointly developed with subsidiary Hispano Carrocera) and trucks (Novus,
jointly developed with subsidiary Tata Daewoo).
In 2006, Tata formed a joint venture with the Brazil-based Marcopolo, Tata
Marcopolo Bus, to manufacture fully built buses and coaches.
In 2008, Tata Motors acquired the English car maker Jaguar Land Rover,
manufacturer of the Jaguar and Land Rover from Ford Motor Company.
In May 2009, Tata unveiled the Tata World Truck range jointly developed with
Tata Daewoo; the range went on sale in South Korea, South Africa,
the SAARC countries, and the Middle East at the end of 2009. Tata acquired full
ownership of Hispano Carrocera in 2009.In 2009, its Lucknow plant was awarded
the "Best of All" Rajiv Gandhi National Quality Award.
In 2010, Tata Motors acquired an 80% stake in the Italian design and engineering
company Trilix for €1.85 million. The acquisition formed part of the company's
plan to enhance its styling and design capabilities.
In 2012, Tata Motors announced it would invest around ₹6 billion in the

development of Futuristic Infantry Combat Vehicles in collaboration with DRDO.
In 2013, Tata Motors announced it will sell in India, the first vehicle in the world
to run on compressed air (engines designed by the French company MDI) and
dubbed "Mini CAT".
In 2014, Tata Motors introduced first Truck Racing championship in India "T1
Prima Truck Racing Championship".On 26 January 2014, the Managing
Director Karl Slym was found dead. He fell from the 22nd floor to the fourth floor
of the Shangri-La Hotel in Bangkok, where he was to attend a meeting of Tata
Motors Thailand.
On 2 November 2015, Tata Motors announced Lionel Messi as global brand

ambassador at New Delhi, to promote and endorse passenger vehicles globally.
On 27 December 2016, Tata Motors announced the Bollywood actor Akshay

Kumar as brand ambassador for its commercial vehicles range.
On 8 March 2017, Tata Motors announced that it has signed a memorandum of

understanding with Volkswagen to develop vehicles for India's domestic market.
On 3 May 2018, Tata Motors announced that it sold its aerospace and defence
business to another Tata Group Entity, Tata Advanced Systems, to unlock their full
potential.
On 29 April 2019, Tata Motors announced a partnership with Nirma

University in Ahmedabad to provide a B.Tech. degreeprogramme for employees
of its Sanand plant.
On 24 March 2020, Tata Motors Ltd announced that it would spin off its
passenger vehicles arm as a separate unit within the company.
On 5 March 2021, Tata Motors’ shareholders approved hiving off its passenger
vehicles business into a separate entity.
Profile
Tata Motors Group (Tata Motors) is a $35 billion organisation. It is a leading global
automobile manufacturing company. Its diverse portfolio includes an extensive
range of cars, sports utility vehicles, trucks, buses and defence vehicles. Tata
Motors is one of India's largest OEMs offering an extensive range of integrated,
smart and e-mobility solutions.
Tata Motors is among the world’s leading manufacturers of automobiles and

believes in ‘Connecting aspirations’, by offering innovative mobility solutions that
are in line with customers' aspirations.It is India's largest automobile
manufacturer, and continues to take the lead in shaping the Indian commercial
vehicle landscape with the introduction of leading-edge powertrains and electric
solutions packaged for power performances and user comfort at the lowest life-
cycle costs. Tata Motors' new passenger cars and utility vehicles are based on
Impact Design and offer a superior blend of performance, driveability and
connectivity.
The focus on connecting aspirations and the pipeline of tech-enabled products
keeps Tata Motors at the forefront of the market - it has identified six key
mobility drivers that will lead the company into the future – modular architecture,
complexity reduction in manufacturing, connected & autonomous vehicles, clean
drivelines, shared mobility, and low total cost of ownership. The sub-brand TAMO
is an incubating centre of innovation that will spark new mobility solutions
through new technologies, business models and partnerships.
Formerly Tata Engineering and Locomotive Company Ltd.

(TELCO)
Type Public
Traded as  BSE: 500570

 NSE: TATAMOTORS
 NYSE: TTM
 NSE NIFTY 50 Constituent
ISIN IN9155A01020
Industry Automotive
Founded 1945; 76 years ago
Founder J. R. D. Tata
Headquarters Mumbai, Maharashtra, India
Area served Worldwide
Key people  NatarajanChandrasekaran (chairman)

 GuenterButschek (CEO)
Products  Automobiles
 Luxury vehicles
 Commercial vehicles
 Automotive parts
 Pickup trucks
 SUVs
Production output 961,463 (2021)
Services  Automotive finance

 Vehicle leasing
 Vehicle service
Revenue ₹252,437 crore (US$35 billion) (2021)
Operating income ₹−2,377 crore (US$−330 million) (2021)
Net income ₹−13,016 crore (US$−1.8 billion) (2021)
Total assets ₹343,125 crore (US$48 billion) (2021)
Total equity ₹54,480 crore (US$7.6 billion) (2021)

Number of employees 78,906 (2021)
Parent Tata Group
Divisions Tata Motors Cars
Subsidiaries  Jaguar Land Rover

 Tata Daewoo
 Tata Technologies
 Tata Hispano
 Tata Hitachi Construction Machinery
Website www.tatamotors.com
Tata Motors Limited (TML) is one of India’s largest Original Equipment

Manufacturers (OEMs) offering an extensive range of integrated, smart and e-
mobility solutions.
TML’s Commercial Vehicle (CV) offerings include sub-1 tonne to 55-tonne Gross
Vehicle Weight (GVW) trucks and small, medium and large buses and coaches.
TML’s Passenger Vehicle (PV) offerings include the NEW FOREVER range that
exemplifies the IMPACT 2.0 design language across cars and utility vehicles and is
developed using pioneering technologies that are sustainable.
TML is also playing a leading role in proactively shaping the electric mobility
landscape in the country.
TML has a JV with Fiat Group Automobiles to manufacture passenger cars,
engines and transmissions for the domestic market, and a JV with Cummins Inc.
USA for the design and manufacturing of diesel engines.
MISSION
We innovate mobility solutions with passion to enhance the quality of life
VALUES
 Integrity
 Teamwork
 Accountability
 Customer Focus
 Excellence
 Speed
VISION
By FY 2024, we will become the most aspirational Indian auto brand, consistently
winning, by
 delivering superior financial returns

 driving sustainable mobility solutions
 exceeding customer expectations, and
 creating a highly engaged work force
Jaguar Land Rover
Jaguar Land Rover (JLR) is a global automotive manufacturer and leading

technology company, proudly built around two iconic British car brands: Jaguar
and Land Rover. JLR is driven by a desire to deliver class-leading vehicles,
providing experiences people love, for life.
Part of the Tata Motors Group since 2008, JLR has a JV with Chery Automobile
Company to manufacture certain models, including powertrains, in China. JLR has
also strategically partnered with Waymo to develop the self-driving Jaguar I-PACE
and is collaborating with the BMW Group to develop next-gen Electric Drive Units
(EDUs).
DESTINATION ZERO
JLR's vision is a world of sustainable, smart mobility – Destination Zero –

enhancing the quality of everyone’s life with zero emissions, zero accidents and
zero congestion through relentless innovation. Our ambition is to make our
societies safer and healthier, and our environments cleaner through relentless
innovation. Adapting our products and services to the rapidly-changing world
around us.
Revenue Mix FY20(%)
2 1
14
Tata and other brand vehicles -

4 CV
Tata and other brand vehicles -
PV
Jaguar Land Rover
Vehicle Financing
Others
79
Other subsidiaries
TATA MOTORS FINANCE
Tata Motors Finance Limited (TMFL) and Tata Motors Finance Solutions Limited
(TMFSL) are Non-Banking Financial Companies (NBFCs). They are the subsidiaries
of TMF Holdings Limited (TMFHL).
TMFHL is a 100% subsidiary of TML and a Core Investment Company (CIC). TMFL
facilitates new vehicle financing. TMFSL undertakes the dealer/vendor financing
business and the used vehicle refinance/ repurchase business.
TATA DAEWOO & TATA TECHNOLOGIES LIMITED
Tata Motors Group also holds key subsidiaries, such as Tata Daewoo Commercial
Vehicles and Tata Technologies Limited.
In 2004, the Tata Motors Group acquired Korea’s second largest truck maker
Daewoo Commercial Vehicles. Today, it exports its vehicles to 60+ countries.
Tata Technologies Limited is a leading company in engineering services

outsourcing and product development IT services, providing a competitive edge
to global manufacturers.
The Integrated Report does not include information on these subsidiaries

explicitly, except for the consolidated financial figures of the Tata Motors Group.
Shareholding Pattern - Tata Motors Ltd.
Holder's Name No of Shares % Share Holding
NoOfShares 3320307765 100%
Promoters 1540885009 46.41%
ForeignInstitutions 457480386 13.78%
NBanksMutualFunds 175935857 5.3%
CentralGovt 4944144 0.15%
Others 424901225 12.8%
GeneralPublic 496436480 14.95%
FinancialInstitutions 219724664 6.62%

Shareholding Pattern
6.62%
14.95%
Promoters
ForeignInstitutions
NBanksMutualFunds
46.41%
CentralGovt
12.80% Others
GeneralPublic
FinancialInstitutions
0.15%
5.30%
13.78%
Organizational structure of Tata Motors
2001 witnessed one of the most marked turnarounds for an Indian automobile
company in the history of Indian automobile manufacturing on market. The
company is Tata Motors and it was the M.D. Ravikant who played a major role in
the process of change. That the turnaround process has been successful is evident
in the fact that Tata Motors ranks as the fifth largest manufacturer of medium
and heavy trucks in the world. In the Indian market, Tata Motors ranks second in
the passenger vehicles segment. The company also has significant stakes in
former Soviet Republics, the Middle East South Africa, South Asia and Turkey.
There also have been takeovers such as that of Daewoo’s commercial vehicle
business in South Korea and a 21% stake in Hispano Corracera, the Spanish
automobile producer. The commercial-vehicle market in India shrank by more
than 40% for Tata Motors. The 5 billion rupee loss in 2001 triggered off a
rethinking within the organization. A recovery strategy was planned upon and the
path towards a better future was chalked out in three phases-each of which
would last two years. Phase one looked to stop the damage. Cost reduction was
on the cards. This was going to be a huge challenge as the company had been till
then operating in seller’s market and used a cost-plus approach to pricing. The
second phase looked at consolidating the company’s position in India, and the
third phase would look at global markets and international expansion.
Phase1
Phase 1 aimed at building up a system of market pricing and to decrease the
break even point. These called for major cut down in variable costs, diced costs
and interest cost. The organization put into use various approaches for cost-
reduction such as bench marking rivals. The organization also went in for e-
sourcing, and this has reaped positive results. In two and a half years, Tata Motors
brought down the break-even from nearly two-thirds. The first phase aimed to
stem the bleeding and Tata Motors wanted to fully utilize information technology
to drive business goals and reduce cost.
Phase 2
While phase one focused on reducing costs, phase two was all about taking action
in areas that would affect the other phases. In phase two, the focus clearly was on
boosting product quality and upgrading product features. The process of making
products more competitive also entailed working on developing new products for
the future market. Phase 2 also involved setting up a new sales planning process,
tightening credit regulations, improving the liquidity and profitability of dealers,
rethinking customer satisfaction levels, and expanding the range of distribution
network.
Phase 3
The next phase, i.e. phase 3 then concentrated on looking towards international
markets. The key was to recognize a comprehensive plan to improve Tata
Motors’s position in the market. In phase 3, the company also focused on
inorganic. The cyclical nature of domestic sales had to be taken into account first.
Thereafter, as part of the transformational strategy, international diversification
was the next logical step. Seeking new demographics and geographies for growth
in order to face limitations that the domestic market imposes is the company’s
prerogative. What Tata Motors really wanted was to optimize products globally.
Organizational structure of Tata Motors:
The structure of an organization has to do with the organizational climate along

with knowledge management. In the case of Tata Motors, the organization has
understood the importance of interactions between employers and workers. The
process could be both formal and informal and the objective is to make
employees feel more bound to the organization. Gathering and sharing
knowledge is another way. Tata Motors has a relatively flat structure, thus it
facilitates easy interaction between the different levels in the organization.
Decision making process
Step 1: Identify the decision

You realize that you need to make a decision. Try to clearly define the nature of
the decision you must make. This first step is very important.
Step 2: Gather relevant information

Collect some pertinent information before you make your decision: what
information is needed, the best sources of information, and how to get it. This
step involves both internal and external “work.” Some information is internal:
you’ll seek it through a process of self-assessment. Other information is external:
you’ll find it online, in books, from other people, and from other sources.
Step 3: Identify the alternatives

As you collect information, you will probably identify several possible paths of
action, or alternatives. You can also use your imagination and additional
information to construct new alternatives. In this step, you will list all possible and
desirable alternatives.
Step 4: Weigh the evidence

Draw on your information and emotions to imagine what it would be like if you
carried out each of the alternatives to the end. Evaluate whether the need
identified in Step 1 would be met or resolved through the use of each alternative.
As you go through this difficult internal process, you’ll begin to favor certain
alternatives: those that seem to have a higher potential for reaching your goal.
Finally, place the alternatives in a priority order, based upon your own value
system.
Step 5: Choose among alternatives

Once you have weighed all the evidence, you are ready to select the alternative
that seems to be best one for you. You may even choose a combination of
alternatives. Your choice in Step 5 may very likely be the same or similar to the
alternative you placed at the top of your list at the end of Step 4.
Step 6: Take action
You’re now ready to take some positive action by beginning to implement the
alternative you chose in Step 5.
Step 7: Review your decision & its consequences

In this final step, consider the results of your decision and evaluate whether or
not it has resolved the need you identified in Step 1. If the decision has not met
the identified need, you may want to repeat certain steps of the process to make
a new decision. For example, you might want to gather more detailed or
somewhat different information or explore additional alternatives.
COMPANY INFORMATION
CHAIRMAN EMERITUS: RATAN N TATA
CHAIRMAN: N CHANDRASEKARAN
MANAGING DIRECTOR & CEO: GUENTER BUTSCHEK
COMPANY SECRETARY: H K SETHNA
INDEPENDENT DIRECTOR: OM PRAKASH BHATT
INDEPENDENT DIRECTOR: HANNE BIRGITTE SORENSEN
INDEPENDENT DIRECTOR: VEDIKA BHANDARKAR

ADDITIONAL DIRECTOR: MITSUHIKO YAMAASHITA
ADDITIONAL DIRECTOR: THIERRY BOLLORE
ADDITIONAL DIRECTOR: KOSARAJU VEERAYYA CHOWDARY
AUDITOR: BSR & CO LLP
IND NAME: AUTOMOBILES - LCVS / HCVS
HOUSE NAME: TATA
REGISTERED OFFICE
BOMBAY HOUSE, 24 HOMI MODY STREET FORT,MUMBAI,MAHARASHTRA-400001
PH : 91-22-66658282
WEBSITE : HTTP://WWW.TATAMOTORS.COM
Problem Identification
1. Debt Burden
Back in 2008, Tata Motors made a bold acquisition. It bought the struggling UK
luxury car-maker, Jaguar Land Rover (JLR) by shelling out close to ₹10,000
crores and vowed to turn it around. Although the first year was a bit
topsyturvy (considering the Global Financial Crisis), JLR soon started churning
out big profits thanks to Tata Motors’ intervention. And I know we could talk
about Nano or the company’s commercial vehicle segment before delving into
this bit, but it’s JLR that’s the primary revenue driver for the company. So it’s
imperative we take a closer look here if we want to isolate the real problem.
Marketing your vehicle in a foreign nation might sound like a lucrative

opportunity. But geopolitical tensions can upend this equation rather quickly.
Consider what happened in 2016. Britain finally decided it wanted to part ways
with the European Union (EU). This meant the country had to rework its
relationship with other members of the Union —on matters of trade, tariffs,
free movement of people, all that stuff. For instance, back then, the EU
contributed 21% of all sales accruing to JLR. The company, meanwhile,
imported 50% of all its component from other countries in the Union. So
friction between the UK and the EU had to have material consequences for
both Tata Motors and JLR.
Elsewhere, JLR was having trouble with quality control. Consider China. For a
population that craved for expensive luxury vehicles, JLR was a godsend in
many ways. And in 2014, the company started local production through a joint
venture with Chery Automobiles. The idea was to modify the cars slightly to
pander to local tastes while simultaneously avoiding the 25% tariff on
imported vehicles.
The move did wonders. China sales surged from ~100,000 in 2015 to ~150,000
in 2017. And eventually, the carmaker lost its sheen. While once China
contributed almost a third of JLR's sales, today it’s contribution has reduced to
a meager 10%. And all of this culminated in wasteful investments that failed to
translate into meaningful opportunities. In 2018, JLR wrote off ₹27,000 crores
in assets. That’s the company telling you these assets hold no real value and
ought to be written off as a loss. Meanwhile, the company’s debt burden was
spiraling out of control — from ~₹33,000 crores in FY11 to ₹1.2 lakh
croreFY20.
2. Weak Global Presence
Automobile industry is not limited to the local market. If it is limited to a

specific area, then it’s a strong barrier to the growth as other foreign
companies may enter the same market. Tata remained silent in achieving
global market shares. It has not penetrated in many international markets
until now.
A few challenges below: -
 Diverse culture: Every country has different ethics and ethos. Synergy of
the brand with local culture is the key to enter the market.
 Heavy custom and import duty: Some of the countries have duties as
high as 250% (For e.g. Nepal). This makes our vehicles very expensive as
compared to Indian prices. For e.g., a Tata Safari Storme VX 4X4 is priced
at INR 16 Lakhs in India and is available in Nepal for INR 40 Lakhs.
 Inconstant import duties: Erratic and frequent fluctuation of import
duties poses newfound challenges every few years. This also handicaps
the strategy formulation for PV-IB. For e.g., Sri Lanka import duty has
changed 7 times in last 4 years.
 Political uncertainty: Stable governments are a rarity in the world.
Nepal has seen 38 Prime Ministers so far as compared to 16 in India.
With every change of government there are changes in the Foreign
Trade Policies and we have to align with new policies frequently
 Complexity of custom clearance/shipping: Documentation/on the
ground law of the land/sea requires a whole gamut of support. Basically,
Supply Chain Complexity is very high.
 Brand Prominence: Tata Motors as a brand name is very popular in
India. International markets at times have a different story altogether.
The brand has to be established from scratch.
 Availability of product: This works as per requirement of a specific
country. For e.g. 80% of global market in terms of volume is Left Hand
Drive (LHD). Another example is Sri Lanka: As per the current regulation
and custom duties, a manufacturer who has a vehicle with less than 1 L
engine and equipped with Airbag and ABS has a significant skewed
advantage.
 Currency fluctuation in International market: With every fluctuation
the parameters of the business case change significantly.
 Foreign laws and regulations: Legal compliances and Tata Code of
Conduct: Ensuring ethical conduct and law abidance at all times during
business transactions.
 Language barriers: Ethnic groups all over the world have innumerable
languages and connotations.
 Variance in Payment Methods: International Accounting and Payment
Methods and the complexity that comes with them.
 Transit time: Latin America mostly requires 2 months for the ship to sail,
20 for South Africa and 7 for Sri Lanka.
3. Indifferent to Changes:
Automobile industry is a very competitive industry. Every company in this

industry remain competitive as most of the automobile companies are very old
and experienced in this business. They offer a new model and tech-savvy cars.
But Tata Motors is indifferent in this case. Its large model base is old.
The company's passenger car products are based upon 3rd and 4th generation
platforms, which put Tata Motors Limited at a disadvantage with competing
car manufacturers.
4. In Loss Since Last Two Financial Year
ANNUAL(In Rs. Cr) FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
Total Revenue 2,64,041.12 3,04,903.71 2,95,508.07 2,70,447.05 2,73,930.95
Total Revenue Growth -13.40 3.18 9.27 -1.27 3.88
(%)
Total Expenses 2,71,749.66 3,06,623.30 2,86,328.18 2,62,246.82 2,57,954.83
Total Expenses Growth -11.37 7.09 9.18 1.66 6.68
(%)
Profit after Tax (PAT) -12,070.85 -28,826.23 8,988.91 7,454.36 11,579.31
PAT Growth (%) - -420.69 20.59 -35.62 -17.21
Operating Profit Margin -0.17 1.33 4.70 4.61 7.64
(%)
Net Profit Margin (%) -4.62 -9.54 3.05 2.76 4.24
Basic EPS (₹) -34.88 -84.89 26.46 21.94 34.25
In loss for FY20 and FY19.

JLR accounts for most of Tata Motors' revenue.Tata Motors-owned luxury car
maker Jaguar Land Rover's revenue declined 44 per cent to 2.98 billion pounds,
resulting in a loss before tax of 413 million pounds, the Mumbai-based auto
maker said. Jaguar Land Rover's sales fell 42 per cent to 74,100 units globally.
Tata Motors reported one of its highest quarterly losses as the Covid-19
pandemic impacted its India and overseas businesses. The company had a
consolidated net loss of Rs 9,894 crore for the January-March 2020 period,
against a consolidated net profit of Rs 1,108 crore in the corresponding quarter
last year.It is a complete reversal of the gains that the company had reported in
the second and third quarters on the back of improvement seen in Tata Motors’
domestic and in the Jaguar Land Rover businesses.Company has spent 2.77% of its
operating revenues towards interest expenses and 11.66% towards employee
cost in the year ending Mar 31, 2020.
5. Tata Nano failure
At the New Delhi Auto Expo in 2008 the star attraction was Tata Motors’ Nano,
a tiny vehicle billed as the world’s cheapest car, with a planned selling price of
just Rs100,000 the equivalent of $2,600 at the time. The pet project of group
chairman Ratan Tata, the car generated an international buzz over its potential
to bring millions of lower middle-class Indian families into the automotive
market. But the Nano proved an expensive failure, and its launch kicked off a
decade of decline for Tata Motors’ core domestic operation, cushioned only by
the strong performance of its UK subsidiary Jaguar Land Rover. It was a painful
reversal for Tata Motors the biggest unit by revenue of India’s largest
conglomerate, Tata Sons and it came as competition hotted up among global
carmakers in a key growth market. The decline forced Tata to consider
shuttering its domestic passenger car business and focusing on the larger truck
making operation.
A decade on from the high-profile launch of Tata Motors’ Nano, it sold just 94
units in December, compared with an original prediction that monthly sales
would top 20,000 and eventually reach 500,000 annually. Sales of the vehicle
once touted as the group’s new cash cow have been consistently dismal,
sideswiped by small cars from rivals who took advantage of production snags
that delayed the Nano’s rollout by a year. The Nano was also dented by Tata’s
failure to establish a strong dealership network in rural areas home to the bulk
of the car’s target customers. The abandonment of the Nano would “do a lot
of good for [Tata Motors’] share price”, by proving management’s hard-nosed
commitment to turning round the domestic business, says Jefferies analyst
Arya Sen. He adds that the distraction of the Nano drive was a major reason
for the stagnation of Tata Motors’ broader portfolio over the past decade. But
Tata Motors’ chief executive Guenther Butschek says no decision has been
taken on the vehicle’s fate, with the Indian group still keen to include in its
product range a vehicle less than 12 feet long, which is favoured by some
drivers for its practicality in India’s congested cities.
Options available for solving the problems
1. For Debt Burden
Tata Motors Ltd has begun its plan to turn debt-free in three years, by initiating
the process of selling stakes in company arms Tata Technologies Ltd and Tata
Hitachi Construction Machinery Co. Pvt. Ltd.The intent is to monetize non-core
assets and the exercise has begun with these two companies. The divestment
plans are required for the parent of Jaguar Land Rover (JLR) Automotive Plc,
which had net consolidated debt of Rs 68,000 crore as of July 31. The rising debt
was compounded by the coronavirus pandemic. The company is also open to
equity infusion by promoters towards reducing its debt.
Briefing about the plan, N Chandrasekaran, Chairman of Tata Motors, said that
the company was looking at unlocking non-core investments. The management
was generating free cash flows across its India and JLR businesses.
Tata Motors an iconic brand. The company still has a strong product portfolio and
they are in fact implementing cost-cutting programs in a bid to reduce that debt
burden. And if Tata Motors does become debt-free within the next 3 years,
maybe we’ll see another spectacular turnaround.
Jaguar Land Rover has a strong product range that compete in various segments,
including the increased electrification of the product portfolio. New and refreshed
products, including the all-new Land Rover Defender, refreshed Land Rover
Discovery Sport, the refreshed Jaguar XE and the refreshed Jaguar F-TYPE and the
increased application of electrification technologies (hybrids and full battery
electric) to new models and existing models ensures that Jaguar Land Rover can
compete in the premium segments with class-leading products.
2.For Weak Global Presence
The COVID-19 pandemic and the resulting business disruption in several

geographies where they operate could have a material adverse impact on our
operations, liquidity, business, financial conditions and credit ratings. Changes in
the external environment could also have a significant impact on the global
demand for vehicles as well as our global sourcing strategy and supply chain
resilience.
They should continue to closely monitor and risk assess global developments,
implementing mitigation plans where appropriate. We also continue to maintain
our international manufacturing footprint and a balanced retail sales profile
across our key sales regions. Operations at plants have resumed with robust
protocol and guidelines in place across the Company to ensure effective social
distancing, hygiene and health monitoring. They should being nimble and agile to
start delivering as soon as the demand comes back.
Global economic growth in developed and emerging markets presents

opportunities to increase sales. Global growth and rising incomes create
opportunities both in new and existing geographical markets as well as new and
existing segments. We areseeing encouraging recovery in China post the
lockdown eases and expect other geographies to follow the same pattern.
They should continues to strengthen brands by creating greater brand association

through innovation, technological advancement and customer trends and
feedback to expand and evolve product portfolio and services. With a number of
upcoming launches, the Group will further enhance customer offering through
new/enhanced models and powertrain/feature innovation.
3.For Indifferent to Changes:
Future success depends on our ability to stay attuned to evolving automotive

trends and to satisfy changing customer demands by offering innovative products
in a timely manner and maintaining product competitiveness and quality.
Falling behind with technology trends will increase the risk of failure to meet the
expectations of both new and existing customers, as well as increase the risk of
products becoming relatively obsolete, impacting sales.
The Group should continues to invest in R&D and to prioritise the development of
technology enabling platforms and feature delivery.
TML is working towards the consolidation of future PVs on two architectures: Alfa
and Omega. JLR is ensuring alignment with its Destination Zero mission and
delivering experiences people love, for life.The Group engages with the relevant
industry and government partners to support the delivery of ACES technologies.
In addition, TML's current products offer enhancements in the form of modular
architecture, superior powertrain, lightweighting and system efficiency
improvements.
The government of India aims to develop India as a global manufacturing centre
and an R&D hub. Under National Automotive Testing and R&D Infrastructure
Project (NATRIP), the Government of India is planning to set up R&D centres at a
total cost of US$388.5 million to enable the industry to be on par with global
standards. The government of India has launched Faster Adoption and
Manufacturing of Hybrid and Electric vehicles (FAME) and National Electric
Mobility Mission Plan 2020 (NEMMP) to promote electric cars. Shared mobility is
critical to India’s future growth and delivering on consumers’ aspiration of
enhanced quality of life. The immerse strain on urban infrastructure created
opportunities for smart mobility concepts. There is a great opportunity for
technological innovations in the shared mobility space. It serves as one of the
most promising hot spots for new and pioneering start-ups. More than anything,
it promotes consumers to be responsible in their choices of mobility.
4. For In Loss Since Last Two Financial Year
Tata Motors Ltd posted a consolidated loss of ₹7,585.34 crore in the March
quarter, mainly because its UK unit Jaguar Land Rover wrote off investments
worth ₹15,000 crore during the period.In February, JLR announced its decision to
write off its investments that were earmarked for developing internal combustion
vehicles, which became unviable after the automaker’s move to pivot towards
electric vehicle technology.An explosive surge in covid-19 infections in India will
also adversely hit the company’s performance in its home market, with sales of its
commercial and passenger vehicles expected to stay subdued in the coming
months.
P. Balaji, chief financial officer of Tata Motors, said the increase in covid
vaccinations in China, the US and UK has led to robust demand for JLR vehicles
in these important markets, leading to an overall expansion in the company’s
order book.
The sharp rise in covid infections in India will also delay the recovery of Tata
Motors’ commercial vehicle business, which is more profitable than its passenger
vehicles business. The company witnessed a recovery in medium and heavy
commercial vehicle sales in the second half of last fiscal amid increased activity in
the construction and manufacturing sectors. This helped boost the margins of the
India business.
5.Tata Nano failure
From the beginning, “Nano” was considered to be the “Big” idea of a prospective
auto revolution for the emerging world and particularly for India. But even more
than two years after its overstretched commercial entry into the Indian roads, it
struggled to keep up the businessexpectations of its ambitious makers. The
cheapest possible car that promised to address the billion aspirations of the so
called “bottom of the pyramids” didn’t quite able to deliver the way the industry
had speculated. Since, its commercial inception in mid 2009, the sales were never
on a steady upward trajectory that is presumably typical for such a technological
breakthrough. For the Tatas, the dream car project soon turned out into a
nightmare, when in November 2010, the USD 27 billion company could only
manage to convince 509 cars to its dealers across India. Though, after that
debacle, Tata Motors undertook some serious readjustments and to some extent
did manage to marginally pull up Nano’s performance from December 2010
onwards. But in spite of all its efforts, Nano was still far from close to its original
intended targets. Till Mid 2011, it sold just over 5,000 unitsa month. Then, aiming
towards a distantly difficult breakeven, the company went back to a set of
elementary strategies that included a redrawn full-fledged promotional
campaigning; improvement of productivity and supply chain coordination; going
rural; and opening up of more exclusive dealerships. All these were made to be
the
obvious priority that needed to be addressed before going too futuristic and
working for the 2nd generation of Nano. However, long before the “Actual-Nano”
was unleashed, the “Idea-Nano” was immediately sold out to a varied section of
audiences, who were dumbstruck by its low price appeal. The concept was
unique, innovative and hugely appealing to the mass. It was all set to make a
rapid penetration in the growing automobile market of Indian. A brand new
product created for a brand new segment, virtually didn’t have any competition
at that point from any of the rivals.
Tata Nano’s failure to make an impressive entry into the market may be
attributed to a number of causes. Some of the problems that they faced initially
were somewhat unexpected and unavoidable such as the Singur crisis and the
subsequent uncertainty over the economic climate. However, it won’t be
unjustifiable to say that there were some major marketing mistakes happened
early on. One of them was the failure to understand and address the actual
consumer psychology of the target buyers. Tata Motors, learning from its earlier
mistakes, has revamped its overall strategy with the Nano. The first among them
was revamping its distribution strategy. The thrust was given to smaller towns
and rural India. They
planned to open more than 300 exclusive dealerships, which are mostly targeted
at tier-3 and tier-4 towns. In its bid to eliminate quality fears from the minds of its
prospective customers, Tata Motors has increased the warranty from 18 months
to 60 months and 24,000 km to 60,000 km. Besides, the company has also offered
an attractive Rs. 99 per month maintenance contract to its customers andRs
15,000 down payment option for financing. Further, in terms of advertising, Tata
Motors launched new campaigns especially with Nano 2012 edition. In order to
increase Nano’s visibility, they also
tied up with Kishore Biyani’s Big Bazaar to display Nano.46 Tata Nano’s new
catch-line – “AapkiKhushiyonKi Chaabi” (Key to your happiness), connects much
better with the target audience than the earlier – “NowYou Can”.
The Indian small car market has become more dynamic than ever. The pricing
gaps are increasingly diminishing between segments. Hyundai rolled out its much
anticipated Eon in October 2011. Though, the Hyundai Eon skipped the ultra low
cost market of Tata Nano, and is thus perceived to pose no direct competition,
but still there will be a section of the targeted Nano customers who will include
Eon in their product comparison charts, besides the existing Alto. Moreover, Since
Nano hasn’t made a substantial impact on the sales of other cars, particularly
Alto; therefore some manufacturers would be looking at the possibilities of
pitching products in between them. Maruti is set to replace its iconic 800 with
Cervo
with a price range of 1.75 to 2.75 lakh. BesideMaruti, Bajaj Auto is also not too far
behind with its small car project. Therefore the road ahead is challenging for
Nano.
Financial analysis
FY 19-20 analysis
PARTICULARS ( CR) MAR '20 MAR '19
NET SALES/INCOME FROM OPERATIONS 261067.97 301938.40
OTHER INCOME 3111.81 3342.29
TOTAL INCOME 264179.78 305280.69
TOTAL EXPENDITURE 246091.00 307302.61
OPERATING PROFIT 18088.78 -2021.92
INTEREST - -
GROSS PROFIT 10845.45 -7780.52
DEPRECIATION 21425.43 23590.63
PBT -10579.98 -31371.15
TAX 1893.05 2225.23
NET PROFIT/(LOSS) -10975.23 -28933.70

Quarterly analysis
FIGURES IN RS CRORE DEC-2020 SEP-2020 JUN-2020 MAR-2020

REVENUE 75653.79 53530.00 31983.06 62492.96
OTHER INCOME 714.81 640.71 609.75 568.63
TOTAL INCOME 76368.60 54170.71 32592.81 63061.59
EXPENDITURE 63946.53 47434.31 31300.36 64606.87
OPERATING PROFIT 12422.07 6736.40 1292.45 -1545.28
INTEREST 2125.93 1949.60 1876.81 1952.81
PBDT 10296.14 4786.80 -584.36 -3498.09
DEPRECIATION 6128.75 5601.47 5599.37 5814.86
PBT 4167.39 -814.67 -6183.73 -9312.95
TAX 675.45 750.15 126.11 628.01
NET PROFIT 3222.21 -343.28 -8384.22 -9671.25
4000 3222.21
2000
0
Q1 Q2 Q3 Q4
-2000 -343.28
In Rs CR
-4000
-6000
-8000
-10000 -8384.22
-9671.25
Net proft for FY20
-12000
In FY 2019-20 income from operations including finance revenues decreased by
13.5% to Rs.2,61,068 crores in FY 2019-20 from Rs.3,01,938 crores in FY 2018-19.
The decrease was mainly attributable to lower sales volumes from both Tata
Motors and Jaguar Land Rover and an unfavorable currency translation from GBP
to INR. The net loss (attributable to Shareholders of our Company) was
Rs.12,071crores in FY 2019-20, as compared to a loss of Rs.28,826 crores in FY
2018-19.
The automobile industry was hit hard in FY 2019-20 as sales fell across vehicle
segments. According to data released by SIAM, in FY 2019-20, the Indian
automotive industry recorded a 20.3% decline in domestic sales as compared to a
5.9% growth in FY 2018-19. The Passenger Vehicle segment decline 17.3% in FY
2019-20 (as compared to 2.8% growth in FY 2018-19) due to weak consumer
sentiment, rising cost of vehicle ownership, liquidity stress and general economic
slowdown.
Overview of Automotive Operations
The total sales (excluding China joint venture) for FY 2019-20 and FY
2018-19 are set forth in the table below:
FY 2019-20 FY 2018-19
Units % Units %
Passenger cars 2,02,010 21.0% 2,86,730 22.5%
Utility vehicles 4,11,866 42.8% 4,60,056 36.1%
Light Commercial Vehicles 2,17,342 22.6% 3,34,005 26.2%
Medium and Heavy Commercial Vehicles 1,30,245 13.6% 1,93,281 15.2%
Total 9,61,463 100.0% 12,74,072 100.0%
The following table sets Tata Motors market share in various categories :
Category Year ended March 31,
2020 2019
Passenger Cars 4.2% 5.9%
Utility Vehicles 5.6% 7.0%
Total PV 4.8% 6.3%
Medium and Heavy Commercial Vehicles 57.4% 55.0%
Intermediate and Light Commercial Vehicles 47.2% 45.4%
SCVs & Pickups 37.9% 40.1%
CV Passenger Vehicles 40.9% 44.0%
Total CV 43.0% 45.1%
Total Four-Wheel Vehicles 12.7% 15.5%
Industry-wide sales of Passenger Vehicles in India decreased by 17.3% in FY 2019-

20, compared to a 2.8% growth in FY 2018-19, while Utility Vehicles sales
remained flat during FY 2019-20 as a result of weak consumer sentiment, rising
cost of vehicle ownership, liquidity stress and general economy slowdown.
Overall sales in international markets decreased by 41.4% to 31,144 units in FY
2019-20 as compared to 53,140 units in FY 2018-19.
The following table sets the revenue from our key geographical markets:
FY 2019-20
Revenue FY 2018-19
(in Rs. crores) % (` in Rs. crores) %

India 47,094 18.0% 68,087 22.5%
China 29,820 11.4% 30,415 10.1%
UK 42,443 16.3% 49,114 16.3%
United States 52,030 19.9% 52,473 17.4%
Rest of Europe 43,227 16.6% 49,814 16.5%
Rest of World 46,454 17.8% 52,035 17.2%
Total 2,61,068 3,01,938
Revenue Source
25.00%
19.90%
20.00% 18.00% 17.80%
16.30% 16.60%
15.00%
11.40%
10.00% Revenue Source
5.00%
0.00%
India China UK United Rest of Rest of
States Europe World
As a result of account of COVID-19 pandemic, there is a significant reduction in

revenue across most geographical markets in FY 2019- 20, the decline was lower
in United States and China as compared to other economies. In FY 2019-20
percentage of revenues in China and the United States have improved as
compared to FY 2018-19. China witnessed a double digit growth in volumes in
second and third quarter of FY 2019-20 and a decline on account of impact of
COVID-19
in fourth quarter of FY 2019-20, thus resulting in marginal decline in revenues as
compared to FY 2018-19.
Balance Sheet
Consolidated Balance Sheet ------------------- in Rs. Cr. -------------------
Mar 20 Mar 19
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 719.54 679.22
Total Share Capital 719.54 679.22
Reserves and Surplus 61,491.49 59,500.34
Total Reserves and Surplus 61,491.49 59,500.34
Money Received Against Share Warrants 867.50 0.00
Total Shareholders Funds 63,078.53 60,179.56
Minority Interest 813.56 523.06
NON-CURRENT LIABILITIES
Long Term Borrowings 83,315.62 70,817.50
Deferred Tax Liabilities [Net] 1,941.87 1,491.04
Other Long Term Liabilities 17,780.94 16,871.09
Long Term Provisions 14,736.69 11,854.85
Total Non-Current Liabilities 117,775.12 101,034.48
CURRENT LIABILITIES
Short Term Borrowings 16,362.53 20,150.26
Trade Payables 63,626.88 68,513.53
Other Current Liabilities 50,135.60 46,596.89
Short Term Provisions 10,329.04 10,196.75
Total Current Liabilities 140,454.05 145,457.43

Total Capital And Liabilities 322,121.26 307,194.53
ASSETS
NON-CURRENT ASSETS
Tangible Assets 84,158.17 72,619.86
Intangible Assets 42,171.91 37,866.74
Capital Work-In-Progress 8,599.56 8,538.17
Intangible Assets Under Development 27,022.73 23,345.67
Fixed Assets 161,952.37 142,370.44
Non-Current Investments 5,446.94 6,240.89
Deferred Tax Assets [Net] 5,457.90 5,151.11
Long Term Loans And Advances 782.78 407.42
Other Non-Current Assets 28,116.96 28,845.64
Total Non-Current Assets 202,534.01 183,763.37
CURRENT ASSETS
Current Investments 10,861.54 9,529.83
Inventories 37,456.88 39,013.73
Trade Receivables 11,172.69 18,996.17
Cash And Cash Equivalents 33,726.97 32,648.82
Short Term Loans And Advances 935.25 1,268.70
OtherCurrentAssets 25,433.92 21,973.91
Total Current Assets 119,587.25 123,431.16
Total Assets 322,121.26 307,194.53
OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS

Contingent Liabilities 15,590.75 17,148.64
BONUS DETAILS
Bonus Equity Share Capital 111.29 111.29
NON-CURRENT INVESTMENTS
Non-Current Investments Quoted Market Value 316.46 726.53
Non-Current Investments Unquoted Book Value 711.59 770.98
CURRENT INVESTMENTS
Current Investments Quoted Market Value 0.00 0.92
Current Investments Unquoted Book Value 10,861.54 8,937.41
Total assets were Rs. 3,22,121crores and Rs. 3,07,195 crores as at March 31, 2020
and 2019, respectively. The increase by 4.9% in assets as at March 31, 2020 takes
into account a favourable foreign currency translation from GBP into Indian
rupees. total current assets decreased by Rs. 3,844 crores to Rs. 1,19,587 crores
or 3.1% as at March 31, 2020, as compared to Rs. 1,23,431 crores as at March 31,
2019. Cash and cash equivalents decreased by 14.3% to Rs. 18,468 crores as at
March 31, 2020, compared to Rs. 21,560 crores as at March 31, 2019.
They hold cash and cash equivalents principally in Indian rupees, GBP, Chinese
Renminbi, EURO and USD. Out of cash and cash equivalents as at March 31, 2020,
Jaguar Land Rover held the GBP equivalent of Rs. 12,072 crores, which consists of
surplus cash deposits for future use.Gross finance receivables were Rs. 31,730
crores as at March 31, 2020, as compared to Rs. 34,458 crores as at March 31,
2019. As at March 31, 2020, inventories were at Rs. 37,457 crores, compared to
Rs. 39,014 crores as at March 31, 2019, a decrease of 4.0%.
The decrease in finished goods inventory was Rs. 1,881 crores from Rs. 31,513
crores as at March 31, 2019 to Rs. 29,632 crores as at March 31, 2020, mainly due
to a decrease in volumes at both Tata Motors India operations and Jaguar Land
Rover business. other assets (current and non-current) increased by 18.8% to
Rs.11,646 crores as at March 31, 2020 from Rs.9,801 crores as at March 31, 2019.
The Company has adopted Ind AS 116 with modified retrospective approach, with
effect from April 1, 2019. The Company has recognized Rs.5,584crores as Right of
use assets and lease liability of Rs.5,780 crores as on the date of transition i.e.
April 1, 2019.
Other financial liabilities (current and non-current) were Rs.40,402crores as at

March 31, 2020, as compared to Rs.35,648 crores as at March 31, 2019 (net of a
unfavourable currency translation impact of Rs.761 crores), reflecting liabilities
toward current maturities of long term borrowings, vehicles sold under
repurchase arrangements, derivative instruments, and interest accrued but not
due on loans and lease liabilities.
Liability towards current maturities of long term borrowings increased to

Rs.19,132crores as at March 31, 2020 from Rs.15,034 crores as at March 31, 2019
mainly due to higher repayment of long term borrowings failing in FY2020-21 as
compare to FY2019- 20. total debt was Rs.1,18,811 crores as at March 31, 2020,
as compared to Rs.1,06,175 crores as at March 31, 2019, an increase of 11.9%.
Cash Flow
In Rs. Crore FY 2019- FY 2018-
Change
20 19
Cash from operating activity 26,633 18,891 7,742
Profit/(Loss) for the year (11,975) (28,724)
Adjustments for cash flow from operations 35,328 57,495
Changes in working capital 5,065 (7,221)
Direct taxes paid (1,785) (2,659)
Cash used in investing activity (34,170) (19,711) (14,459)
Payment for property, plant and equipment and other
(29,531) (35,236)
intangible assets (net)
Net investments, short term deposit, margin money and
(6,387) 14,532
loans given
Dividend and interest received 1,748 993
Net Cash from Financing Activities 3,390 8,830 (5,440)
Dividend Paid (including paid to minority Shareholders) (57) (95)
Interest paid (7,518) (7,005)
Net Borrowings (net of issue expenses) 10,965 15,930
Net increase / (decrease) in cash and cash equivalent (4,148) 8,010

(12,158)
Cash and cash equivalent, end of the Year 18,468 21,560
Free Cash flow (2,898) (16,346)
Cash and cash equivalents decreased by Rs.3,092 crores in FY 2019- 20 to

Rs.18,468 crores from Rs.21,560 crores in FY 2018-19, partially offset by a
favourable currency translation of Rs.390 crores from GBP to Indian rupees. The
decrease in cash and cash equivalents (excluding currency translation) resulted
from the changes to our cash flows in FY 2019-20 when compared to FY 2018-19
as described below.
Net cash provided by operating activities totalledRs.26,633crores in FY 2019-20,
an increase of Rs.7,742 crores, as compared to Rs.18,891 crores in FY 2018-19.
The net loss is Rs.11,975crores in FY 2019-20 as compared to a lossof Rs.28,724
crores in FY 2018-19.
The cash flows from operating activities before changes in operating assets and
liabilities resulted in a net income of Rs.23,352crores in FY 2019-20 from income
of Rs.28,771 crores in FY 2018-19. The changes in operating assets and liabilities
resulted in a net inflow of Rs.5,065crores in FY 2019-20, as compared to outflow
of Rs.7,221 crores in FY 2018-19.
Net cash inflow from financing activities totalled Rs.3,390crores in FY 2019-20, as
compared to Rs.8,830 crores in FY 2018-19. For Tata Commercial Vehicles and
Tata Passenger Vehicles, the short-term debt decreased by Rs.2,719 crores,
whereas long-term debt (net) increased by Rs.5,285 crores, due to additional
borrowings. There was an decrease in debt (short-term and long-term) of
Rs.3,271crores in FY 2019-20 at Vehicle Financing, as compared to increase of
Rs.10,461 crores in FY 2018-19. For Jaguar Land Rover, the short-term debt (net)
decreased by Rs.1,027 crores and long-term debt (net) increased by Rs.6,894
crores in FY 2019-20, due to new borrowings in FY 2019-20.
FY 18-19 analysis
------------------- in Rs. Cr. -----------------

Consolidated Profit & Loss account
--
Mar '19 Mar '18
Income
Sales Turnover 301,938.40 295,409.34
Excise Duty 0.00 790.16
Net Sales 301,938.40 294,619.18
Other Income -28,855.33 6,773.13
Stock Adjustments -2,053.28 2,046.58
Total Income 271,029.79 303,438.89
Expenditure
Raw Materials 196,712.06 190,107.14
Power & Fuel Cost 1,585.93 1,308.08
Employee Cost 33,243.87 30,300.09
Other Manufacturing Expenses 4,224.57 3,531.87
Selling and Admin Expenses 8,729.63 8,968.59
Miscellaneous Expenses 30,724.73 27,923.61
Total Expenses 275,220.79 262,139.38
Mar '19 Mar '18
Operating Profit 24,664.33 34,526.38
PBDIT -4,191.00 41,299.51
Interest 5,758.60 4,681.79
PBDT -9,949.60 36,617.72

Depreciation 23,590.63 21,553.59
Profit Before Tax -33,540.23 15,064.13
PBT (Post Extra-ord Items) -33,540.23 15,064.13
Tax -2,437.45 4,341.93
Reported Net Profit -29,035.73 6,710.65
 Operating income during the year rose 3.6% on a year-on-year (YoY) basis.
 The company's operating profit decreased by 21.6% YoY during the fiscal.
Operating profit margins witnessed a fall and stood at 8.2% in FY19 as
against 10.8% in FY18.
 Depreciation charges increased by 9.5% and finance costs increased by
23.0% YoY, respectively.
 Other income declined by 25.1% YoY.
 Net profit for the year declined by 416.0% YoY.
 Net profit margins during the year declined from 3.1% in FY18 to 9.4% in
FY19.
The Company income from operations including finance revenues increased by

3.3% to Rs.3,01,938.40 crores in FY 2018-19 from Rs.2,92,340.64 crores in FY
2017-18. The increase is mainly attributable to better sales volumes of the
Company’s India business and favourable currency translation from GB£ to INR of
Rs.14,516.58crores, offset by lower sales of Jaguar Land Rover. Earnings before
other income, interest and tax, were Rs.3,774.03crores in FY 2018-19 compared
to Rs.11,787.51 crores in FY 2017-18. The decrease was primarily driven by the
performance of Jaguar Land Rover business, including higher depreciation
and amortization, fixed marketing expenses/selling costs. The Company’s net loss
(attributable to shareholders of the Company) was Rs.28,826.23crores in FY 2018-
19 as compared to a profit of Rs.8,988.91 crores in FY 2017-18.
The following table sets forth the Company’s revenues from its key geographical
markets and the percentage of total revenues that each key geographical market
contributes for the periods indicated:
Revenue FY 2018-19 FY 2017-18

(Rs in crores) % (`Rsin crores) %
India 68,087.44 22.6% 58,659.18 20.1%
China 30,414.75 10.1% 42,635.26 14.6%
UK 49,113.81 16.3% 50,456.60 17.3%
United States 52,472.91 17.4% 44,991.88 15.4%
Rest of Europe* 49,814.17 16.4% 46,393.27 15.9%
Rest of World* 52,035.32 17.2% 49,204.45 16.7%
Total 3,01,938.40 2,92,340.64
Sales
17.20% India
22.60%
China
UK
16.40%
10.10% United States
Rest of Europe*
17.40% 16.30% Rest of World*
The Company’s revenue from Tata and other brand vehicles (including vehicle
financing) and Jaguar Land Rover in FY 2018- 19 and FY 2017-18 and the
percentage change from period to period (before intra-segment eliminations) is
set forth in the table below.
FY 2018-19 FY 2017-18 Change
(Rs. in crores) %
Tata and other brand vehicles including vehicle financing 76,417.68 65,685.50 16.3
Jaguar Land Rover 2,23,513.58 2,24,831.05 (0.6)
Intra-segment elimination (275.65) (131.91) (109.0)
Total 2,99,655.61 2,90,384.64 3.2
Consolidated loss before tax Rs.31,371.15crores in FY 2018-19, compared to

profit of Rs.11,155.03crores in FY 2017-18. The loss before tax is primarily driven
by -
• The profitability at Jaguar Land Rover operations were lower due to product
mix, higher manufacturing expenses and other
operating costs including higher marketing expenses, higher depreciation and
amortization expenses related to significant
capital expenditure incurred in prior periods.
• Impairment charge of Rs.27,837.91crores for Jaguar Land Rover.
• Improvement in the Tata Motors Ltd Standalone business in India, mainly
favourable model mix and better management of other operating costs.
• The increase in profits in FY 2017-18 was also due to exceptional gain of
Rs.3,609.01crores of pension cost.
Balance Sheet
Mar 19 Mar 18
SHAREHOLDER'S FUNDS

CURRENT LIABILITIES
Trade Payables 68,513.53 72,038.41
ASSETS
NON-CURRENT ASSETS
Fixed Assets 142,370.44 161,330.91
CURRENT ASSETS
Inventories 39,013.73 42,137.63
Short Term Loans And Advances 1,268.70 2,279.66
Total Assets 307,194.53 331,350.51
 The company's current liabilities during FY19 stood at Rs 1,455 billion as

compared to Rs 1,432 billion in FY18, thereby witnessing an increase of
1.6%.
 Long-term debt stood at Rs 710 billion as compared to Rs 612 billion during
FY18, a growth of 16.0%.
 Current assets fell 9% and stood at Rs 1,234 billion, while fixed assets fell
11% and stood at Rs 1,479 billion in FY19.
 Overall, the total assets and liabilities for FY19 stood at Rs 3,072 billion as
against Rs 3,314 billion during FY18, thereby witnessing a fall of 7%.
TATA MOTORS Balance Sheet as on March 2019
No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Networth Rs m 954,279 601,796 -36.9
Current Liabilities Rs m 1,432,195 1,454,574 1.6
Long-term Debt Rs m 611,995 709,737 16.0
Total Liabilities Rs m 3,313,505 3,071,945 -7.3
Current assets Rs m 1,359,728 1,234,312 -9.2
Fixed Assets Rs m 1,663,353 1,478,617 -11.1
Total Assets Rs m 3,313,505 3,071,945 -7.3
There is decrease (net of depreciation and amortization) in the intangible and

tangible assets in FY 2018-19. The decrease was due to impairment charge of
Rs.27,837.91crores at Jaguar Land Rover. Further, the decrease was due to
unfavourable currency translation impact from GB£ to INR of Rs.2,215crores. This
was offset mainly at Jaguar Land Rover Slovakia plant, tooling and facilities for
new products like E-Pace, Evoque, I-Pace etc. At Tata Motors Ltd, the additions
were mainly in dies, tooling’s, and product development cost for new products.
Finance receivables (current + non-current) were Rs.33,624.69 crores as at March
31, 2019, as compared to Rs.23,881.18 crores as at March 31, 2018, an increase of
40.8%, primarily due to increased vehicle financing business. The Gross finance
receivables were Rs.34,457.74crores as at March 31, 2019, as compared to
Rs.25,070.75 crores as at March 31, 2018. Cash and cash equivalents were
Rs.21,559.80crores, as at March 31, 2019, compared to Rs.14,716.75 crores as at
March 31, 2018.
The closing net automotive debt increased to Rs.28,394crores at March 31, 2019
from Rs.13,889 crores as at March 31, 2018 mainly due to cumulative negative
free cash flow primary at JLR. Shareholders’ fund was Rs.60,179.56crores and
Rs.95,427.91 crores as at March 31, 2019 and 2018, respectively, a decrease of
36.9% mainly due to losses in FY 2018-19 of Rs.28,826.23 crores, due to
performance and impairment charge for Jaguar Land Rover business. Inventories
as at March 31, 2019, were Rs.39,013.73crores as compared to Rs.42,137.63
crores as at March 31, 2018, a decrease of 7.4%. Inventory at Tata and other
brand vehicles (including vehicle financing) was Rs.6,399.94crores as at March 31,
2019 as compared to Rs.7,318.87 crores as at March 31, 2018.
Inventory at Jaguar Land Rover was Rs.32,613.86crores as at March 31, 2019, a
decrease of 6.3%, as compared to Rs.34,805.01 crores as at March 31, 2018. In
terms of number of days of sales, finished goods represented inventory of 39 days
in FY 2018-19 as compared to 40 days in FY 2017-18.
Cash Flow
FY 2018-19 FY 2017-18 Change

(Rs. in crores)
Cash from operating activity 18,890.75 23,857.42 (4,966.67)
Profit for the year 9,091.36
(28,724.20)
Adjustments for cash flow from operations 57,486.63 24,220.92
Changes in working capital (7,212.25) (6,433.70)
Direct taxes paid (2,659.43) (3,021.16)
Cash from investing activity (19,711.09) (26,201.61) 6,490.52
Payment for property, plant and equipment and other (35,236.29) (35,048.62)
Net investments, short term deposit, margin money 14,532.42 6,359.13
and loans given
Dividend and interest received 992.78 2,487.88
Net Cash from / (used in) Financing Activities 8,830.37 2,011.71 6,818.66
Dividend Paid (including paid to minority shareholders) (94.74) (95.96)
Interest paid (7,005.09) (5,410.64)
Net Borrowings (net of issue expenses) 15,930.20 7,518.31
Net increase / (decrease) in cash and cash equivalent 8,010.03 (332.48) 8,342.51
Cash and cash equivalent, beginning of the year 14,716.75 13,986.76
Effect of exchange fluctuation on cash flows (1,410.92) 1,306.41
Classified as held for sale - (243.94)
Reversal of opening held for sale adjustment 243.94 -
Cash and cash equivalent, end of the year 21,559.80 14,716.75
 TATA MOTORS's cash flow from operating activities (CFO) during FY19 stood
at Rs 189 billion on a YoY basis.
 Cash flow from investing activities (CFI) during FY19 stood at Rs -197 billion
on a YoY basis.
 Cash flow from financial activities (CFF) during FY19 stood at Rs 88 billion,
an improvement of 339% on a YoY basis.
 Overall, net cash flows for the company during FY19 stood at Rs 68 billion
from the Rs 7 billion net cash flows seen during FY18.
TATA MOTORS Cash Flow Statement 2018-19
No. of
12 12
months %
Particulars
Change
Year Ending Mar-18 Mar-19
Cash Flow from Operating

Rs m 238,574 188,908 -20.8%
Activities
Cash Flow from Investing

Rs m -262,016 -197,111 -
Activities
Cash Flow from Financing

Rs m 20,117 88,304 338.9%
Activities
Net Cash Flow Rs m 7,300 68,431 837.4%

FY 17-18 Analysis
Consolidated Profit & Loss account ------------------- in Rs. Cr. -------------------
Mar 18 Mar 17
INCOME
Revenue From Operations [Gross] 289,386.25 270,298.08
Less: Excise/Sevice Tax/Other Levies 790.16 4,799.61
Revenue From Operations [Net] 288,596.09 265,498.47
Other Operating Revenues 6,023.09 4,194.04
Total Operating Revenues 294,619.18 269,692.51
Other Income 888.89 754.54
Total Revenue 295,508.07 270,447.05
EXPENSES
Cost Of Materials Consumed 171,992.59 159,369.55
Purchase Of Stock-In Trade 15,903.99 13,924.53
Operating And Direct Expenses 3,531.87 3,413.57
Changes In Inventories Of FG,WIP And Stock-In Trade -2,046.58 -7,399.92
Employee Benefit Expenses 30,300.09 28,332.89
Finance Costs 4,681.79 4,238.01
Depreciation And Amortisation Expenses 21,553.59 17,904.99
Other Expenses 58,998.93 59,340.16
Less: Amounts Transfer To Capital Accounts 18,588.09 16,876.96
Total Expenses 286,328.18 262,246.82
Profit/Loss Before Exceptional, ExtraOrdinary Items And Tax 9,179.89 8,200.23
Exceptional Items 1,975.14 1,114.56

Profit/Loss Before Tax 11,155.03 9,314.79
Tax Expenses-Continued Operations
Current Tax 3,303.46 3,137.66
Deferred Tax 1,038.47 113.57
Total Tax Expenses 4,341.93 3,251.23
Profit/Loss After Tax And Before ExtraOrdinary Items 6,813.10 6,063.56
Profit/Loss From Continuing Operations 6,813.10 6,063.56
Profit/Loss For The Period 6,813.10 6,063.56
Minority Interest -102.45 -102.20
Share Of Profit/Loss Of Associates 2,278.26 1,493.00
Consolidated Profit/Loss After MI And Associates 8,988.91 7,454.36
 Operating income during the year rose 9.2% on a year-on-year (YoY) basis.
 The company's operating profit increased by 16.7% YoY during the fiscal.
Operating profit margins witnessed a fall and down at 11.7% in FY18 as
against 11.0% in FY17.
 Depreciation charges increased by 20.4% and finance costs increased by
10.5% YoY, respectively.
 Other income grew by 17.8% YoY.
 Net profit for the year grew by 20.3% YoY.
 Net profit margins during the year grew from 2.8% in FY17 to 3.1% in FY18.
Consolidated Profit after tax increased by 20.6% to Rs.8,988.91crores in Fiscal

2018 from Rs.7,454.36 crores in Fiscal 2017, after considering the profit from
associate companies and shares of minority investees. The increase was mainly
attributable to improvement in Company’s standalone business and credit of
pension plan amendment, China Joint Venture performance offset by provision
for impairment of certain assets and JLR performance. Consolidated Profit Before
Tax (PBT) increased to Rs.11,155.03crores in Fiscal 2018, compared to Rs.9,314.79
crores in Fiscal 2017.
The increase in PBT is primarily driven by improvement in the Tata Motors Ltd
Standalone business in India, mainly favourable model mix and better
management of other operating costs. The increase in PBT was also due to
exceptional gain of Rs.3,609.01crores of pension cost. However, the profitability
at Jaguar Land Rover operations were lower due to product mix, higher
manufacturing expenses and other operating costs including higher marketing
expenses, higher depreciation and amortization expenses related to significant
capital expenditure incurred in prior periods.
Revenue from operations of the Company for Fiscal 2018, stood at Rs. 295, 409.34
crores, as compared to Rs.274,492.12crores, increased by 7.6%. Total number of
vehicles sold were 12,21,124 units in Fiscal 2018 as compared to 10,91,748 units
in Fiscal 2017, a growth of 11.9%. Revenue from operations (net of excise duty)
stood at Rs.294, 242.57 crores as compared to Rs.269,849.66 crores, increase of
9.0%.Cost of material consumed increased to 63.2% of total revenue (excluding
income from vehicle financing) in Fiscal 2018 from 61.5% in Fiscal 2017.
Other Income increased by 17.8% to Rs.888.89 crores in Fiscal 2018 from
Rs.754.54 crores in Fiscal 2017. Interest income increased to Rs.711.81 crores in
Fiscal 2018, compared to Rs.562.21 crores in Fiscal 2017, whereas profit on sale of
investment decreased to Rs.129.26 crores in Fiscal 2018, compared to Rs.176.14
crores in Fiscal 2017, primarily on the sale of mutual funds, at Tata and other
brand vehicles (including vehicle financing).
The Company’s consolidated total sales (including international business sales and
Jaguar Land Rover sales, excluding Chery Jaguar Land Rover) for Fiscal 2018 and
2017 are set forth in the table below:
Fiscal 2018 Fiscal 2017
Units % Units %
Passenger cars 3,19,492 26.2% 3,10,171 28.4%
Utility vehicles 4,45,080 36.4% 3,85,480 35.3%
Light Commercial Vehicles 2,85,857 23.4% 2,16,222 19.8%
Medium and Heavy Commercial Vehicles 1,70,695 14.0% 1,79,875 16.5%
Total 12,21,124 100.0% 10,91,748 100.0%
Balance sheet
Mar 18 Mar 17
SHAREHOLDER'S FUNDS

CURRENT LIABILITIES
Trade Payables 72,038.41 57,698.33
ASSETS
NON-CURRENT ASSETS
Fixed Assets 161,330.91 128,969.60

CURRENT ASSETS
Inventories 42,137.63 35,085.31
Short Term Loans And Advances 2,279.66 710.45
Total Assets 331,350.51 273,754.36
 The company's current liabilities during FY18 stood at Rs 1,432 billion as

compared to Rs 1,156 billion in FY17, thereby witnessing an increase of
23.9%.
 Long-term debt stood at Rs 612 billion as compared to Rs 606 billion during
FY17, a growth of 0.9%.
 Current assets rose 17% and stood at Rs 1,360 billion, while fixed assets
rose 28% and stood at Rs 1,663 billion in FY18.
 Overall, the total assets and liabilities for FY18 stood at Rs 3,314 billion as
against Rs 2,738 billion during FY17, thereby witnessing a growth of 21%.
TATA MOTORS Balance Sheet as on March 2018
No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Networth Rs m 580,619 954,279 64.4
Current Liabilities Rs m 1,156,295 1,432,195 23.9
Long-term Debt Rs m 606,292 611,995 0.9
Total Liabilities Rs m 2,737,544 3,313,505 21.0
Current assets Rs m 1,161,198 1,359,728 17.1
Fixed Assets Rs m 1,296,429 1,663,353 28.3
Total Assets Rs m 2,737,544 3,313,505 21.0
Borrowings
As at March 31 Change
2018 2017
(Rsin crores)
Long term borrowings 61,199.50 60,629.18 570.32
Short term 16,794.85 13,859.94 2,934.91
borrowings
Current maturities of 10,956.12 4,114.86 6,841.26
long term borrowings
Total 88,950.47 78,603.98 10,346.49
Balance Sheet
3,500,000
3,000,000
2,500,000
In Rs Millions
2,000,000
1,500,000 FY 16-17
FY 17-18
1,000,000
500,000
0
Current Long-term Total Current Fixed Total
Networth
Liabilities Debt Liabilities assets Assets Assets
FY 16-17 580,619 1,156,295 606,292 2,737,544 1,161,198 1,296,429 2,737,544
FY 17-18 954,279 1,432,195 611,995 3,313,505 1,359,728 1,663,353 3,313,505
Cash Flow
The following table sets forth selected items from consolidated cash flow statement:
Fiscal 2018 Fiscal 2017 Change
Rs. crore
Profit for the year 9,091.36 7,556.56
Changes in working capital (6,433.70) 3,254.24
Cash from investing activity (26,201.61) (38,079.88)

11,878.27
intangible assets (net) (35,048.62) (30,413.49)
Net investments, short term deposit, margin money
6,359.13 (8,924.27)
and loans given
Dividend and interest received 2,487.88 1,257.88
Net Cash from / (used in) Financing Activities 2,011.71 6,205.30 (4,153.59)
Proceeds from issue of shares - 4.55
Interest paid (5,410.64) (5,336.34)
Net Borrowings (net of issue expenses) 7,478.32 11,658.31
Net increase / (decrease) in cash and cash equivalent (332.48) (1,675.28) 1,342.80
Effect of exchange fluctuation on cash flows 1,306.41 (1,491.52)
Classified as held for sale (243.94) -
 TATA MOTORS's cash flow from operating activities (CFO) during FY18 stood
at Rs 239 billion on a YoY basis.
 Cash flow from investing activities (CFI) during FY18 stood at Rs -262 billion
on a YoY basis.
 Cash flow from financial activities (CFF) during FY18 stood at Rs 20 billion on
a YoY basis.
 Overall, net cash flows for the company during FY18 stood at Rs 7 billion
from the Rs -32 billion net cash flows seen during FY17.
Cash generated from operations before working capital changes was Rs.33,312.28
crores in Fiscal 2018, as compared to Rs.28,840.11 crores in the previous year,
representing an increase in cash from generated from consolidated operations.
After considering the impact of working capital changes including the net
movement of vehicle financing portfolio, the net cash generated from operations
was Rs.23,857.42crores in Fiscal 2018, as compared to Rs.30,199.25 crores in the
previous year. The increase in trade receivables, finance receivables, inventories
and other assets amounting to Rs.17,440.36 crores mainly due to increase in sales
was offset by increase in trade and other payables and provisions amounting to
Rs.11,006.66 crores.
The net cash outflow from investing activity decreased to Rs.26,201.61crores in
Fiscal 2018 from Rs.38,079.88 crores in Fiscal 2017. The net change in financing
activity was an inflow of Rs.2,011.71crores in Fiscal 2018 as compared to
Rs.6,205.30 crores in Fiscal 2017.
TATA MOTORS Cash Flow Statement 2017-18
No. of months 12 12
Particulars % Change
Year Ending Mar-17 Mar-18
Cash Flow from Operating Activities Rs m 301,993 238,574 -21.0%
Cash Flow from Investing Activities Rs m -380,799 -262,016 -
Cash Flow from Financing Activities Rs m 62,053 20,117 -67.6%
Net Cash Flow Rs m -31,669 7,300 -
Cash FLow
400,000
301,993
300,000
238,574
200,000
100,000 62,053
20,117 7,300
In Rs. Millions
0
FY 16-17
Cash Flow from Cash Flow from Cash Flow from Net Cash Flow
Operating Investing Activities Financing Activities -31,669 FY 17-18
-100,000
Activities
-200,000
-300,000 -262,016
-400,000
-380,799
-500,000
FY 16-17 analysis
Consolidated Profit & Loss account ------------------- in Rs. Cr. -------------------
Mar 17 Mar 16
INCOME
Revenue From Operations [Gross] 270,298.08 274,175.10
Less: Excise/Sevice Tax/Other Levies 4,799.61 4,614.99
Revenue From Operations [Net] 265,498.47 269,560.11
Other Operating Revenues 4,194.04 3,485.49
Total Operating Revenues 269,692.51 273,045.60
Other Income 754.54 885.35
Total Revenue 270,447.05 273,930.95
EXPENSES
Cost Of Materials Consumed 159,369.55 153,292.49
Purchase Of Stock-In Trade 13,924.53 12,841.52
Operating And Direct Expenses 3,413.57 3,468.77
Changes In Inventories Of FG,WIP And Stock-In Trade -7,399.92 -2,750.99
Employee Benefit Expenses 28,332.89 28,880.89
Finance Costs 4,238.01 4,889.08
Depreciation And Amortisation Expenses 17,904.99 16,710.78
Other Expenses 59,340.16 57,300.63
Less: Amounts Transfer To Capital Accounts 16,876.96 16,678.34
Total Expenses 262,246.82 257,954.83
Profit/Loss Before Exceptional, ExtraOrdinary Items And Tax 8,200.23 15,976.12
Exceptional Items 1,114.56 -1,850.35

Profit/Loss Before Tax 9,314.79 14,125.77
Tax Expenses-Continued Operations
Current Tax 3,137.66 1,862.05
Deferred Tax 113.57 1,163.00
Total Tax Expenses 3,251.23 3,025.05
Profit/Loss After Tax And Before ExtraOrdinary Items 6,063.56 11,100.72
Profit/Loss From Continuing Operations 6,063.56 11,100.72
Profit/Loss For The Period 6,063.56 11,100.72
Minority Interest -102.20 -98.88
Share Of Profit/Loss Of Associates 1,493.00 577.47
Consolidated Profit/Loss After MI And Associates 7,454.36 11,579.31
The Company income from operations including finance revenuesdecreased by

1.1% to Rs.274,492.12 crores in Fiscal 2017 fromRs.277,660.59 crores in Fiscal
2016. The decrease is attributable toRs.27,686crores impact due to unfavourable
currency translationfrom GB£ to INR. The Company’s net income (attributable
toshareholders of the Company) declined by 35.6% to Rs.7,454.36crores in Fiscal
2017 from Rs11,579.31 crores in Fiscal 2016. Overall,
earnings before other income, finance cost and tax, were Rs.15,593.80crores in
Fiscal 2017 compared to Rs21,596.73 crores in Fiscal 2016,a decrease of 27.8%.
The decrease in net income was primarilydriven by performance at India
operations of the Company, foreignexchange losses at Jaguar Land Rover business
coupled with higherdepreciation and amortization.
The following table sets forth the Company’s revenues from its key geographical
Revenue Fiscal 2017 Fiscal 2016

(Rs in crores) % (Rs in crores) %
India 47,101.21 17.2% 46,027.25 16.6%
United States 42,935.31 15.6% 43,809.17 15.8%
UK 50,588.18 18.4% 46,209.94 16.6%
Rest of Europe* 47,122.48 17.2% 41,575.25 15.0%
China 41,369.40 15.1% 48,760. 19 17.6%
Rest of World* 45,375.54 16.5% 51,278.79 18.5%
Total 274,492.12 100.0% 277,660.59 100.0%
markets and the percentage of total revenues that each key geographical market
contributes for the periods indicated:
Sales 2016-17
16.50% 17.20% India

United States
UK
15.10% 15.60%
Rest of Europe*
China
17.20% 18.40% Rest of World*
The following table sets forth selected data regarding the Company’s automotive operations for
the periods indicated, and the percentage change from period to period (before inter-segment
eliminations).
Fiscal 2017 Fiscal 2016 Change%
Total revenue (Rs in crores) 272,692.41 276,221.67 (1.3)%
Earning before other income, interest and tax (Rs in 15,324.12 21,244.44 (27.9)%
crores)
Earning before other income, interest and tax (% to total 5.6% 7.7%
revenue)
Company’s revenue from Tata and other brand vehicles (including vehicle
financing) and Jaguar Land Rover in Fiscals 2017 and 2016 and the percentage
change from period to period (before intra-segment eliminations) is set forth in
the table below.
(in Rs. crores) %
Tata and other brand vehicles 56,448.78 53,462.52 5.6%
Jaguar Land Rover 216,388.82 222,822.93 (2.9%)
Intra-segment elimination (145.19) (63.78) 127.6%
Total 272,692.41 276,221.67 (1.3%)
Category Industry Sales Company Sales Market Share
Fiscal Fiscal Fiscal Fiscal Fiscal Fiscal
Growth Growth
2017 2016 2017 2016 2017 2016
Units Units
% % % %
Micro 7,591 21,007 (63.9)% 7,591 21,007 (63.9)% 100.0% 100.0%

Compact 12,68,965 11,87,725 6.8% 1,28,888 84,472 52.6% 10.2% 7.1%
Mid-Size 1,63,567 1,81,450 (9.9)% - 187 (100.0)% - 0.1%
Premium
and 4,013 3,266 22.9% 696 1,161 (40.1)% 17.3% 35.5%
Luxury
Utility
7,69,055 5,94,443 29.4% 19,600 19,702 (0.5)% 2.5% 3.3%
Vehicles
Vans 1,59,943 1,49,731 6.8% 245 589 (58.4)% 0.2% 0.4%
Total 30,34,670 27,68,290 9.6% 1,57,020 1,27,118 23.5% 5.2% 4.6%
Balance sheet
Mar 17 Mar 16
SHAREHOLDER'S FUNDS

CURRENT LIABILITIES
Trade Payables 57,698.33 57,580.46
ASSETS
NON-CURRENT ASSETS
Fixed Assets 128,969.60 132,390.90

CURRENT ASSETS
Inventories 35,085.31 32,655.73
Short Term Loans And Advances 710.45 1,117.10
Total Assets 273,754.36 267,141.15
There is decrease (net of depreciation and amortization) in the intangible and

tangible assets in Fiscal 2017, due to unfavourable currency translation impact
from GB£ to INR of Rs.17,849 crores. Investments in equity accounted investees
were Rs.4,606.01crores as at March 31, 2017, as compared to Rs.3,763.95 crores
as at March 31, 2016. The increase was mainly due to profits at the Company’s
joint venture at China of GB£ 159 million (Rs.1,384.36crores).
During Fiscal 2017, Jaguar Land Rover purchased 32% of CloudCar Inc. for GB£ 12
million (Rs.107.15 crores). Inventories as at March 31, 2017, were
Rs.35,085.31crores as compared to Rs.32,655.73 crores as at March 31, 2016, an
increase of 7.4%. Inventory at Tata and other brand vehicles (including vehicle
financing) was Rs.6,923.42 crores as at March 31, 2017 as compared to
Rs.6,819.13 crores as at March 31, 2016. Cash and cash equivalents were
Rs.13,986.76crores, as at March 31, 2017, compared to Rs.17,153.61 crores as at
March 31, 2016.
The Company holds cash and bank balances in Indian rupees, GB£, Chinese
Renminbi, etc. The decrease is also attributable to unfavourable currency
translation impact from GB£ to INR of Rs.2,028crores. Current tax assets (net)
(current + non-current) were R1,195.67crores, as at March 31, 2017, compared to
Rs.1,412.56 crores as at March 31, 2016. These mainly includes prepaid expenses,
including rentals on operating lease of R2,063.55 crores as at March 31, 2017, as
compared to Rs.1,774.54 crores as at March 31, 2016. Taxes recoverable,
statutory deposits and dues from government were Rs.6,030.06crores as at
March 31, 2017, as compared to Rs.5,472.15 crores as at March 31, 2016.
Cash flow

(Rs in crores)
Changes in working capital 32,094.35 39,939.32
Cash from investing activity (38,079.88) (37,504.43) (575.45)
(30,413.49) (31,444.15)
(8,924.27) (6,848.93)
and loans given
Dividend and interest received 1,257.88 788.65
Net Cash from / (used in) Financing Activities 6,205.30 (3,795.12) 10,000.42
Proceeds from issue of shares 4.55 7,433.22
Interest paid (5,336.34) (5,715.66)
Net Borrowings (net of issue expenses) 11,658.31 (5,404.57)
Net increase / (decrease) in cash and cash equivalent (1,675.33) (3,400.01) 1,724.68
Effect of exchange fluctuation on cash flows (1,491.52) 810.53
representing a decrease in cash from generated from consolidated operations,
consistent with the reduction in profit on a consolidated basis. After considering
the impact of working capital changes including the net movement of vehicle
financing portfolio, the net cash generated from operations was
Rs.30,199.25crores in Fiscal 2017, as compared to Rs.37,899.54 crores in the
previous year.
The increase in trade receivables, inventories and other assets amounting to
Rs.11,668.00 crores mainly due to increase in sales was offset by increase in trade
and other payables and provisions amounting to Rs.14,922.24 crores. The net
cash outflow from investing activity increased to Rs.38,079.88crores in Fiscal 2017
from Rs.37,504.43 crores in Fiscal 2016. The net change in financing activity was
an inflow of Rs.6,205.30crores in Fiscal 2017 as compared to an outflow of
Rs.3,795.12 crores in Fiscal 2016.
The Company’s cash and bank balances on a consolidated basis were
Rs.36,077.88crores as at March 31, 2017, as compared to Rs.30,460.40 crores as
at March 31, 2016. These enable the Company to cater to business needs in the
event of changes in market conditions.
FIGURES IN RS CRORE 2017 2016 2015
OPENING CASH & CASH EQUIVALENTS 17153.61 19743.09 16627.98
NET CASH FROM OPERATING ACTIVITIES 30199.25 37899.54 35531.26
NET CASH USED IN/FROM INVESTING ACTIVITIES -39571.40 -36693.90 -36232.35
NET CASH USED IN/FROM FINANCING ACTIVITIES 6205.30 -3795.12 5201.44
NET (DECREASE)/INCREASE IN CASH AND -3166.85 -2589.48 4500.35

CASH EQUIVALENTS
CLOSING CASH & CASH EQUIVALENTS 13986.76 17153.61 21128.33

50000
Cash FLow
40000 37899.54
30199.25
30000
20000
10000 6205.3
In Rs. Crore
2017
0
Net Cash From Operating Net Cash Used In/From Net Cash Used In/From 2016
-10000 Activities Investing Activities Financing-3795.12
Activities
-20000
-30000
-40000 -36693.9
-39571.4
-50000
FY 15-16 Analysis
FIGURES IN RS CRORE 2016 2015
INCOME
SALES TURNOVER 277660.59 266707.91
EXCISE DUTY 4614.99 3548.92
NET SALES 273045.60 263158.99
OTHER INCOME -932.28 898.74
STOCK ADJUSTMENTS 2750.99 3330.35
TOTAL INCOME 274864.31 267388.08
EXPENDITURE
RAW MATERIALS 166134.02 163250.36
POWER & FUEL COST 1143.63 1121.75
EMPLOYEE COST 28880.89 25641.95
OTHER MANUFACTURING EXPENSES 12101.53 16173.17
SELLING AND ADMINISTRATION EXPENSES 21991.90 23603.01
MISCELLANEOUS EXPENSES 25565.06 13049.33
LESS: PRE-OPERATIVE EXPENSES CAPITALISED 16678.34 15404.18
TOTAL EXPENDITURE 239138.69 227435.39

OPERATING PROFIT 35725.63 39952.68
INTEREST 4889.08 4861.49
GROSS PROFIT 30836.55 35091.19
DEPRECIATION 16710.78 13388.63
PROFIT BEFORE TAX 14125.77 21702.56
TAX 3025.05 7642.91
NET PROFIT 11100.72 14059.65
NET PROFIT AFTER MINORITY INTEREST 11579.31 13986.29
TATA MOTORS LTD. (TATAMOTORS) - FINANCIAL QUARTERLY
FIGURES IN RS CRORE MAR-2016 DEC-2015 SEP-2015 JUN-2015
REVENUE 79509.89 70592.09 61524.03 60400.94
OTHER INCOME 793.66 328.80 256.75 867.29
TOTAL INCOME 80303.55 70920.89 61780.78 61268.23
EXPENDITURE 68690.43 62106.83 58346.19 49403.48
OPERATING PROFIT 11613.12 8814.06 3434.59 11864.75
INTEREST 1379.35 1138.26 1222.77 1149.59
PBDT 10233.77 7675.80 2211.82 10715.16

DEPRECIATION 4345.47 4261.95 4361.79 3741.57
PBT 5888.30 3413.85 -2149.97 6973.59
TAX 1247.17 668.98 -429.11 1648.54
NET PROFIT 4751.66 2744.87 -1720.86 5325.05
NET PROFIT AFTER MINORITY INTEREST 5211.49 2952.67 -1740.20 5254.23
EPS (RS) 15.23 8.63 -5.19 15.76
The Company total revenue (net of excise duties) including finance revenues
increased by 4.7% to Rs.275,561.11crores in Fiscal 2016 from Rs.263,158.98
crores in Fiscal 2015. However, the Company’s net income (attributable to
shareholders of the Company) declined by 21.2% to Rs.11,023.75crores in Fiscal
2016 from Rs.13,986.29 crores inFiscal 2015.
Overall, earnings before other income, interest and tax before inter-segment
eliminations, were Rs.19,825.99 crores in Fiscal 2016 compared to Rs.25,997.39
crores in Fiscal 2015, a decrease of 23.7%.The decrease in net income was
primarily driven by higher depreciation and amortization, as well as factors
impacting the Jaguar land Rover business, most notably less favourable market
and model mix, an exceptional one time charge relating to vehicles destroyed or
damaged in the Tianjin port explosion in August 2015, and one time reserves and
charges for an industry-wide passenger airbag safety recall announced in the
United States by National Highway Traffi c System Administration (NHTSA) in
respect of airbags from a supplier (Takata), provision for doubtful debts and
previously capitalized investment
Revenue Fiscal Fiscal
2016 2015
(Rs in crores) % (Rs in crores) %
India 41,979.43 15.2% 35,676.53 13.6%
China 53,123.58 19.3% 76,170.40 28.9%
UK 46,007.94 16.7% 35,484.92 13.4%
United States 43,692.61 15.9% 31,469.53 12.0%
Rest of Europe* 41,583.95 15.1% 31,791.99 12.1%
Rest of World* 49,173.60 17.8% 52,565.61 20.0%
Total 275,561.11 100.0% 263,158.98 100.0%
Sales FY 15-16
17.80% 15.20% India

China
UK
15.10% 19.30%
United States
Rest of Europe*
15.90% 16.70% Rest of World*
The following table sets forth selected data regarding the Company’s automotive
operations for the periods indicated, and the percentage change from period to
period (before inter-segment eliminations).
Fiscal 2016 Fiscal Change
2015
%
Total revenue (Rs in crores) 274,138.50 261,839.73 4.7%
Earning before other income, interest and tax (Rs in 19,386.50 25,621.43 (24.3)%
crores)
Earning before other income, interest and tax (% to total 7.1% 9.8%
revenue)
The Company’s revenue from Tata and other brand vehicles (including vehicle
financing) and Jaguar Land Rover in Fiscals 2016 and 2015 and the percentage
change from period to period (before intra-segment eliminations) is set forth in
the table below.
(Rs in crores)
%
Tata and other brand vehicles 49,742.80 44,118.13 12.7%

Jaguar Land Rover 224,471.12 217,828.44 3.0%
Intra-segment elimination (75.42) (106.84) 29.4%
Total 274,138.50 261,839.73 4.7%
Balance sheet
------------------- in Rs. Cr. ---

Consolidated Balance Sheet
----------------
Mar 16 Mar 15
SHAREHOLDER'S FUNDS
Revaluation Reserves 0.00 22.87
CURRENT LIABILITIES
Trade Payables 57,580.46 57,407.28

ASSETS
NON-CURRENT ASSETS
Fixed Assets 132,390.90 112,422.59
Long Term Loans And Advances 503.88 14,948.31
Other Non-Current Assets 15,071.89 858.00
Foreign Currency Monetary Item Translation Difference A/C 0.00 0.00
CURRENT ASSETS
Inventories 32,655.73 29,272.34
Short Term Loans And Advances 1,117.10 10,746.44
Total Assets 267,141.15 238,657.99

OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS
Contingent Liabilities 43,504.88 22,345.82
BONUS DETAILS
Bonus Equity Share Capital 111.29 111.29
NON-CURRENT INVESTMENTS
Non-Current Investments Quoted Market Value 210.50 210.61
Non-Current Investments Unquoted Book Value 559.54 395.83
CURRENT INVESTMENTS
Current Investments Quoted Market Value 0.00 0.00
Current Investments Unquoted Book Value 19,233.04 14,096.24
Shareholders’ fundwas Rs.80,782.67crores and Rs.56,261.92 croresas at March

31, 2016 and 2015, respectively, an increase of 43.5%.
Borrowings
As at March 31,
2016 2015 Change
(Rs in crores)
Long term borrowings 51,876.31 56,071.34 (4,195.03)
Short term borrowings 11,223.63 13,140.14 (1,916.51)
Current maturities of long term borrowings 7,368.55 4,398.91 2,969.64
Total 70,468.49 73,610.39 (3,141.90)
Other long-term liabilities were Rs.9,946.52crores as at March 31, 2016, as
compared to Rs.9,141.92 crores as at March 31, 2015. These included
Rs.7,744.11crores of derivative financialinstruments, mainly attributable to Jaguar
Land Rover as at March 31, 2016 compared to Rs.7,721.94 crores as at March 31,
2015, reflecting notional liability due to the valuation of derivative contracts.
Trade payables were R63,632.89crores as at March 31, 2016, as compared to

Rs.57,407.28 crores as at March 31, 2015.
Other current liabilities were Rs.27,261.82crores as at March 31, 2016 as

compared to Rs.23,688.58 crores as at March 31, 2015, representing an increase
of 15.1%. These mainly includes liabilities towards vehicles sold under repurchase
arrangements, liabilities for capital expenditure, statutory dues, current liabilities
of longtermdebt, derivative liabilities and advance / progress payment from
customers. The increase was mainly due to increase in current maturites of long-
term borrowings. The increase (net of depreciation) in the tangible assets mainly
represented additions towards new product plans and the new engine
manufacturing facility and Brazil plant at Jaguar Land Rover and the increase (net
of amortisation) in the intangible assets was R7,168.91 crores, mainly attributable
to new product developments projects and new product launches during Fiscal
2016.
Inventories as at March 31, 2016, were Rs.33,398.98crores as compared to

Rs.29,272.34 crores as at March 31, 2015, an increase of 14.1%. Inventory at Tata
and other brand vehicles (including vehicle financing) was Rs.6,818.67crores as at
March 31, 2016 as compared to Rs.6,155.33 crores as at March 31, 2015.
Cash and bank balances were Rs.32,879.98 crores, as at March 31, 2016
compared to Rs.32,115.76 crores as at March 31, 2015, The Company holds cash
and bank balances in Indian rupees, GBP, Chinese Renminbi, etc. The cash
balances include bank deposits maturing within one year of Rs.23,230.63crores as
at March 31, 2016, compared to Rs.23,638.08 crores as at March 31, 2015.
Cash Flow

( in Rs. crores )
Net Cash from Operating Activities 39,166.71 35,531.26 3,635.45
Adjustment for cash flow from operations 27,585.37 29,410.82
Change in working capital 2,551.53 (3,671.81)
Direct taxes paid (net) (1,993.94) (4,194.04)
Net Cash used in Investing Activities (38,610.81) (34,867.22) (3,743.59)
Payments for fi xed assets (net) (32,623.24) (31,887.98)
(1,987.23) 1,853.14
and loans given
Investments in Mutual Funds sold/ (made) (net) (4,714.73) (5,450.10)
investments in subsidiary/associate companies/ JV
(111.44) (160.00)
(net)
Dividend and Interest received 825.83 777.72
Net Cash (used in)/ from Financing Activities (3,192.95) 5,201.44 (8,394.39)
Proceeds from Rights issue of shares (net of issue
7,433.22 -
expenses)
Proceeds from issue of preference shares to minority
428.44 -
shareholders (net of issue expenses)
Net borrowings (net of issue expenses) (5,176.77) 12,228.79
Interest Paid (5,703.90) (6,306.98)
Dividend paid (including paid to minority shareholders) (173.94) (720.37)
Net (decrease)/ increase in cash and cash equivalent (2,637.05) 5,865.48
Cash and cash equivalent on acquisition of a subsidiary - 0.46
Effect of exchange fluctuation on cash flows 859.20 (1,365.59)
representing a decrease in cash generated through consolidated operations,
consistent with the reduction in profit on a consolidated basis. After considering
the impact of working capital changes including the net movement of vehicle
financing portfolio, the net cash generated from operations was
Rs.39,166.71crores in Fiscal 2016, as compared to Rs.35,531.26 crores in the
previous year.
The increase in trade receivables, inventories and other assets amounting to
Rs.7,845.79 crores mainly due to increase in sales was off set by increase in trade
and other payables and provisions amounting to Rs.10,397.32 crores.
The net cash outflow from investing activity increased to Rs.38,610.81crores in
Fiscal 2016 from Rs.34,867.22 crores in Fiscal 2015. The net change in financing
activity was an outflow of Rs.3,192.95crores in Fiscal 2016 as compared to an
inflow of Rs.5,201.44 crores in Fiscal 2015.
Ratio Analysis
Financial Data (Tata Motors Limited)
Item/Year 2020 2019 2018 2017 2016
Current 1,195,872,500 1,228,275,200 1,362,648,300 1,163,336,400 1,099,236,700
Assets
Current 1,404,540,500 1,447,750,600 1,427,782,700 1,152,886,200 1,070,494,300
Liabilities
Inventories 374,568,800 390,015,900 424,296,200 352,953,800 326,557,300
Cash 337,269,700 326,488,200 346,139,100 360,778,800 304,604,000
Receivables 111,726,900 189,961,700 198,933,000 140,755,500 189,993,800
Total Assets 3,221,212,600 2,987,119,900 3,235,937,200 2,666,646,000 2,671,411,500
Total 2,582,291,700 2,429,052,500 2,321,989,900 2,127,803,800 1,881,887,400

Liabilities
Total Equity 638,920,000 552,738,700 908,589,800 534,197,000 789,524,100
Sales 2,610,679,700 2,993,662,400 2,882,951,100 2,656,495,100 2,730,456,000
Cost of 1,67,126,000 1,978,855,800 1,869,682,900 1,670,895,400 1,624,190,400

Goods Sold
Interest 72,433,300 57,586,000 46,365,000 42,365,700 48,890,800
Net -109,752,300 -293,142,700 66,660,800 61,210,500 111,007,200

Income/Loss
Current Ratio:
2020 2019 2018 2017 2016

Current 1,195,872,500 1,228,275,200 1,362,648,300 1,163,336,400 1,099,236,700
assets
Current 1,404,540,500 1,447,750,600 1,427,782,700 1,152,886,200 1,070,494,300
Liabilities
Total 0.85 0.84 0.95 1.009 1.02
Current ratio by 'year'

1.2
1.009 1.02
1 0.95
0.85 0.84
0.8
Current Ratio
0.6
0.4
0.2
0
2020 2019 2018 2017 2016
Quick Ratio:
2020 2019 2018 2017 2016

Current 821,303,700 838,259,300 938,352,100 810,382,600 772,679,400
assets -
Inventory
Current 1,404,540,500 1,447,750,600 1,427,782,700 1,152,886,200 1,070,494,300
Liabilities
Total 0.58 0.58 0.65 0.70 0.72
Quick ratio
0.8 0.72
0.7
0.7 0.65
0.58 0.58
0.6
0.5
0.4
0.3
0.2
0.1
0
2020 2019 2018 2017 2016
Cash Ratio:
Year/Item 2020 2019 2018 2017 2016

Cash 337,269,700 410,723,400 492,394,200 509,206,700 304,604,000
Current 1,404,540,500 1,447,750,600 1,427,782,700 1,152,886,200 1,070,494,300
Liabilities
Total 0.24 0.28 0.34 0.44 0.28
Cash Ratio
0.5
0.45
0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0
2020 2019 2018 2017 2016
Inventory Turnover Ratio:
2020 2019 2018 2017 2016

COGS 1,670,126,000 1,978,855,800 1,869,682,900 1,670,895,400 1,624,190,400
inventory 374,568,800 390,015,900 424,296,200 352,953,800 326,557,300
4.45 5.07 4.40 4.73 4.97
Inventory Turnover Ratio

5.2
5.07
4.97
5
4.8 4.73
4.6
4.45
4.4
4.4
4.2
4
2020 2019 2018 2017 2016
RECEIVABLE TURNOVER RATIO:
Item/Year 2020 2019 2018 2017 2016

Sales 2,610,679,700 2,993,662,400 2,882,951,100 2,656,495,100 2,730,456,000
Receivables 111,726,900 189,961,700 198,933,000 140,755,500 189,993,800
23.36 15.75 14.49 18.87 14.37

RECEIVABLE TURNOVER RATIO
25 23.36
20 18.87
15.75
14.49 14.37
15
10
0
2020 2019 2018 2017 2016
Debt Ratio:
Year/Item 2020 2019 2018 2017 2016

Total Liabilities 2,582,291,700 2,429,052,500 2,321,989,900 2,127,803,800 1,881,887,400
Total assets 3,221,212,600 2,987,119,900 3,235,937,200 2,666,646,000 2,671,411,500
0.801 0.813 0.717 0.797 0.704
Debt Ratio
0.82
0.801 0.803
0.797
0.8
0.78
0.76
0.74
0.717
0.72 0.704
0.7
0.68
0.66
0.64
2020 2019 2018 2017 2016
Return on equity ratio:
2020 2019 2018 2017 2016

Net income -109,752,300 -293,142,700 66,660,800 61,210,500 111,007,200
Equity 638,920,000 552,738,700 908,589,800 534,197,000 789,524,100

-0.171 -0.530 0.073 0.114 0.140
Return on equity ratio

0.2 0.14
0.114
0.1 0.073
0
2020 2019 2018 2017 2016
-0.1
-0.2 -0.171
-0.3
-0.4
-0.5
-0.53
-0.6
Comparative statement analysis
Current Assets
1,600,000,000
1,362,648,300
1,400,000,000
1,228,275,200 1,195,872,500
1,163,336,400
1,200,000,000 1,099,236,700
1,000,000,000
In Rs.
800,000,000
600,000,000
400,000,000
200,000,000
0
2016 2017 2018 2019 2020
Current Liabilities
1,600,000,000
1,362,648,300
1,400,000,000
1,228,275,200 1,195,872,500
1,163,336,400
1,200,000,000
1,070,494,300
1,000,000,000
In Rs.
800,000,000
600,000,000
400,000,000
200,000,000
0
2016 2017 2018 2019 2020
Total Assets
3,500,000,000
3,235,937,200 3,221,212,600
2,987,119,900
3,000,000,000
2,671,411,500 2,666,646,000
2,500,000,000
2,000,000,000
In Rs.
1,500,000,000
1,000,000,000
500,000,000
0
2016 2017 2018 2019 2020
Total Liabilities
3,000,000,000
2,582,291,700
2,429,052,500
2,500,000,000 2,321,989,900
2,127,803,800
2,000,000,000 1,881,887,400
In RS.
1,500,000,000
1,000,000,000
500,000,000
0
2016 2017 2018 2019 2020
Sales
3,100,000,000
2,993,662,400
3,000,000,000
2,882,951,100
2,900,000,000
2,800,000,000
In RS.
2,730,456,000
2,700,000,000 2,656,495,100
2,610,679,700
2,600,000,000
2,500,000,000
2,400,000,000
2016 2017 2018 2019 2020
Net Income/Loss
150,000,000
111,007,200
100,000,000 66,660,800
61,210,500
50,000,000
0
2016 2017 2018 2019 2020
-50,000,000
In Rs
-100,000,000
-109,752,300
-150,000,000
-200,000,000
-250,000,000
-300,000,000
-293,142,700
-350,000,000
Conclusion
To conclude, the Tata Motors company has shown its impact on the industry. We
can see the downfall of tata motors, but it is expected, as it is such a big company.
In this report, we have seen that there is an abnormal amount of debt from Tata
motors. Their ability to make the contractual payment has also been hugely
decreased. Looking at all the three years, 2017 is considered the best financial
year out of the three years. It had the highest current and quick ratio in the year
2017 and the rate has fallen ever since, which clearly shows that liquidity has
decreased over time. If the company manages its assets well and finances its debt
properly, it is expected to recover from the loss.
The entire automotive industry is booming in the country. India is becoming the
most important automobile manufacturer on this planet - GM, Honda, Hyundai,
BMW, Mercedez and other tempting destinations. From the production of cars to
the maintenance of cars, the car has also gained a crucial position in the
automotive industry. New technologies introduced in the new service industry in
a short period of time, even the high-tech services industry, these people will
promote the value of their cars to increase the good demand in the service
industry. The company needs to take an important care to the client when
providing the service, even if the upgrade service within your time interval is very
important. The experience of project in which I have learnt about the strength
,weakness, of the company and made me to find out external opportunities they
have got in order to develop the business and get in and satisfy the customers at
a good rate.
FINDINGS
 Tata Motors is number three in passenger car market after maruti-
suzuki&hyundai.
 According to analysistata motors are providing better safety than other
carmanufacture.
 Majority of sample think that price of Tata car parts are not available
everywhere, and it is costly than other car parts
 Advertisement in mass media such as television, newspapers, and
magazines are bestmeans to spread awareness about brand repositioning.
And it is a better medium to attract the customer.
 Tata Motors acquired the South Korean truck manufacturer Daewoo
Commercial Vehicles Company in 2004 and purchased Jaguar Land Rover
from Ford in 2008.
References
 https://en.wikipedia.org/wiki/Tata_Motors
 https://www.business-standard.com/company/tata-motors-560/financials-
overview
 https://economictimes.indiatimes.com/tata-motors-
ltd/infocompanyhistory/companyid-12934.cms
 https://www.moneycontrol.com/india/stockpricequote/auto-
lcvshcvs/tatamotors/TM03
 https://www.ndtv.com/business/stock/tata-motors-ltd_tatamotors/reports
 https://www.tatamotors.com/wp-
content/uploads/2016/11/18070456/TML-Capabilities.pdf
 https://www.forbes.com/companies/tata-motors
 https://www.tatamotors.com/investors/annual-reports/
 https://www.thehindu.com/business/Industry/tata-motors-back-in-black-
as-jlr-improves/article30695352.ece#

Tata Final

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Tata Final

Uploaded by

Copyright:

Available Formats

A Project Report on

Research methodology report on

for the partial fulfillment of

Under the guidance of

KRT Arts, BH Commerce and AM Science (KTHM)

Research methodology report on

for the partial fulfillment of

Under the guidance of

KRT Arts, BH Commerce and AM Science (KTHM)

I am using this opportunity to express my gratitude to everyone who supported me throughout

Borse Makarand Mukund

Date: _________ Sign of the student

Place: Nashik Borse Makarand Mukund

Chapter 2 Company’s Profile

Chapter 3 Conceptual Background and feasibility study

Chapter 4 Analysis and Interpretations of Financial Statements

Definition: Research is defined as careful consideration of study regarding a

2. Objectives and purpose of study

There are three main purposes:

Research gives us information about:

What do we do with research?

3. Scope of the study

7. Assumptions of the study

8. Research methodology used

Types of qualitative methods include:

Types of quantitative methods include:

Gathering data from direct and indirect sources:

Formerly known as Tata Engineering and Locomotive Company (TELCO), the

Tata Motors was founded in 1945, as a locomotive manufacturer. Tata

In 2004, Tata Motors acquired Daewoo's South Korea-based truck manufacturing

In 2012, Tata Motors announced it would invest around ₹6 billion in the

On 2 November 2015, Tata Motors announced Lionel Messi as global brand

On 27 December 2016, Tata Motors announced the Bollywood actor Akshay

On 8 March 2017, Tata Motors announced that it has signed a memorandum of

On 29 April 2019, Tata Motors announced a partnership with Nirma

Tata Motors is among the world’s leading manufacturers of automobiles and

Formerly Tata Engineering and Locomotive Company Ltd.

Traded as  BSE: 500570

Headquarters Mumbai, Maharashtra, India

Area served Worldwide

Key people  NatarajanChandrasekaran (chairman)

Production output 961,463 (2021)

Services  Automotive finance

Revenue ₹252,437 crore (US$35 billion) (2021)

Operating income ₹−2,377 crore (US$−330 million) (2021)

Net income ₹−13,016 crore (US$−1.8 billion) (2021)

Total assets ₹343,125 crore (US$48 billion) (2021)

Total equity ₹54,480 crore (US$7.6 billion) (2021)

Parent Tata Group

Divisions Tata Motors Cars

Subsidiaries  Jaguar Land Rover

Tata Motors Limited (TML) is one of India’s largest Original Equipment

We innovate mobility solutions with passion to enhance the quality of life

 delivering superior financial returns

Jaguar Land Rover (JLR) is a global automotive manufacturer and leading

JLR's vision is a world of sustainable, smart mobility – Destination Zero –

Tata and other brand vehicles -

TATA MOTORS FINANCE

TATA DAEWOO & TATA TECHNOLOGIES LIMITED

Tata Technologies Limited is a leading company in engineering services

The Integrated Report does not include information on these subsidiaries

Shareholding Pattern - Tata Motors Ltd.