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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K/A
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the Month of February 2018
Commission File Number: 001-32294
TATA MOTORS LIMITED
(Translation of registrant’s name into English)
BOMBAY HOUSE
24, HOMI MODY STREET,
MUMBAI 400 001, MAHARASHTRA, INDIA
Telephone # 91 22 6665 8282 Fax # 91 22 6665 7799
(Address of principal executive office)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ☐ No ☒
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ☐ No ☒
Indicate by check mark whether by furnishing the information contained in this Form, the Registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:
Yes ☐ No ☒
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g 3-2(b): Not Applicable
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| Item 1: |
2018FY Q3 Investor presentation |
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorised.
| Tata Motors Limited | ||
| By: | /s/ Hoshang K Sethna | |
| Name: | Hoshang K Sethna | |
| Title: | Company Secretary | |
Dated: February 7, 2018
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JAGUAR LAND ROVER
RESULTS FOR THE THREE AND NINE MONTHS ENDED 31 DECEMBER 2017
AS INCLUDED IN TATA MOTORS
GROUP PRESENTATION
Kenneth Gregor, CFO 5 February 2018
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DISCLAIMER
Statements in this presentation describing the objectives, projections, estimates and expectations of Jaguar Land Rover Automotive plc and its direct and indirect subsidiaries (the
“Company”, “Group” or “JLR”) may be “forward-looking statements” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied.
Important factors that could make a difference to the Company’s operations include, among others, economic conditions affecting demand / supply and price conditions in the domestic and overseas markets in which the Company operates, changes in
Government regulations, tax laws and other statutes and incidental factors—Q3 FY18 represents the 3 month period from 1 October 2017 to 31 December 2017—Q3 FY17 represents the 3 month period from 1 October 2016 to
31 December 2016—9M FY18 represents the 9 month period from 1 April 2017 to 31 December 2017—9M FY17 represents the 9 month period from 1 April 2016 to 31 December 2016 Unless stated otherwise sales volumes are
expressed in thousand units, and financial values are in GBP millions Consolidated results of Jaguar Land Rover Automotive plc and its subsidiaries contained in the presentation are unaudited and presented under IFRS as approved in the EU. Retail
volume data includes and wholesale volume excludes sales from the Company’s unconsolidated Chinese joint venture (“CJLR”) EBITDA is defined profit before income tax expense, exceptional items, finance expense (net), finance income,
gains/losses on unrealised commodity derivatives, foreign exchange gains/losses on unrealised derivatives as well as debt (not designated as hedges) and realised currency derivatives entered into to hedge certain foreign currency debt, share of
profit/loss from equity accounted investments and depreciation and amortisation. EBIT is defined as profit before income tax expense, exceptional items, finance expense (net), finance income, gains/losses on unrealised commodity derivatives, foreign
exchange gains/losses on unrealised derivatives as well as debt (not designated as hedges) Certain analysis undertaken and represented in this document may constitute an estimate from the Company and may differ from the actual underlying
results—2 –
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AGENDA Business highlights 4 Financial performance for the quarter and year to date 5 JLR strategic priorities 12 Looking ahead 21 Closing Q&A—3—
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Business highlights 4 new products and other developments New Products Other Developments E-PACE on sale in the UK and 18MY Range Rover Sport with Continuing to expand production at New Slovakia plant on track for Europe since November 2017 PHEV models now on sale our UK engine plant start of production end 2018 Long wheel base XEL on sale from 18MY Range Rover with PHEV JLR is taking part in the UK’s first Jaguar F-PACE, E-PACE and Velar our China JV since December 2017 models now on sale road tests for autonomous vehicles secure 5 star Euro NCAP rating—4 –
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Q3 revenue up 4%, PBT Ł63m lower 17MY run-out, higher D&A; exceptional gain in FY17 9 Months Q3 Revenue PBT EBITDA IFRS, Łm Higher wholesales (2,829 units) led by Velar, offset by RR and RR Sport model year changeover Q3 FY17 included Ł85m Tianjin recovery Higher D&A from investment in new models, technology and capacity Higher wholesales (7,119 units) Higher incentives, launch and growth costs and higher D&A from investment in new models, technology and capacity Includes Ł437m credit for pension benefit change —5—
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Q3 retails 154.4k, up 3.5% China, Overseas higher; UK, Europe, NA
lower YoY Wholesales Units 34.0 21.8 32.7 18.4 26.9 YoY (9.7)% (8.0)% 1.8% 14.4% 25.6% Retail volumes include sales from Chery Jaguar Land Rover – Q3 FY18 23,388 units, Q3 FY17 19,395 units
Wholesale volumes exclude sales from Chery Jaguar Land Rover – Q3 FY18 25,328 units, Q3 FY17 21,335 units
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Q3 retails 154.4k, up 3.5% Velar and Discovery ramp up, RR and RR Sport 17MY run-out 29.7 24.7 18.517.116.5 12.912.5 10.7 6.8 2.22.4 0.6 XEXFXJE-PACEF-PACEF-TYPEDiscoveryDiscoveryRR EvoqueRR VelarRR SportRange Rover Sport YoY(4.1)0.9(0.8)0.6(0.9)0.0(1.1)4.9(3.0)17.1(6.2)(2.2) Wholesales Units6.25.22.21.816.82.418.013.819.520.316.111.5 YoY(6.3)0.0(0.5)1.8(4.2)(0.4)(4.7)8.1(5.4)20.3(3.9)(1.9) Retail Volumes include sales from Chery Jaguar Land Rover – Q3 FY18 23,388 units, Q3 FY17 19,395 units Wholesale volumes exclude sales from Chery Jaguar Land Rover – Q3 FY18 25,328 units, Q3 FY17 21,335 units—7—
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Q3 PBT down Ł63m 17MY run-out, higher D&A; exceptional gain in FY17 IFRS, Łm Wholesales +2.8k Q3 FY17 5.6% Ł137m D&A on Ł67m prior period Tianjin recovery, units and Q3 FY18 6.9% of new models MTM loss offset by China favourable mix revenue market incentive 375 86(73) 32540(178) 275255 102(40) 225 192 175 125 75 25 (25) PBTVolume, mixNetContributionStructuralFXOtherPBT Q3 FY17& marketpricingcostscostsQ3 FY18 EBIT3.9%0.0%0.4%(2.7)%0.3%0.7%2.6% —8 –
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Q3 free cash flow Ł(660)m Ongoing investment, launch-related working capital outflow IFRS, Łm 573(35)730(1,070) 700 500 300 192 100 (100) (300)(661) (321) (500) PBT Q3 FY18Non-cash and otherTaxCash profit after taxInvestmentWorkingFree cash flow capital * Free cash flow defined as net cash generated from operating activities less net cash used in investing activities (excluding movements in short-term deposits) and after finance expenses and fees and payments of lease obligations. Free cash flow also includes foreign exchange gains/losses on short-term deposits and cash and cash equivalents—9 –
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Q3 investment spending 17% of revenue New models, capacity, technology to grow 1,200 IFRS, Łm 5751,070 1,0009.1% 800 600 93495 4021.5% 400 6.4% 200 0 CapitalisedExpensedTotalCapitalTotal R&DR&DR&DInvestment*Investment YoY+23(3)+20+124+144 * Primarily plant, property and equipment of Ł542m—10 –
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Ł3.7b cash, Ł1.9b undrawn RCF Strong liquidity, average debt maturity over 4 years IFRS, Łm Total cash Debt maturity profile 5,000 4,500 4,000 3,840 3,817 3,714 142 3,500 3,000 2,500 2,000 3,675 1,500 1,000 500 770 576 519 370 370 400 370 300—/ / Q3 Q3 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY27 Total FY17 FY18 Bonds Other debt: Discounted receivables, finance leases and deferred fees Debt—11 –
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Q3 YoY favourable FX Ł100m Favourable FX revaluation, lower hedge reserve Ł67m prior IFRS, Łm 250 period FX 200 revaluation loss 102 100 50151623 0 (50) (100)(134) (150) OperationalRealised HedgesCurrent Asset/LiabilityTotal FX inUnrealised FXTotal FX in Exchange& OtherRevaluationEBITDA/EBITRevaluationPBT End of Period RatesHedge Reserve (Pre-Tax) Q3Q2Q3YoYQoQQ3Q2Q3 FY17FY18FY18ChangeChangeFY17FY18FY18 GBP:USD1.2291.3401.3509.8%0.7%Current Portion(1,516)(793)(705) GBP:EUR1.1681.1371.129(3.3%)(0.7%)Non-Current Portion(1,456)(299)(192) GBP:CNY8.5658.9088.8042.8%(1.2%)Total(2,972)(1,092)(897) Certain analysis undertaken and represented in this document may constitute an estimate from the Company and may differ from the actual underlying results—12 –
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JLR STRATEGY
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Consistent strategy Investing to drive sustainable profitable growth Business Blueprint Business Model Inputs Experiences people love, for life Environmental More GreatCustomer rstInnovation Environmental ProductsFirstInnovation GlobalEngaged Global Growth TransformedBusinessPassionate GrowthCost StructureExcellencePeople Integrity, Pioneering, Excellence, Unity and Responsibility Our most valuable asset is our people, nothing is more important than their safety and wellbeing Outputs - 14 -
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Responding to challenging environment Geopolitical and Market and Electrification, diesel Driver assistance, High capital economic environment, competitive forces—uncertainty and connectivity and investment including Brexit higher incentives emissions compliance mobility trends requirements Target growing Exciting new Investment in hybrid Investment in new Cost efficiency premium segments & products and BEV technology technologies and management balanced market mix services—15—
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Recent trends in industry volumes Units 000s (0.1)% 7,6077,595—Diesel uncertainty and UK taxationDiesel uncertaintyMarket cyclicality—Brexit uncertainty—Market cyclicality (1.9)% 4,4184,333 5.3% 5.0%3,066 2,913 2,3492,466 (12.6)% 542474 UKEuropeUSOverseasChina Q3 FY17Q3 FY18 The total industry car volume data above has been compiled using relevant data available at the time of publishing this Interim Report, compiled from national automotive associations such as the Society of Motor Manufacturers and Traders in the UK and the ACEA in Europe, according to their segment definitions, which may differ from those used by JLR. South Korea industry volumes have been excluded from Overseas—16—
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Premium car CAGR 2.4% to 7.2m by FY23 Led by China and Overseas; UK, NA weaker Units mils Total CAGR 7.2+2.4% 0.4-1.3% 6.2UK 1.1+4.3% 0.4Overseas 0.9 1.3+1.5% Europe 1.2 North America2.0+0.5% 2.0 1.8China2.4+4.4% FY17FY18FY19FY20FY21FY22FY23 Source: IHS Automotive November 2017, JLR Segments- 17 -
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Growing JLR model range to meet demand LUXURY SPORTS LIFESTYLE LUXURY – RANGE ROVER LEISURE—DISCOVERY DUAL PURPOSE—DEFENDER XJ F-TYPE F-PACE RANGE ROVER ALL NEW DISCOVERY LAND ROVER DEFENDER Replacement in development XF SPORTBRAKE F-TYPE CONVERTIBLE E-PACE RANGE ROVER SPORT DISCOVERY SPORT JAGUAR XF WINNER RANGE ROVER GOLDEN STEERING BEST LUXURY BUY WHEEL AWARD 2016 BEST SALOON CAR XF I-PACE RANGE ROVER VELAR JAGUAR F-PACE WINNER JAGUAR F-PACE WINNER LAND ROVER RANGE ROVER SPORT SVR WORLD CAR AWARDS WORLD CAR AWARDS DISCOVERY SPORT AUTOCAR STAR AWARD 2017 WORLD CAR 2017 WORLD CAR OF THE YEAR DESIGN OF THE YEAR RANGE ROVER EVOQUE XE—18 –
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ACES transformation underway AUTONOMOUS CONNECTED ELECTRIC SHARED • JLR vehicles currently • Investment in technology • I-PACE battery electric • InMotion Ventures include level 2 features and infrastructure to vehicle on sale 2018 invests in the future of support higher levels of transport and mobility • Investing in driver • Range Rover and Range connectivity assistance technology to Rover Sport Plug-in • Ł25m Lyft investment support increasing hybrids now on sale degrees of automation—19 –
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Electrification roadmap Investment in recent years starting to deliver Present from 2020 • New and refreshed vehicles with electric options • All JLR vehicles offer electric options • First plug-in hybrids now offered in 18MY • Plug-in hybrids Range Rover and Range Rover Sport • Mild hybrids • E-TYPE Zero revealed at Tech-Fest 2017 • Battery electric vehicles • I-PACE battery electric vehicle mid 2018—20 –
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Looking ahead Continuing to invest to drive profitable growth MORE CHALLENGING GLOBAL ENVIRONMENT JAGUAR LAND ROVER OUTLOOK • Cyclically weaker markets in the US and UK • Continue to invest (Ł4b+ in FY18) in new products, technology and capacity to drive profitable growth • More competitive pricing in many markets • Q4 FY18: Expect a stronger all round performance • Diesel uncertainty in the UK and Europe driven by new models, seasonality and improved profitability • Greater geopolitical uncertainty (e.g. Brexit) • Achieve 8%-10% EBIT margin planning target over • Electrification and other technological changes the medium term with new models driving operating leverage and greater cost efficiencies • Get “fit for future”, by continuing to review, re-design and refresh our – Asset base, investment priorities, policies – Processes and capabilities • Update changes if any in 3-6 months—21—
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Thank You Kenneth Gregor Jaguar Land Rover CFO, Jaguar Land Rover Abbey Road, Whitley, Coventry CV3 4LF Bennett Birgbauer Jaguarlandrover.com Treasurer, Jaguar Land Rover Jaguar Land Rover Investor Relations investor@jaguarlandrover.com Tata Motors Investor Relations Ir_tml@tatamotors.com—22 –
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ADDITIONAL SLIDES
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Q3 revenue up 4%, PBT Ł63m lower 17MY run-out, higher D&A; exceptional gain in FY17 Q3 FY18 Q3 FY17Change9M FY189M FY17Change 40324335 Retail volumes (‘000 units)154.4149.35.1441.6424.517.1 Wholesale volumes (‘000 units)133.7130.92.8383.0375.97.1 Revenues6,3106,04826218,23117,0711,160 EBITDA685611741,8731,898(25) EBITDA margin10.9%10.1%0.8 ppt10.3%11.1%(0.8 ppt) EBIT164237(73)562804(242) EBIT %2.6%3.9%(1.3 ppt)3.1%4.7%(1.6 ppt) Profit before tax and one-off items19217022734799(65) One-off items-85(85)438135303 Profit before tax192255(63)1,172934238 Investment1,0709261443,0982,402696 Free cash flow (before financing)(661)27(688)(1,994)(607)(1,387) Cash3,7143,841(127)3,7143,841(127) - 24 -
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Q3 revenue up 4%, PBT Ł63m lower 17MY run-out, higher D&A; exceptional gain in FY17 Q3 FY18 Q3 FY17Change9M FY189M FY17Change 40324335 Revenues6,3106,04826218,23117,0711,160 Material and other cost of sales(4,033)(3,836)(197)(11,599)(10,564)(1,035) Employee costs(680)(648)(32)(1,998)(1,838)(160) Other (expense) /income*(1,314)(1,332)18(3,928)(3,843)(85) Product development costs capitalised402379231,1671,07295 Underlying EBITDA685611741,8731,898(25) Depreciation and amortisation(546)(409)(137)(1,474)(1,207)(267) Share of profit / (Loss) from Joint Venture2535(10)16311350 Underlying EBIT164237(73)562804(242) Undesignated debt/unrealised hedges MTM*41(62)10321019191 Net finance (expense) / income and other(13)(5)(8)(38)(24)(14) Profit before tax and one-off items19217022734799(65) One-off items-85(85)438135303 Profit before tax192255(63)1,172934238 Income tax(103)(88)(15)(303)(219)(84) Profit after tax89167(78)869715154 * The one-off Items impacting the year to date relate to a Ł437m credit relating to changes made to the Company’s pension plans in Q1 FY18 and the non-recurrence of Tianjin recoveries (Ł135m in 9M FY17 ) The mark to market of realised gains/losses on matured, hedge accounted FX trades is now reported against ‘Revenue’ or ‘Material and other cost of sales’ in line with the respective underlying hedged item. For consistency, comparative periods have been restated for this change in presentation—25 –
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9m FY18 retails 441,600 up 4.0% YoY China, Overseas, North America up; UK & Europe lower Yo Wholesales Units 92.0 82.3 93.0 49.3 66.4 YoY (6.5)% 9.2% (4.0)% 13.9% 7.1% Retail Volumes include sales from Chery Jaguar Land Rover – 9M FY18 65,425 units, 9M FY17 46,926 Wholesale volumes exclude sales from Chery Jaguar Land Rover – 9M FY18 67,764 units, 9M FY17 49,936 units—26—
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9m FY18 retails 441,600 up 4.0% YoY Led by Velar and F-PACE; RR Sport 17MY run-out 88.1 74.0 54.455.0 39.6 34.5 30.5 24.525.9 7.27.5 0.60.0 XEXFXJE-PACEF-PACEF-TYPEDiscovery SportDiscoveryRR EvoqueRR VelarRR SportRange RoverDiscontinued YoY(6.8)4.9(1.2)0.68.4(0.2)(0.1)0.8(5.6)25.9(8.5)(0.0)(1.2) Wholesales Units22.014.27.31.851.67.453.737.758.238.551.938.60.0 YoY(11.4)(4.7)0.21.8(1.2)(1.0)(5.9)9.2(9.9)38.5(7.9)(0.2)(0.5) Retail Volumes include sales from Chery Jaguar Land Rover – 9M FY18 65,425 units, 9M FY17 46,926 Wholesale volumes exclude sales from Chery Jaguar Land Rover – 9M FY18 67,764 units, 9M FY17 49,936 units Defender/Freelander/XK (Discontinued)—27 –
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China joint venture XEL now on sale Retail volumes Current models JLR share of profit XF L XEL Discovery Sport Evoque Upcoming models E-PACE—28 –
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Q3 YoY favourable FX Ł100m Favourable FX revaluation, lower hedge reserve 0 Q3 FY18 Q2 FY18ChangeQ3 FY17Change 403932 Operational exchangen/an/a(65)n/a(134) Realised FX hedges and other(304)(343)39(455)151 Revaluation of current assets and liabilities4(11)15(2)6 Total FX impacting EBITDA & EBITn/an/a(11)n/a23 Revaluation of unrealised currency derivatives862(13)21 Revaluation of USD and Euro Debt414(10)(54)58 Total FX impact on PBTn/an/a(19)n/a102 Realised commodities (incl. in EBITDA & EBIT)1147(11)22 Unrealised commodities (excl. from EBITDA & EBIT)2949(20)524 Total Commodities impact on PBT (incl. in contribution costs)4053(13)(6)46 Total pre-tax hedge reserve(897)(1,092)195(2,972)2,075 Current portion of hedge reserve(705)(793)88(1,516)811 End of Period Exchange RatesQ-o-Q GBP:USD1.3501.3400.7%1.2299.8% GBP:EUR1.1291.137(0.7%)1.168(3.3%) GBP:CNY8.8048.908(1.2%)8.5652.8% Certain analysis undertaken and represented in this document may constitute an estimate from the Company and may differ from the actual underlying results - 29 -