A move that at first seemed like a half-cocked one, is starting to pay as Tata Motors is finally starting to see a profit from its $2.5 billion acquisition of Jaguar Land Rover. Thanks to cost cuts, new models, and an improving economy, analysts around the globe are predicting good things.
Sales have risen 47%, reaching $5.65 billion, which brings a profit of $141 million. A year earlier the company showed a loss of $565 million.
Analysts are also upbeat about the new management Tata has put in place; former head of GM Europe Carl-Peter Forster and BMW veteran Ralf Speth will serve as Group CEO and CEO of Jaguar Land Rover respectively.
– By: Stephen Calogera