TStag Posted September 16, 2011 Share Posted September 16, 2011 Impressive: http://www.bloomberg.com/news/2011-09-16/tata-has-biggest-gain-in-18-months-on-land-rover-sales-correct-.html Most of TATA Motor's profits come from JLR these days.... Quote Link to comment Share on other sites More sharing options...
OHV 16V Posted September 16, 2011 Share Posted September 16, 2011 A-hem..... Click here to cut through the bullshit Quote Link to comment Share on other sites More sharing options...
TStag Posted September 16, 2011 Author Share Posted September 16, 2011 A-hem..... Click here to cut through the bullshit Who cares about a 10% drop in Jag's mostly ageing model line up (XJ aside) when you have a 43% increase in Range Rover sales. A net 35% increase is more important. Should the price of oil go up then Jag will probably recover ground. The Evoque is already a huge sucess and those numbers aren't even in these figures. I've always said Jag has problem's which it will take time to fix. But I've also always said that no one should care about that when Land Rover generates such big profits for it not to be a concern. Quote Link to comment Share on other sites More sharing options...
CKNSLS Posted September 16, 2011 Share Posted September 16, 2011 Is the percentage of increase impressive when the volume is so small? Quote Link to comment Share on other sites More sharing options...
Deanh Posted September 16, 2011 Share Posted September 16, 2011 Is the percentage of increase impressive when the volume is so small? YUUUUUUUUUUUUUUUUUUUUUUUUUP! Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 17, 2011 Share Posted September 17, 2011 (edited) Who cares about a 10% drop in Jag's mostly ageing model line up (XJ aside) when you have a 43% increase in Range Rover sales. A net 35% increase is more important. Should the price of oil go up then Jag will probably recover ground. The Evoque is already a huge sucess and those numbers aren't even in these figures. I've always said Jag has problem's which it will take time to fix. But I've also always said that no one should care about that when Land Rover generates such big profits for it not to be a concern. Tata are going to spend no less than $2.5 billion per year over the next five years on J/LR product development programs, you realise that J/LR will have to earn at least $600 million profit for every quarterly result for the next five years just to break even. That's why Ford sold J/LR, the up front costs versus return wasn't worth it when Ford could do so much more with its own brand and see immediate results. Given different circumstances, Ford would have never sold J/LR or even Volvo but given Ford's financial position, running all three proved to be far too financially taxing. At least Ford still has profitable long term engine contracts with all three brands.. Edited September 17, 2011 by jpd80 Quote Link to comment Share on other sites More sharing options...
Edstock Posted September 17, 2011 Share Posted September 17, 2011 Should the price of oil go up then Jag will probably recover ground. In your dreams. Quote Link to comment Share on other sites More sharing options...
TStag Posted September 18, 2011 Author Share Posted September 18, 2011 Tata are going to spend no less than $2.5 billion per year over the next five years on J/LR product development programs, you realise that J/LR will have to earn at least $600 million profit for every quarterly result for the next five years just to break even. It's not 2.5 billion USD. I think you'll find it's nearer 1.8 billion USD. Given that they made almost that in profits last year on smaller volumes then I don't see a problem. And JLR won't have to make $600 million dollars profit each quarter because some of that investment will get paid back over a much longer period of time. E.g when building their new engine plant they can pay that investment off over a much longer period of time than 5 years. Thank God TATA have long term strategic vision, recognising that JLR's profits growth is accelerating at a pace where they will soon catch the German car industry. Let's see what happens to profits when the Evoque sales start to count. 2.5 billion dollar profit next year up from 1.8 billion dollar 'ish this year? Poor Lincoln maybe Ford should sell that to TATA too.... but I'm not sure TATA would want to waste that much money trying to turn the sinking ship around..... Quote Link to comment Share on other sites More sharing options...
Edstock Posted September 18, 2011 Share Posted September 18, 2011 Thank God TATA have long term strategic vision, recognising that JLR's profits growth is accelerating at a pace where they will soon catch the German car industry. "will soon catch the German car industry" Quote Link to comment Share on other sites More sharing options...
jpd80 Posted September 18, 2011 Share Posted September 18, 2011 "will soon catch the German car industry" There's not enough zeros in that bank account to take on the Germans but I'm sure Jaguar can suck the marrow out of Tata in five years... 1 Quote Link to comment Share on other sites More sharing options...
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