Tata Motors Passenger Vehicles (500570) Investor Day 2024 Presentation summary

Financial and strategic highlights

• Achieved record revenues and profits in FY24, with both commercial and passenger vehicle businesses showing strong turnarounds and highest-ever profitability.

• Robust free cash flows delivered despite increased investments, supporting a journey to net debt zero; India business is now net debt free, and JLR is on track for FY25.

• Business simplification through delisting ADRs, DVR simplification, and merging Tata Motors Finance with Tata Capital; demerger planned to unlock value and empower business units.

• Credit ratings improved across agencies, reflecting stronger independent profiles for both CV and PV businesses.

• Strategic focus on leveraging trends, technology, and sustainability to drive future growth and financial targets.

Commercial vehicles (CV) business performance and strategy

• Maintained strong market share in HCV and ILMCV segments, with green shoots in SCV; record revenue and improved ROCE in FY24.

• Product and margin improvements driven by portfolio superiority, value-added services, and cost optimization.

• SCVPU and CV Passenger segments saw enhanced unit economics and higher realizations through digitalization and structural interventions.

• Ace EV demand is rising, with expanded customer base and partnerships; over 5,000 vehicles clocked 23 million km with 99% uptime.

• International business profitability improved, with ecosystem building and EV seeding in priority markets.

Digital and downstream ecosystem

• Spares and aftersales business achieved highest-ever penetration, with ~2.6x revenue growth since FY17.

• TML Smart City Mobility Solutions leads e-bus deployment, with 34% cumulative and 51% FY24 standalone market share.

• Digital platforms like Fleet Edge and Freight Tiger integrate truck and trip ecosystems, improving efficiency, visibility, and customer experience.

• Fleet Edge platform offers real-time insights, trip management, fuel efficiency, and driver behavior analytics, delivering up to 10x ROI for fleet owners.

• Launched Fleet Verse, an e-commerce platform for commercial vehicles, enabling fast, secure, and personalized online purchases.