Tata Motors reports 4% decline in June sales

Tata Motors has announced that its total sales of Tata commercial and passenger vehicles dropped 4% to 45,399 vehicles as compared to 47,245 vehicles sold in June last year. The company’s domestic sales for the month of June 2009 stood at 43,244 units, down 1%, as compared to 43,814 units sold in June 2008.

Commercial vehicles sales in June 2009 in the domestic market dropped 2% to 26,205 units as against 26,797 vehicles sold in June 2008. The company’s sales from exports stood at 2,155 vehicles in June 2009, which indicates a decline of 37% as compared to 3,431 vehicles in June 2008.

The company has signed agreement with Chennai-based Indian Bank for offering finance to customers buying Fiat cars. The loans will be provided up to 85% of the ”on-road price”, for time frame of up to 7 years having a interest rate of 11.50% per annum on a purchase of new Fiat cars. Fiat offers three cars Linea — Palio and Grande Punto.

Last month, the company launched British automotive brands — Jaguar and Land Rover (JLR) — in the Indian market. Both the brands were launched at a showroom located at Worli in Mumbai.

Tata Motors announced its audited consolidated results for the year ended March 31, 2009. The group has posted a net loss of Rs 2,505.25 crore for the year ended March 31, 2009 against a net profit of Rs 2,167.70 crore for the year ended March 31, 2008. Total income for the fiscal stood at Rs 74,151.21 crore against Rs 40,340.79 crore posted in fiscal 2007-08.

This is the first time in almost eight years for the largest vehicle maker of the country to report an annual loss, mainly led by gloomy demand picture in world market due to the global meltdown and acquisition of Jaguar Land Rover (JLR) in June 2008. Therefore the results for the last fiscal are not comparable with those of financial year ended March 31, 2008.