Have set targets to generate free cash flows, says chairman.
Tata Motors Ltd. will significantly reduce its group automotive debt of ₹48,000 crore ($6.4 billion) over the next three years, the company’s chairman said during its annual shareholder meeting.Tata Motors is ‘deleveraging this business substantially’ and has set targets to generate free cash flows, N. Chandrasekaran said.Automakers globally have been hit by the COVID-19 pandemic which has hurt demand for cars and disrupted supply chains because of curbs on travel and the movement of goods.This has derailed Tata Motors’ turnaround plans for its domestic business and British luxury unit, Jaguar Land Rover (JLR), but the company said it is committed to cutting costs, tightening investment spending and improving profitability.‘Unlocking non-core’ “The company is working with agility to transform towards a future that is strong, sustainable, and financially rewarding,” Mr. Chandrasekaran said, adding that the group would also look to ‘unlock’ non-core investments.Tata Motors’ domestic business is expected to generate free cash flows from fiscal year 2021 while JLR will achieve this a year later in 2022, CFO P.B. Balaji said.
You have reached your limit for free articles this month.
To get full access, please subscribe.
Already have an account ? Sign in
Show Less Plan
Subscription Benefits Include
Find mobile-friendly version of articles from the day’s newspaper in one easy-to-read list.
Move smoothly between articles as our pages load instantly.
Enjoy reading as many articles as you wish without any limitations.
A one-stop-shop for seeing the latest updates, and managing your preferences.
A select list of articles that match your interests and tastes.
We brief you on the latest and most important developments, three times a day.
*Our Digital Subscription plans do not currently include the e-paper ,crossword, iPhone, iPad mobile applications and print. Our plans enhance your reading experience.
A letter from the Editor
Dear subscriber,Thank you!Your support for our journalism is invaluable. It’s a support for truth and fairness in journalism. It has helped us keep apace with events and happenings.The Hindu has always stood for journalism that is in the public interest. At this difficult time, it becomes even more important that we have access to information that has a bearing on our health and well-being, our lives, and livelihoods. As a subscriber, you are not only a beneficiary of our work but also its enabler.We also reiterate here the promise that our team of reporters, copy editors, fact-checkers, designers, and photographers will deliver quality journalism that stays away from vested interest and political propaganda.Suresh Nambath