Q3 2024 Tata Motors Ltd Earnings Call

Operator: Director, Tata Motors, Mr. Sailesh Chandra, MD, Tata Motors Passenger Vehicles Ltd and Tata Passenger Electric Mobility Ltd, Mr. Adrian Madel, CEO, Jaguar Land Rover, Mr. Richard Molyneux, CFO, Jaguar Land Rover and our colleagues from the Investor Relations team. Today we plan to walk you through the results presentation, followed by Q&A. As a reminder, all participant lines will be in lesson-only mode, and we will be taking questions via the Teams platform, which is already open for you to submit your questions. You are requested to mention your name and the name of your organization while submitting the questions.

I'd say at least summed it up M data time with those passenger vehicles limited.

Our passenger electric mobility limited Mr. Adrian model C O Jaguar land Rover, Mr. Richard marginal CFO of Jaguar land Rover and other colleagues from the Investor Relations team.

Speaker Change: We plan to walk you through the results presentation, followed by Q&A as a reminder, all participant lines will be in listen only mode and we will be taking questions via the teams platform, which is already open for you to submit your questions.

Speaker Change: You'll have acoustic to mention your name and the name of your organization wide submitting their questions I now hand over to biologics to take this forward or to do so.

Operator: I now hand over to Balaji to take this forward. Thanks, Anish. Firstly, welcome all of you to the earnings call. Once again, it's our pleasure to take you through the results of the quarter. If I were to leave one message with you as to how we see this quarter, we see this as one of consistent delivery for six quarters in a row, and that gives us tremendous satisfaction that we are executing on our strategies in all our businesses. So that's probably the broad message I want to leave you with. Let's get into the details, and Heather Nicklage.

Biologics: Thanks Anish.

Biologics: Firstly welcome all of you for the earnings call once again, it's our pleasure to.

Biologics: Take you through the results of the quarter.

Speaker Change: If I were to leave one message with you as to how we see this quarter.

We see this is one of consistent delivery of six quarters in a row and that gives us tremendous satisfaction that we're executing on our strategies and all of our businesses. So that's the probably the broad message I wanted to leave you with let's get into the details.

Speaker Change: And have any place.

Speaker Change: Yeah.

P B Balaji: Safeguard Statement, Standard, nothing Delta here. I think from a product offensive as well as other interventions, it continues to be an intense piece of action for us. We had almost 150 launches happening on the commercial vehicle side, multiple VCs. I am very happy to say that the plant that we acquired from Ford, which we are calling Sanan 2, has commenced production.

Speaker Change: Safe Harbor statement standard nothing Delta here.

Speaker Change: I think from a product offensive as well as other interventions. So it continues to be an intense a piece of action for us.

Speaker Change: We had almost 150 launches happening from the commercial vehicle excise multiple species.

Speaker Change: Very happy to say that the plant that we acquired from Ford who are calling panel tool as production has commenced production. In fact, we sold 900 vehicles out of panel. This particular month, so coming through very nicely and I'm done and a record one year time period.

P B Balaji: In fact, we sold 900 vehicles out of Sanan this particular month. So, coming through very nicely and done in a record one year time period. We also introduced plants.

We also introduced pumps to our DB on the advanced pure EV architecture, which I'm sure <unk> would love to talk about in his section as well as in Q ended at Pimco.

P B Balaji: EV on the advanced pure EV architecture, which I'm sure Shailesh would love to talk about in his section as well as in Q&A that may come. And from our focus completely on building out the EV ecosystem, we signed MOUs for almost 17,000 public charging stations, and also started with the first dedicated EV showrooms in India. On JRA's side, the exciting Range Rover Electric has opened, we teased it earlier in the quarter, and almost 16,000 clients have signed up in the first 28 days. And we decided that Nitra will produce electric vehicles by 2030, and Defender, of course, continues to win accolades across the board, with a new set of awards on Vodka seeing the car of the year there. Okay, next slide, on numbers. I think before I get into the details of the numbers, one clear caller, I see some confusion in the Twitter feed that is there.

And from a focused completely on building building out the EV ecosystem.

There are millions for almost 17000 public charges and also started with the first dedicated EV showrooms in India.

On <unk> side, the the exciting range lower electric as we opened a DC it earlier in the quarter and almost 16000 clients a clients have signed up in the first 28 days.

Speaker Change: We decided that knee trouble produce electric vehicles by 2030 and defender of course continues to win accolades across the board with a new set of her words on what car being the car of the year there.

Speaker Change: Okay excellent.

Our numbers I think before I get into the details of the number one clear colored I see some confusion in the Twitter feed that is there.

P B Balaji: The TTL sale that we did, the profits from the sale of TTL do not get recognized at a consolidated level because it's still a subsidiary of Tata Motors, and its results are getting consolidated into TTL. And therefore, it is only a shareholder to shareholder transaction.

Speaker Change: The TTM sale that we did Ah.

Speaker Change: The profit from the sale on TTM does not get recognized at a consolidated level because it's still a subsidiary of Tata Motors and the results are getting consolidated into <unk> and therefore, it is only a shareholder the shareholder transaction and therefore in the minority interest you will see a reduction in the minority interest number one and number two it goes way up.

P B Balaji: And therefore, in the minority interest, you will see a reduction in the minority interest, number one. And number two, whatever the profit is there is coming via OCI. So the PBT numbers that you see do not include TTL profits in the consolidated financial statements. However, in the stand-alone books, it is a company-to-company transaction, in which case the profit gets recognized there. That is just for abundant clarity.

Speaker Change: What are the profit of that is coming where we will see so the PBT number that youll see the not include TTL profit in the consolidated books. However in the Standalone books. It does the company the company transaction in which case the profit gets recognized.

Speaker Change: For abundant clarity.

P B Balaji: So we are going to the numbers. On that basis, we had a 25% growth in revenues and an EBIT of 8.3%, up 390 BPS, and a profit before tax and exceptional items of almost 7,600 crores in the quarter and a free cash flow of 6,400 crores. More strikingly, on a YTD basis, just to show the consistency in performance, we have had about 3 lakh crores of revenue growing 32% on a YTD basis so far, and we had a PBT before exceptional items of 19,000 crores, up almost 22,000 crores over the previous year at the same time, and almost 16,000 crores of delta cash has come through. Due to this, the net debt is now down to 29,200 crores. Go to the next slide.

Speaker Change: So they go into the numbers on that basis, we had a 25% growth on revenues and then a bit of eight 3% up 290 bps and profit before tax and exceptional items of almost 7600 close in the quarter and our free cash flow of 6400 costs.

More strikingly on a YTD basis, just to show the consistency in performance.

Speaker Change: We've had about three lakh crores of revenue growing 32% on a YTD basis, so far.

Speaker Change: And we had a PBT before exceptional item of 19000 cross up almost 22000 crores over the previous year same time, and almost 16000 course of Delta cash has come through due to this the net debt is now down to 29200 course.

Speaker Change: The next slide.

P B Balaji: And if I look at the source of revenue, where it came from, out of the 25% growth, 18% came from volume and mix, while price contributed just 1.7%. Translation Because the pound sterling appreciated vis-a-vis the rupee, that's giving us about 4.5%. And from a profitability perspective, JLR, CVPV, all of them are positive, but JLR in particular is a standout in terms of the absolute increase that you see there. The debt is now down to 29,200 crores, of which Tata Motors India is 3,500 crores, and we are confident that this will go to near zero by the end of this quarter in line with what we had guided, and JLR is now just 1.6 billion pounds, that is 16,000 crores there, that should also get cleaned out in the coming financial year, so we are well on track to deliver the reduction there. Just as a reminder, in the Let me hand it over to Richard and Adrian. Over to you, Richard.

Speaker Change: And if I look at the source of revenue, where it came from a 25% growth, although the credit 5% rose, 18% came from volume and mix.

Speaker Change: <unk> contributed one 7% translation because the pound sterling appreciated vis vis the rupee, that's giving us about a four and a half per cent.

Speaker Change: And from a profitability perspective, Gela CVP D. All of them were positive, but gala in particular standout in terms of absolute increase that you see there.

Speaker Change: The debt is now down to 29200 Cross office automotive, India 3000 final Cros and we are confident that this will go to near zero by end of this quarter in line with what we had guided and is now just 1.6 billion bond out of the 16000 corridors.

Speaker Change: That should also get cleaned out in the coming financial year. So we are well on track to deliver the reduction there just as a memo point.

Speaker Change: Last 12 months.

Speaker Change: <unk> reduced our net debt by almost 28000 crores.

Speaker Change: So we are confident that the next 12 months the strength of 9000 corporates should get cleaned up.

Speaker Change: Right.

Speaker Change: Let me hand, it over to Richard and Adrian.

Speaker Change: Uhm.

Richard Molyneux: Thank you. Yes, I'll take you through the JLR results. So, next chart. And it's not often you get to present a chart like this, every metric up versus every comparator, and it goes to show that we are now consistently delivering in line with our commitment. So I will talk very quickly through the columns, left to right.

Richard: Okay. Thank you, yes, I'll take you through the China results next chart. Please.

Richard: No.

Richard: And it's it's not often you get to present, a child diagnosed every metric.

Versus every comparison.

Speaker Change: Just to show that we all know consistently delivering in line with our commitments.

Speaker Change: So I will talk very quickly through the columns left to right.

Richard Molyneux: The revenue, 7.4 billion in the quarter, 21.1 billion year-to-date, those are both records for JLR. On a quarterly basis, we're up 22%, and on a year-to-date basis, we're up 35% versus the prior year. EBIT margin has now doubled year over year. We're at 8.8% EBIT and 16% EBITDA and pretty much at 16% EBITDA on a three-quarter cube basis as well. EBT at £627 million is the best Q3 we've had since 2016, and we're at £1.5 billion just over for the first three courses. Cashflow, as well, 626 million and a quarter is the best Q3 cashflow we've ever had, and we're at 1.4 billion cumulative cash flow in nine months. It's not often you get to visit present shops.

Speaker Change: So revenue seven 4 billion in the quarter $21 1 billion year to date, they're supposed to record the channel on a quarterly basis were up 22% and on a year to date basis, we were up 35% versus prior year.

Speaker Change: EBIT margin is now doubled year over year, we're at eight 8% EBIT and 16% EBITA.

Speaker Change: And pretty much up 16% EBIT.

Speaker Change: Three quarters acute basis as well.

Speaker Change: <unk> 627 million pounds as the best Q3, we've had since 2016.

Speaker Change: And we're at $1 5 billion just over the first three quarters.

Speaker Change: Cash flow as well $626 million in the quarter was the best Q3 cash flow we've ever had.

Speaker Change: And we're at $1 4 billion cumulative cash flow in nine months. So let's say, it's a it's not often you get 2% shelf side.

Richard Molyneux: Next shot. So this chart has some verbatims. I won't go through it in detail because all the points on it I'll cover in the following charts. So, next chart, please. So this one shows our wholesale business. Wholesales in the quarter were 101,000 units, that's 27% up year-on-year, and this is the first quarter for some time where we have had wholesale, retail, and production all over 100,000 units. In terms of the graphs, Range Rover continues to succeed, and our production capacity for producing these vehicles has also increased, so we were running at 2900 cars per week this quarter versus 2800 the previous week. Defender is down, but this isn't any demand issue.

Speaker Change: Next job.

Speaker Change: So on this chart have some debates I won't go through it in detail because all the points on it.

Speaker Change: Cover in the following charts. So next chart. Please.

Speaker Change: So this one shows our wholesale.

Speaker Change: Wholesales in the quarter at 101000 units, that's 27% up year on year and this is the first quarter for some time, where we have had.

Speaker Change: <unk> sales retails and production.

Speaker Change: Over 100000 units.

Speaker Change: In terms of the crops range Rover continues to succeed.

Our production capacity for producing these vehicles also increases so we were running in 2900 calls per week this quarter versus 2800 <unk>.

Speaker Change: The previous week.

Speaker Change: Defender is town. This isn't any demand issue, we have had some supply constraints on engines, which should come in between range Rover defender. So we bias the production towards range Rover. So there's the supply issues that will come back there is no no demand issue whatsoever in terms of dependent.

Richard Molyneux: We have had some supply constraints on engines which are common between Range Rover and Defender, so we biased the production towards Range Rover. So those are supply issues that will come back; there's no demand issue whatsoever. Discovery and Jaguar, you can see there.

Speaker Change: Discovery and <unk> you can see that.

Richard Molyneux: I think interestingly the year-to-date numbers, if you look at the percent, Range Rovers are up 29% year over year, and Defenders are up 46% year over year. And even those vehicles which are slightly more mature in terms of their life cycle, the Jaguars and the Discoveries, are at 9% year-on-year, so even the really mature ones are up year-over-year. Next shot. I won't spend considerable detail on this either as each region has its own slightly different seasonality.

Speaker Change: Interestingly year to date numbers, if you looked at percent.

Speaker Change: <unk> was up 29% year over year.

Speaker Change: Defense was up 46% year over year.

Speaker Change: And even those vehicles, which is slightly more mature in terms of their lifecycle to Jackie was on the discoveries.

Speaker Change: Our 9% year on year, even really mature ones.

Speaker Change: Year over year.

Speaker Change: Next chart.

Speaker Change: And I want to spend considerable detail on this point or is each region has its own slightly different seasonality I think when you look at the bottom part of this chart. It suffices to say all regions year to date are up at least 17%.

Richard Molyneux: I think when you look at the bottom part of this chart, it suffices to say that all regions year to date are up at least 17%. So what we have is very consistent, broad-based growth across our clients. Thanks a lot.

Speaker Change: So what we have is a very consistent broad based growth.

Speaker Change: Across our client base.

Speaker Change: Next chart.

Richard Molyneux: So this starts to look at the financial war. It takes PBT from a year ago to 627 million this year. So obviously, volume and the recovery of our ability to produce are the most significant part of the variance.

Speaker Change: So this starts to look at the financial work. Thanks Pvt from a year ago to the $627 million this quarter.

Obviously volume on the recovery of all.

<unk> ability to produce.

Speaker Change: The most significant part of the variance.

Richard Molyneux: However, I think there is a little bit of a story to tell in relation to net pricing and contribution costs, because those columns look quite different to the ones that we presented in prior courses. So it is getting a little bit more costly to acquire customers, particularly as we try to smooth our order bank in the future. So net pricing is still positive, but it is not as positive as it was in previous quarters. And, however, contribution costs are not as bad as they were 12 months ago.

Speaker Change: However, I think there is a little bit of a story to tell in relation to net pricing and contribution cost because those comps look quite different from the ones that we presented in prior quarters.

Speaker Change: So it is getting a little bit more costly to acquire customers.

Particularly as we try to smooth our order bank and in the future. So net pricing is still positive, but not as positive as it has been in previous quarters.

Speaker Change: However contribution costs.

Speaker Change: Not as bad as they were 12 months ago. This is largely a result of the fact that as the semiconductor sector has come back a bit more towards normality, we are not having to spend anywhere near the amount of money that we were spending this time last year of broker buys chips mood.

Richard Molyneux: This is largely a result of the fact that as the semiconductor sector has come back a bit more towards normality, we are not having to spend anywhere near the amount of money that we were spending this time last year on broker buys of chips. We've moved much more into long-term, stable, mutually beneficial relationships manufacturing. So that transition of having slightly less positive net pricing but more positive material costs is definitely reflective of a change in industry dynamics. Structural costs are going up.

Speaker Change: Move much more into long term stable mutually beneficial relationship chip manufacturers, so that transition of having slightly less positive net pricing, but more positive material cost is definitely reflective of.

Speaker Change: A change in the industry dynamic.

Speaker Change: Structural costs are going up I.

Richard Molyneux: I mentioned beforehand that VME, which is our marketing expense and selling expenses, is essentially the same as VME. Those two parts together are us investing more in terms of demand acquisition than we needed to do in the past. Admin is also up; over half of that is our digital transformation. FX, largely, as you would expect, is a sterling strength, and in the quarter, most of our operational FX was offset by our derivatives. So that is largely the message here; we are delivering in terms of volume, we are still net price positive, and the inflation, the serious inflation pain that we had this time last year is starting to disappear immediately. Next chart. This takes our PBT to cash, actually, from 627 to 626.

Speaker Change: I mentioned beforehand that <unk>, which is our marketing expense in selling that's essentially the same as.

Speaker Change: Those two parts together, our us investing more in terms of demand acquisition.

Speaker Change: We needed to do.

Speaker Change: In the past.

Speaker Change: <unk> is also up over half of that is our digital transformation.

Speaker Change: Thanks.

Speaker Change: Largely as you would expect it to be as Sterling strengthened considerably in the quarter most of our operational FX was offset by derivative color.

So that is largely the message here, we are delivering in terms of volume, we still net price positive.

Speaker Change: The inflation the serious inflation pain that we had this time last year is starting to ameliorate.

Speaker Change: Yes.

Chuck: Next Chuck.

Chuck: This takes our PBT to cash.

Chuck: Actually 6%, 7% to six to six milligram dealer net difference.

Richard Molyneux: So it's another great deal of net debt. What is important here, I think, though, is the cash profit after tax column in the middle there. 1.24 billion; that is also a record for JLR.

Chuck: What is important here I think that is the cash profit after tax column in the middle of that 124 billion that is also a record porcello delivering that level of cash profits.

Richard Molyneux: Delivering that level of cash profits does allow us to fund investment spending that is increasing as we move towards the delivery of our new BEV electrical architectures, BEV and electrical architectures. So, delivery of that is important. Working capital was favourable in the quarter as we had higher volume, but if you note the row below Cumulatively, our 1.4 billion pound year-to-date cash flow, only 0.2 billion of that is due to working capital. Most of it is due to cash profit after tax, Next shot. So, investment 862 million for the quarter, our capitalization rate remains flat at the same rate that it has been for the past two quarters at 63%

Allow us to fund investment spending there is increasing as we move towards the delivery of.

Chuck: U S electrical architectures and electrical architectures, so delivery of that is important.

Chuck: Working capital was favorable in the quarter as we had higher volume, but if you look to the row below.

Chuck: Cumulatively, our $1 4 billion pound year to date cash flow, earning zero point $2 billion that is due to working capital most of it is due to cash profit after tax.

Chuck: Next chart.

Chuck: Investment.

Chuck: Investment $862 million for the quarter, our capitalization rate remains flat at the same rate that it has been for the past two quarters at 63%.

Richard Molyneux: I think what is interesting here is that our engineering spends are up 3% quarter-on-quarter, but our capital investment is up 34% quarter-on-quarter, and that reflects the fact that we are now moving into the industrialization phase of all of our new vehicles. That is a later phase to engineering, obviously engineer first, industrialize second, but it gives the indication that these vehicles are now well down the chute in terms of Next shot will take you into a quick business update. So, let's move ahead. So, what's important here, I think, is this word consistency.

Chuck: I think interesting and here is our engineering spend is up 3% quarter on quarter with our capital.

Investment is up 34% quarter on quarter and that reflects the fact that we are now moving into the industrialization phase.

Chuck: All of our new vehicles.

Chuck: That is a later phase to engineering, obviously engineered industrial our second but it gives the indication that these vehicles are now well down the chute in terms of being delivered.

Chuck: Next Chuck.

Speaker Change: She will take you into a quick business update.

Chuck: Let's move ahead.

Chuck: What's important here I think is this would consistently if you look at our EBIT over the last four quarters was six 5% and eight six and seven three that $8 eight we are consistently delivering strong and improving EBIT.

Richard Molyneux: If you look at our eBit over the last four courses... 6.5% then 8.6 then 7.3 then 8.8. We are consistently delivering strong and improving eBits. And that's really important for our operating model because we are inevitably going to face challenges, some we know about, and I'm sure there are some we don't yet know about. We will have to keep focusing on the order book to make sure that we build demand as the supply constraints ease. There will be supply constraints, be it natural disasters, accidents, constraints as some of our suppliers find it more difficult to keep pace with our volumes rising. So we will see these things, and we will see continued inflation, even if not in commodity prices and energy prices; there will be inflation, and there remains inflation in terms of labor costs, which we will have to manage. The Red Sea is obviously an issue for us.

Chuck: And that's really important for our operating model.

Chuck: Because we are inevitably going to face challenges. Some we know about that I'm sure. There's some we don't yet know about we will have to keep focusing on the order book on the order book.

Chuck: To make sure that we build demand as the supply constraints ease.

Chuck: That will be supply constraints natural disasters accidents constraints that some of our suppliers find it more difficult to keep pace with all volumes rising. So we will see these things and we will see continued inflation, even if not in commodity prices and LNG prices that will be in place.

Chuck: On the remains inflation in terms of labor costs, which we will have to manage and offset.

Chuck: Okay.

Let's see.

Is obviously an issue for us.

Richard Molyneux: It, so far, has not caused us serious concern. We have some suppliers that are also transporting parts the other way that we keep a very close eye on. At the moment, it is not having a material impact on us. Thanks y'all.

So far has not caused us serious concern we have some suppliers.

Chuck: Have also transporting parts the other way to there also we keep it very close to oil at the moment. It is not having a material impact on our business.

Speaker Change: Thanks Chuck.

Richard Molyneux: So we did want to give an update on our electrification journey as this is also something that we did at the same meeting last year. The bottom line is there's very little change. Range Rover is coming soon, followed by Jaguar and our EMA architecture, such that by the end of 2022... Jaguar and four Landmark beds will be available to others. We'll follow a little bit later.

Speaker Change: So with deepwater give an update on our electrification.

Speaker Change: Journey is this is also something that we did at the same meeting last year.

Speaker Change: Volume is this pairing this will change.

Speaker Change: Rain Congress coming soon followed by Jaguar <unk> architecture, such that by the end of 'twenty six Jaguar and full landmark beds will be available to others will follow a little bit later.

Richard Molyneux: Partly as we do continue to see very strong demand, particularly for P-Heads. However, as a transition technology, PHEVs do seem to be taking an increasing share of consumer demand. So, we're focusing on that a little bit more as a transition technology. But fundamentally, no real change, and if you look at the right-hand side of that chart, bed available on all models by 2030, 100% sales, zero tailpipe emissions in 1936, and net carbon zero in 1929, remain exactly as they were before. Next shot.

Speaker Change: <unk> is we do continue to see very strong demand, particularly for pks as a transition technology piece.

<unk> do seem to be <unk>.

Taking an increasing share of consumer demand so with.

Speaker Change: We are focusing on that's a little bit more as a transition in technology.

Speaker Change: But fundamentally <unk>.

Speaker Change: No real change and if you look at the right hand side of that chart on better bankable on all models by 2000, 3100% sales zero tailpipe emissions and 36 of net carbon zero in 2009 remain exactly as they were before.

Speaker Change: Next chart.

Richard Molyneux: This is the exciting one. The Range Rover Electric. Our order bank and our waiting list is open, and we have 16,000 people that have already signed up to that waiting list. This car is a Range Rover first, but it's electric.

Speaker Change: ICT exciting one.

Speaker Change: The range Rover electric.

Speaker Change: Our order bank.

Speaker Change: And our waiting list is open and we have 16000 people that have already signed up to that waiting list.

Speaker Change: This call is the range room for first but it's electric.

Richard Molyneux: We're driving prototypes, and what we're finding is that the very, very powerful but also quiet and serene development system is actually perfect for what the brand of Range Rover stands for. In many ways, it's going to be the ultimate Range Rover, and it will be technically peerless. Thank you for watching.

Speaker Change: We're driving prototypes.

Speaker Change: And what we're finding is very very powerful, but also clients and serene.

Speaker Change: System is actually perfect for the brand the range Rover stands for in many ways, it's going to be the ultimate range Rover.

Speaker Change: It will be technically painless.

Speaker Change: If you see on the chart, we've filed more patience with rainy River electric and any other arrangement before.

Speaker Change: 800 volt architecture.

Richard Molyneux: But it's not just technically peerless; it does what all Range Rovers can that others can't, such as wade through 850 millimeters of water. So we're really looking forward to this car. We're investing 70 million pounds now in an underbody facility. In order to produce the slightly specific underbody that vehicle requires, we are preparing, it's coming, it's going to be amazing. Next chart.

Speaker Change: But it's not just technically peerless industrial all range Rovers pattern.

Speaker Change: On this call such as weight through 850 Mils Award.

Speaker Change: So we're really looking forward to this call we are investing 70 million pounds now and an antibody facility.

In order to produce the slightly specific antibody that vehicle request, we are preparing it's coming it's going to be amazing.

Speaker Change: Next chart.

Girish Wagh: So just looking ahead in terms of guidance, we expect our EBIT margin to be over the 8% number that we targeted beforehand. We expect investment to be around 3.2 billion this year, and we continue to expect operating cash flow to support under a billion of net debt by the end of this financial year and positive net cash in FY20. It says our priorities are to focus on brand activation, to continue to monitor and improve supply, and to respond where challenges emerge and to continue to execute our plans. That's all I think I have to say at this point. I will hand it back.

Speaker Change: So just looking ahead in terms of guidance.

Speaker Change: We expect our EBIT margin to be over the 8% number that we targeted beforehand.

Speaker Change: We expect investments to be around $3 2 billion this year.

Speaker Change: We continue to expect operating cash flow to support under our $1 billion of net debt by the end of this financial year and positive less cash in FY 'twenty.

Speaker Change: Does it said our priorities are to focus on brand activation.

Speaker Change: To continue to monitor and improve supply on response.

Where the challenges emerge and to continue to execute our plans flawlessly.

Speaker Change: That's all I think at this point I will hand back to balance sheet.

Girish Wagh: Thanks, Richard. Moving on to commercial vehicles. Thank you. Market shares, particularly in the heavy and medium sections, are consistently increasing. On the whole, fundamentally, the products are performing much better than the competition and very much meeting the needs of the customers. And hence, you can see a consistent increase in market share despite realizations, and discounts being wheeled back. And we're also seeing in the intermediates, what you see as MGB here, with product availability starting to increase, we are seeing a step-up in market shares here as well. Like commercial vehicles, we do have a challenge.

Balance Sheet: Thanks Richard.

Speaker Change: Moving on to commercial vehicles.

Speaker Change: On the next slide please.

Speaker Change: The market shares, particularly in the heavy and medium sections.

Balance Sheet: Simply gaining on the JV is ultimately the products are performing.

Balance Sheet: Much better than competition.

Very much meeting the needs of the customer and hence you can see a consistent increase in market share. Despite.

Balance Sheet: Realizations.

Balance Sheet: As being a real to back and we're also seeing them.

Balance Sheet: To me. This is what you see at MTV here.

Balance Sheet: With the product availability starting to increase we are seeing step up in market shares here that is with.

Balance Sheet: The light commercial vehicles, we do have a challenge we are addressing it it will take a few quarters for us to get accurate, but we are committed to ensure this shape of this good office.

Girish Wagh: We are addressing it. It will take a few quarters for us to get our act right, but we are committed to ensuring this shape of this graph is turned as well. And passengers, as the orders start coming in, we do not expect any challenge on this front when the school season opens up. You should see this coming back.

Balance Sheet: And passenger.

Balance Sheet: As the orders start coming in we don't expect any chairman notice under the school season opens up you should see this coming back again.

Girish Wagh: Next slide, please. On the financial performance, 19% revenue growth, with an EBITDA now touching 11.1%. On a full year basis, this EBITDA is now 10.4%. So, very much, and truly, a double-digit EBITDA margin, a milestone that we set for ourselves has been secured, and we intend to build on this. A bit of 8.6% with a 270 bps improvement and almost 1700 crores of profit in this quarter and 4100 crores on a full year basis so far. So CV is clearly coming back from a financial perspective in a very healthy space. Thank you.

Balance Sheet: Slightly.

On the financial performance.

Balance Sheet: 19% revenue growth with an EBITA non touch 11, 1%.

Balance Sheet: <unk>.

Balance Sheet: On a full year basis EBITDA is now 10, 4%, so very much well and truly.

Balance Sheet: Our double digit EBITDA margin or.

Balance Sheet: A milestone that we set for ourselves has been secured.

Balance Sheet: Intend to build on this.

Balance Sheet: EBITDA of eight 6% to 70 bps improvement.

And almost all of them 700 gross profit in this quarter and 4100 crores on a full year basis. So far so PV CD clearly coming back from a financial perspective, and a very healthy space.

Balance Sheet: Yes.

Girish Wagh: Source of where does the money come from as on strategy, volume mix, and realizations that's where it is. Investments in products and investments as the activity levels pick up on employee costs are the ones that you see there. Let me now hand this over to Girish to talk about the business. Thank you, Balaji.

Balance Sheet: So where did the money has come from as arm strategy volume mix and realizations Thats, where it is.

Balance Sheet: Yes.

Products and investment as the activity levels pick up on employee cost as the ones that you'll see that.

Balance Sheet: Let me now hand, it over to Greg to talk about the business.

Greg: Thank you <unk> so.

Girish Wagh: Initially, let us look at the, Thank you. For year over year growth in trucks, that is heavy commercial vehicles, intermediate light and medium commercial vehicles, as well as buses, this is the last slide. I think it is just the small commercial vehicle line which has declined year on year. I think quarter on quarter we saw a marginal decline in trucks, as well as an SUV pick-up. But as far as revenue is concerned, I think we had our highest ever revenue for the third quarter. Rs.

Greg: Initially, let's look at the <unk>.

Greg: Segment wise both of you have seen.

Greg: But year over year growth in.

Greg: The truck heavy commercial vehicles.

Greg: Light and medium commercial vehicles as well as the buses lastly.

Greg: I think it just the small commercial vehicle language.

Greg: The decline year on year.

Greg: I think quarter on quarter.

Greg: So a marginal decline in trucks.

Greg: As well as in this figure pickup.

Greg: But as far as revenue is concerned I think.

Greg: I used to ever revenue for third quarter.

Girish Wagh: 18,538 crores, surpassed our earlier hires in FY19-3. As Balaji mentioned, the market shares continue to move up in the heavy commercial vehicles and also in the intermediate and light medium commercial vehicles as we continue our realization improvement journey. I think I'll necessarily pick up...

Speaker Change: Okay fighter get growth.

Speaker Change: Surpassed our peers.

Speaker Change: I guess Didnt 19 Q3.

Speaker Change: As <unk> mentioned the market shares continue to move up in the heavy commercial vehicles.

Speaker Change: And also in the intermediate term.

Medium commercial vehicles as we continue on our realization improvement journey.

Speaker Change: I think on the cereal pickup.

Girish Wagh: Yes, the market shares have disappointed us, but I think we are on a longer-term journey here. I think we have improved the unit economics very aggressively, and we are happy with the space that we are in, in terms of a break-even for this business. And we are making a lot of structural transformation on the front end in this business to then gradually improve volumes through a full test. Non-vehicle business, which has been our focus consistently over the last eight quarters, continues to grow and grew by around 12%. YOY, Some of the bright spots.

Speaker Change: Yes, the market share so disappointed us, but I think we are.

Speaker Change: On a longer term journey here I think we have improved the unit economics very aggressively and we are happy with the speed that we are in terms of.

Speaker Change: The breakeven for this business.

Speaker Change: And we are making a lot of structural transformation on the Brexit thing.

Speaker Change: In this business, who will then gradually improve.

Speaker Change: Volumes grew a pool basis.

Speaker Change: Non retail business, which has been our focus consistently over the last eight quarters.

Speaker Change: Continuing to grow.

Speaker Change: <unk> grew by around 12%.

Speaker Change: Okay.

Speaker Change: Some of the bright spots.

Girish Wagh: I think in Q3, when we measured the customer sentiment index, a very good improvement in the tippers. The rest of the segments have kind of remained flat, which, in a manner, augurs well for the business. On digital, I think we are continuously ramping up our activity, and in Q3, we had 20% of our sales needs coming from digital sources, from digital channels, and in small commercial vehicles, which is one of the important transformations we are doing. 23% of leads came from digital, and in vans and buses, it was almost 28%. We introduced more than 150 variants in Q3, and with that, I think we are now positioned very well in all the product lines, in all the segments. As soon as...

Speaker Change: I think.

Speaker Change: In Q3, when we measured the customer sentiment index.

Speaker Change: Very good improvement in the books.

Speaker Change: The rest of the segments Theyre kind of remained flat.

Speaker Change: Which in a manner of this middle part of the business.

Speaker Change: On digital.

A year continuously ramping up our activity.

Speaker Change: In Q3.

Speaker Change: We had 40% of our sales lease coming from digital sources from digital channels.

Speaker Change: And in small commercial vehicle, which is one of the important transformation, we're doing 20.

Speaker Change: 23% leads came from digital.

Speaker Change: And in Lansing bustle Nikola most plenty of puts sake.

Speaker Change: We introduced more than 100 to see variance in Q3.

Speaker Change: I think we are now.

Speaker Change: We've said it very well in all the product lines in all the segments.

Speaker Change: As soon as.

Girish Wagh: As far as the commodity scenario is concerned, I think we saw some softening across the non-ferrous metals, which was offset by a hardening in the ferrous metal prices. But I think we had a significant push. cost production and therefore very healthy outcomes, which in fact, helped us to negate most of the cost increases that had happened when we migrated to BS6 phase 2, going forward. We will continue to improve our realization. So this is a track that we have taken, a transformative track, and we'll continue to look at this. We will drive innovations to address some of the specific micro-segments, so while we launch 150 variants in Q3, we will continue to come up with newer products. We will continue to create demand; by judicious mixing of ATL, BTL, and digital, we keep on increasing our work. I'll speak about electric vehicles on the next slide, but I think we continue to ramp up our efforts in terms of generating demand and fulfilling the same. We continue to increase our penetration and service on spares in the international market.

The commodity scenario is concern I think needs saw some softening across the non ferrous metals.

Speaker Change: This will offset by hardening in the ferrous market prices.

Speaker Change: But I think we had a significant push.

Speaker Change: And cost reduction and therefore, where he can be outcomes.

Speaker Change: Which in.

Speaker Change: In fact helped us to negate most of the cost increases that have happened suddenly.

Speaker Change: When we migrated to be a success group.

Speaker Change: Looking ahead.

Speaker Change: We will continue to improve our the realization. So this is a client that we have taken a transformative <unk> continue to look at this.

Speaker Change: And also to address some of the specific micro segments. So when we launched 150 variance in Q3 will continue to come up with your products.

Speaker Change: We will continue to create demand.

Speaker Change: By judicious mix of ATL, BTL and digital we keep on improving quarter over quarter.

Speaker Change: I'll speak about electric vehicles on the.

Speaker Change: Next slide, but I think we continue to ramp up our.

Speaker Change: First in terms of generating demand and fulfilling the same.

We continue to increase our penetration in service and spares.

Speaker Change: In international markets.

Girish Wagh: I think while the total industry volumes in most of the markets remain subdued, we are maintaining our market shares and, in fact, have grown our margins significantly YY. And we are also ensuring channel profitability till the industry volumes come back in these markets. Thanks a lot.

Why the cocoa industry volumes in most of the markets remain subdued.

We are maintaining our market shares.

Speaker Change: And in fact grown our margins significantly YY.

Speaker Change: And we are also ensuring channel profitability.

Speaker Change: The industry volumes come back in these markets.

Speaker Change: Thanks Blake.

Girish Wagh: On electric mobility, we now have, you know, as of yesterday, more than 2700 vehicles now flying on the roads, and we continue to gain traction in tier 2 and tier 3 cities. We are working on a demand creation initiative here. So more than 500 fast chargers have been installed in India. We are working with the financiers on very innovative financing solutions, backed up by increased battery warranty, which is actually giving a favorable total cost of ownership comparison with respect to Internalized Engine Combustion Variants, or ICE Variants. We have been able to crack the first few deals in the municipal garbage collection application.

Speaker Change: On the.

Speaker Change: Eric mobility.

Speaker Change: We now have.

Speaker Change: Yeah.

Speaker Change: As of yesterday more than 700 vehicles now like on the roads.

Speaker Change: And we continue to gain traction in tier two and tier three cities.

Speaker Change: We are working on.

Demand creation initiatives here, so more than 500 fast charge offs have been installed in India.

Speaker Change: We are working with the financials on very innovative financing solutions that.

Speaker Change: By increased battery warranty.

Speaker Change: This is actually giving a favorable total cost of ownership comparison with respect to.

Speaker Change: Internalized engine commercial ingredients isolated.

Speaker Change: We have been able to crack first few deals in the municipal garbage collection applications. So long we were focusing on last mile.

Girish Wagh: So till now, we have been focusing on the last mile, distribution, and e-commerce. I think we are now getting into municipal applications also. The vehicles have been demonstrating significantly better performance and reliability in the market, compared with some of the other vehicles which are otherwise serving this need. We've also put up more than 150 EV dedicated support centers across the country, which are helping manage the health of all these vehicles proactively. Coming to our smart city mobility solutions business, it continues to grow strength from strength, and now we have more than 1200 buses deployed till December, and total now more than 2000 buses are operating, out of which 1000 are as a part of the CSL tender one that we had. And we have delivered buses to DTC, that is Delhi Transport Corporation, Bangalore, and Ambulance Jammu & Kashmir. Now, our E-Plus fleet cumulatively has covered more than 110 million kilometers, delivering consistently more than 95% of the time.

Speaker Change: Distribution E Commerce I think we are now getting into municipal applications also.

Speaker Change: The vehicles have been demonstrating significantly better performance and reliability in the market.

Speaker Change: Compared with.

All the other vehicles, which other ways are disturbing this mean.

We will also put up more than 150, EV dedicated support centers across the country.

The China, helping manage the helpful helped all these vehicles correctly.

Speaker Change: Coming to our smart city mobility solutions business.

Speaker Change: Things to gross trained cross trained now we have more than <unk> buses deployed.

Speaker Change: Similar.

Speaker Change: Copel now more than 2000 buses are operating.

Speaker Change: Out of which 2000 on <unk>.

Speaker Change: As a part of the CSL tender one deck.

Speaker Change: We had one.

Speaker Change: And we have delivered buses to GTC that is daily Transport Corporation, Bangalore and millennium win Cashmere.

Speaker Change: Now our <unk> fleet cumulatively has covered more than 110 million kilometers.

Speaker Change: Delivering consistently more than 95% uptime.

Girish Wagh: We have been consistently meeting the outshedding requirements across all the depots, and we are working on improving energy efficiency with all these kilometers that we have under the belt now, which is therefore improving our operating economy in this business. We are also working with the government and have made good progress on the payment security mechanism. There are a few last.

Speaker Change: We have been consistently meeting no sharing requirements across all the reports.

And we are working on improving energy efficiency with all of these kilometers that we have under our belt now which is therefore, improving our operating economics.

Speaker Change: In this business.

Speaker Change: We are also working with government.

Speaker Change: Good progress on the payment security mechanism.

Speaker Change: There are few will last.

Girish Wagh: Issues which are being solved with respect to the balance sheet, with which I think we will get back into the new tenders addressable, on digital businesses. Please inform me that the fleet edge continues to build momentum. Now more than 530,000 vehicles are completed. He started the subscription modules, which are very well received.

Speaker Change: The issues, which are being sorry with respect to the balance sheet, which I think we will get back into the new tenders aggressively.

Speaker Change: On digital businesses.

Speaker Change: He is to inform the.

Speaker Change: The fleet, they expect to use to build momentum.

Speaker Change: Now more than 530000 vehicles or <unk>.

Speaker Change: We started the subscription models, which are very well received.

Girish Wagh: And we have more than 50% penetration in the trucks and buses in the subscription model. We've also seen the engagement times increase month over month. The fleet test continues to give enhanced insights on operations, medical health, etc.

Speaker Change: And we have more than 50% penetration in the trucks and buses in the subscription model.

Speaker Change: We've also seen the engagement times, increasing month over month.

The few types continues to enhance insights on operations, Nick a little particular, Google fleet owners.

Girish Wagh: to the fleet owners. We have also completed integration of Fastag into the fleet edge, with which, Thank you. As far as... Further value-added products we have launched now fuel efficiency consultancy in fleeted, which is branded as Mileage Sharthi, and there are 2-3 versions of this, the first one being part of the subscription itself and kind of do it yourself, and the rest are paid businesses on Freight Tiger. We are on our track. To do the integration with cleatage, the first integration which is happening is the carrier matching of the platform of Red Tiger with that of cleatage to have a native journey. On E-RUKAR, our online marketplace for spare parts, is growing leaps and bounds. I think it grew 4.5 times, but we are way away.

Speaker Change: We have also completed integration of <unk> into the fleet age, which.

Speaker Change: Lachlan noted can.

Speaker Change: Seamlessly move from one <unk> to another.

Speaker Change: As far as.

Speaker Change: But relative products, we have launched now fuel efficiency consultancy.

Speaker Change: <unk>, which is.

Speaker Change: Brian do those myeloid sharpie.

Speaker Change: And there are three versions of this is the first one being arco subscription salesman kind of do it yourself.

Speaker Change: <unk> data business.

Speaker Change: On freight Tiger.

Speaker Change: We are on our track.

Speaker Change: The integration with <unk>, the first integration, which is happening is the carrier matching of like formal III Tiger.

Speaker Change: That of fleet age who have a native journey.

Speaker Change: On <unk>, our online marketplace for spare parts.

Speaker Change: Leaps and bounds I think it grew four five times.

Speaker Change: Y O y.

Girish Wagh: I spoke about the digital source leads. We also have our online sales platform. Very happy to tell you that we had more than 6,000 leads that originated from this online sales platform. And we now have five financials which are integrated on this platform. So that's the progress on the digital businesses. Back to you, Balaji. Thank you, Girish.

Speaker Change: I spoke I Wonder do you gain source leads.

Speaker Change: We also have our online sales platform very happy to tell you that we had more than 6000 needs.

Speaker Change: Originated from this online sales platform.

Speaker Change: And we now have five financials, which are integral attack on this platform.

Speaker Change: So that's the progress on the digital businesses Beckman biology.

Speaker Change: Thank you rich.

Sailesh Chandra: Moving on to PV. Thank you. The market shares button is now. The focus is squarely on driving that, and that is yielding very good results for us, and we are now. This quarter delivered 14.6 shares, and now, consistently for a few months, we have been number 2 in the country, and we intend to sustain that. The other one is EVs as well as CNG, the penetration of CNG I draw your attention to now at 14%, and EVs at 12%. And therefore, this is really delivering the CAFE compliance for us where, as against our calculated target of 118.9 grams per kilometer, we are trending at 93.8. And therefore, the significant headroom that we have on CAFE compliance. Next slide, please.

Speaker Change: Moving on to <unk> BV.

Speaker Change: Yes.

Speaker Change: The market shares London is now.

Speaker Change: Our focus is squarely to drive that and that is yielding very good results for us.

Speaker Change: We have now.

Speaker Change: This quarter delivered 46 share and now consistently for a few months have been number two in the country.

Speaker Change: We intend to sustain that.

Speaker Change: On the <unk> as well as seeing you the penetration of the <unk> draw your attention to not 14% EMEA, 12% and <unk>.

Speaker Change: This is really delivering the cafe compliance for us.

Speaker Change: As against our calculator target of $118 nine GAAP grams per kilometer, we're trending at $93 eight and therefore that has significant headroom that we have on the cafe compliance piece.

Speaker Change: Please.

Sailesh Chandra: On EVs, of course, overall volumes continue to be strong, delivering almost 21% growth. However, this is not enough for us, and we will be stepping this up further. As the new cars come in, the networks increase, and charging networks go up. So the task on hand, as far as EV is concerned, is squarely to develop the markets. And you would see us intervening in this in a complete 360-degree manner, which we'll be more than happy to talk about. Subsequent fellows would be more than happy to elaborate on that. Thanks a lot.

Speaker Change: On <unk> of course.

Speaker Change: The overall volumes.

Speaker Change: To be strong delivering almost 21% growth. This is not enough for us and we will be stepping this up further.

Speaker Change: As the new costs coming the networks increased chartering book. So the task on hand is thought of Evs concern is clearly to develop the market and you would see us intervening in this in a complete 360 degree manner with.

Speaker Change: Should we be more than happy to talk about subsequent Fedex it'd be more than happy to elaborate on that.

Speaker Change: On the numbers per se.

Sailesh Chandra: On the numbers per se, the full year YTD is so far delivering 6% growth. Delivered the EBITDA margins flat at about 6.1, and I'll tell you why it's happening that way, and as far as EBIT margins are concerned, the operating leverage is kicking in to deliver a 70 bps improvement, and even in the current quarter, we're now sitting at an EBIT margin of 2.1%, and the business is now almost 900 crores of profits have been made this year, and many more. This is a very important slide in terms of how the PV mix is starting to play out.

Speaker Change: For the full year.

Speaker Change: YTD, so far delivering a 6% growth.

Speaker Change: Deliver the EBITDA margins flat at about six point warm and I'll tell you why it's happening that way and Thats part of the EBIT margins.

Speaker Change: Certain operating leverage kicking in to deliver 70 bps improvement and even on the current quarter. We are not sitting at an EBIT margin of two 1%.

Speaker Change: And the business is now almost final proposal profits has been made this year next.

Speaker Change: Next slide.

Speaker Change: This is another important slate in terms of the how the funding mix is starting to play out.

Sailesh Chandra: Obviously, as we guided last time also, we do see significant savings coming through in the variable cost line, and hence you see that stepping up. And therefore, this is then translating into the PV EBITDA now nearing double digits. And on the EV EBITDA, before product development expenses, we are now breakeven. And once we include the step up in product development expenses as new cars are getting created and will get launched in new courses, you see the EBITDA sitting at minus 8.2. But on an overall basis, we are still comfortable in terms of overall EBITDA being 2.1 percent of 400 crores of profit in the quarter. So that's how this is coming through.

Speaker Change: Obviously as guided last time also we do see significant savings coming through in the variable cost line and hence you'll see that stepping up.

Speaker Change: And therefore this has been translating into the PV EBITDA now nearing almost double digits.

Speaker Change: And on the EBITDA reported product development expenses to Vietnam breakeven and once we include the step up in productivity.

Speaker Change: The development expenses of new costs are getting greater and will get launched a new cost you'll see the EBITDA sitting at minus a point too but on an overall basis, we are still.

Speaker Change: Comfortable in terms of overall, EBIT <unk>, 2.1% or 404, the profit in the quarter. So that's how this is coming through and as battery prices come off you would expect to see the EBITDA pre excluding PD expenses to continue to keep inching up and overall EBITDA destination is to take it to breakeven soon.

Sailesh Chandra: And as battery prices come off, you would expect to see the EBITDA excluding PV expenses to continue to keep pinching up, and the overall goal is to take EBITDA to breakeven sooner rather than later. Thanks a lot.

Speaker Change: Sooner rather than later.

Sailesh Chandra: Finished? Yeah, thank you Balaji. Let me start with the key highlights of the industry. Or rather, I'll start with the calendar year 23.

Speaker Change: Excellent.

Speaker Change: Finish.

Speaker Change: <unk>, let me start with the key highlights.

Speaker Change: Of the industry, rather than stock with the calendar year 'twenty three.

Sailesh Chandra: This was the calendar year where we saw that every quarter the industry posted 1 million units or more. And therefore, for the entire calendar year 2023, the industry sold 4.1 million units, which was roughly 8% growth. Specifically, in Q3, the wholesale volume grew by 9% year-on-year, again hitting the 1 million mark.

Speaker Change: This was the calendar year, where we saw that every quarter. The industry posted 1 billion unit a mall and therefore for the entire calendar year 'twenty three industry sold $4 1 million units, which was roughly 8%.

Speaker Change: Specifically in quarter three the wholesale volume grew by 9% year on year again, hitting a 1 billion mark.

Sailesh Chandra: There was a high level of discounting also that we saw in quarter 3, right from the festive season, and a peaking, I would say, in the month of December, and I would say this was mostly because the festive prelude was slightly below expectations. And therefore, there was a pressure on clearing the inventory in the industry. Wahan actually grew at 7%, which was 2% less than the wholesale growth of 9%, and that pretty much indicates the reason why the stock was slightly higher and, therefore, the channel stock, while it ended in December at lower levels than what we had been seeing for the last two quarters. But still, it was higher than, say, if you compare it with the first Chan-23 in the world.

There was a high level of discounting was so there we saw in quarter three trade from the festive season and.

Speaker Change: Ah, peaking I would say in the month of December and I would say this was mostly because.

Speaker Change: The fiscal <unk> was slightly below expectation.

Speaker Change: And therefore, there was a pressure of clearing the inventory in the industry.

Speaker Change: One actually grew.

Speaker Change: 7%, which was 2% lesser than the wholesale growth of 9%.

Speaker Change: Pretty much indicates the situational where the stock was.

Speaker Change: Slightly higher and.

Speaker Change: And therefore, the channel stock while attended in December and two lower levels than what we had been seeing for last two quarters.

Speaker Change: But still it was higher than seen if you compare with the first Gen <unk> Creek.

Sailesh Chandra: As far as PVV is concerned, Tata Motors' performance, The calendar year 23 was the 3rd successive year of our highest ever sales, and we touched 553,000 units. Unlike the industry, R1 actually grew by 15% as compared to just 5% wholesale growth. And we did this deliberately because we wanted to go for a steeper reduction in channel stock to create a very healthy situation for ourselves in Q4 of this financial year. The focus on Vahan really helped us in ensuring that in Q3.

As far as <unk> concerned although motors performance.

Speaker Change: The calendar year 2003 was the third successive year of our highest ever sales and we touched 553000 units.

Speaker Change: Unlike the industry odd one actually grew by 15% as compared with just a five person considered.

Speaker Change: And this we deliberately because we wanted to go for a steeper reduction internal stock too.

Speaker Change: Cleared.

Speaker Change: Very healthy situation for us sales in quarter.

Speaker Change: Four of this financial year.

Speaker Change: The focus on one.

Speaker Change: It really helped us in ensuring that in quarter three.

Sailesh Chandra: We were ranked number 2 with a 14.6% Vahan Market share, which was nearly 190 bps growth over a quarter of a year. And this happened because we also had a very strong performance during the festive period, unlike the industry, where it was slightly moderated. Coming to bright spots in the industry, if you really see the growth rates in CY23 to understand the trend for different powertrains, while the overall growth I said for the calendar year 2023 for the industry was 8%. CNG grew by 25%, and EVs nearly doubled at a growth rate of about 9500%.

Speaker Change: We were ranked number two.

Speaker Change: With a 14, 6% bond market shift, which was nearly 190 bps quarter over quarter.

Speaker Change: And this has happened because we also had a very strong performance during the festive period.

Speaker Change: Make the industry that it goes.

Speaker Change: Slightly moderate I would say.

Speaker Change: Cummins were bright spots in the industry.

Speaker Change: If you really see the growth rates and see where it could really try to understand the trend of different powertrains.

Speaker Change: The oil growth a set for calendar year 2003 for the industry was awesome.

Speaker Change: <unk> grew by 25% in Evs.

Nearly double it could take up about 9500 person.

Sailesh Chandra: And I think this trend is likely to continue. So companies with stronger portfolios in CNG and EVs will gain. The market is responding well to new launches, so we have seen that all the players who actually went for new nameplate launches have driven the group better than the industry group. Coming to Tata Motors, the bright spot for us is a very healthy channel stock, as I mentioned earlier because we have taken a steeper correction of the stock in quarter three. And therefore, we have seen that on Jan 23, Jan 24, which was last month, we offtaked the highest ever at 53,600 in the domestic market. There is strong traction for the phase-shifted products in the IC&G range.

Speaker Change: This trend is likely to continue so companies with stronger portfolio and CMG and <unk>.

Speaker Change: Market is responding well to new launches. So we have seen that all the players who actually went for new nameplate launch have driven the group better than the industry group.

Speaker Change: Coming to Tata Motors, the bright spot for US is a very healthy channel stock as I mentioned earlier, because we have taken on skip a collection of stock in quarter three and.

And therefore, we have seen that in China 23.

Speaker Change: January four which was last month.

Speaker Change: We offtake the highest 53600 domestic market.

<unk>.

Speaker Change: There's a base there is a strong traction of the Fiesta production ICT rich as you know that in quarter three.

Sailesh Chandra: As you know, in Q3 and Q2, we launched Nexon, Harrier, Safari, and also the Punch CNG. All these four products sold the highest in Jan-24, so there is continued traction for all these three products, which is helping us go to a higher level of volume. The launch of Punch EV has been taken well in the market, and I think this is going to help us drive EV sales going forward. In Jan, we posted 69% growth as far as EV sales are concerned. We also launched the first two Tata EV exclusive channels in Gurgaon. There are very good footfalls we are seeing and these.

Speaker Change: In quarter, two we launched.

Speaker Change: Nexon <unk> and also the punch TNG all these four products have.

Speaker Change: Sold the highest in January force. This continued traction for all these three products, which is helping us go through a higher level of volumes.

Launch of fun TV has been taken well in the market and I think this will help Australia.

Speaker Change: <unk> going forward in January posted 69% growth.

As far as <unk> are concerned.

Speaker Change: We also launched the first <unk> excludes <unk> <unk> exclusive genre and Google.

Speaker Change: Very good for clothes Vse and these will.

Sailesh Chandra: We have a plan to expand this in the coming months. In the next 18 months, we believe that in most of the high-selling cities, we will have these exclusive channels, and we plan to only sell EVs through these channels in the cities where we operate. Coming to challenges as far as the industry is concerned, we had seen very strong growth in FY23 of 25% which is likely to moderate in FY24 to about 8%. And therefore, we are seeing that with this high base effect, FI quality 5 will be slightly challenging.

Speaker Change: We have a plan to expand this in the coming months.

Speaker Change: In the next 18 months, we believe that.

Speaker Change: And most of the highest selling cities. We would have these exclusive timmins and we plan to only sell evs through these channels in the cities that we opened.

Speaker Change: Coming to challenges as far as industry is concerned.

Speaker Change: We have seen a very strong both in their fleet credit fee of 35%, which is likely to moderate in FY 'twenty photo book, 8%.

And therefore, we are seeing with this high base effect.

Speaker Change: <unk> will be slightly challenging.

Sailesh Chandra: With less than 5% growth rate is what we anticipate. As far as EVs are concerned, I think the biggest challenge here is the pace at which the charging infrastructure is growing. It is lagging behind the pace at which EV adoption is happening, and many more. We have seen that commodity prices have been stable in the past one quarter or so, but there is a risk going forward of this going up for certain commodities. So, we are keeping very close track of that.

Speaker Change: With less than 5% growth rate is what we anticipate.

Speaker Change: As far as Evs are concerned I think biggest seven insurers the pace at which the charging and press clean it is lagging behind the pace at which the EV adoption is happening.

Speaker Change: <unk>.

Speaker Change: We have seen that in the commodity prices have been.

Speaker Change: Stable in the past one quarter or so.

Speaker Change: But there is a risk going forward of.

This going up for certain commodities. So we are keeping very close track of tag.

Sailesh Chandra: For PV and EV going forward, our focus will be to maintain the highest market share with continued focus on the new models. We will be working on driving the penetration and expansion of the electric vehicle market. And there are specific initiatives that we have taken to fundamentally expand this industry through micro-market focus. So we are focusing on about 15 to 20 cities and also leveraging the expanded range of products with PunchLaunch. We now have four promising products in the personal segment.

Speaker Change: <unk> needed going forward, our focus will be to maintain nice market share with continued focus on the new models.

Speaker Change: We will be working on driving the penetration and expansion of electric vehicle market.

Speaker Change: And there are specific initiatives that we have taken profound dominantly expand this.

Industry through micro market focus we are focusing on our book <unk>.

Speaker Change: These cities.

Speaker Change: And also leveraging the expanded range of products with bunch launch we have now four promising products in person.

Sailesh Chandra: So we will be utilizing that. And given that the charging infrastructure is crucial to the growth and expansion of the EV market, we have gone for an open collaboration approach with all charge point operators as well as oil marketing companies who are focusing on the expansion of the charging infrastructure. So I think with these initiatives, we should continue to do well. Thank you.

Speaker Change: Segment, so we'll be utilizing that and.

Speaker Change: And given that the charging infra is crucial to the growth and expansion of TV market.

Speaker Change: We have gone for an open collaboration approach with toll charge point operators as well as.

Speaker Change: The oil marketing companies, we're focusing on expansion of charging and truck. So I think with these initiatives we should continue to increase.

Speaker Change: Sure.

Speaker Change: Thank you.

Speaker Change: <unk>.

P B Balaji: So, at an overall level, let me step up the pace here, go to the tool. The CAPEX spends, we are trending towards the 8000 crores that we identified as a spend for the year. So we therefore expect that CAPEX to be funded completely out of cash profits. So don't see us press that.

Speaker Change: So again overall level of step up the pace here what are the objectives.

Speaker Change: The Capex spends we are trending towards the 8000 crores that we identified as our spend for the year. So we are there.

Speaker Change: Therefore, I expect.

Speaker Change: Our capex to be funded contributor of cash profit. So don't see a stressed the next slide.

P B Balaji: Next slide. This is what I guided by saying that 6,000 crores we have spent so far, so we should be in the 8,000 crore zone for the year. On Tata Motors Finance, the callout is the continued reduction in GNP. The collection efficiencies have been trending well. Even January has been a good month for us.

Speaker Change: That's what I had guided thing that 6000 calls you spent so far so we should we should be in the 8000 cortisol and for the year excellent.

Speaker Change: On our automotive finance.

Speaker Change: The callout is the continued reduction in GNP.

Speaker Change: Collection efficiencies have been trending with even January has been a good month for US GNP is now reduced to six and a half and both the early delinquency as well as the roll forward rates are now performing well.

P B Balaji: GNP has now been reduced to 6.5%, and both the early delinquency as well as the roll forward rates are now performing well. And this versus, of course, a decline of 11%, as the focus has been completely on building quality. This will now start changing from now onwards. As the portfolio quality is fine through prudent sourcing, we will now step up the ROA by focusing on growth, but we want to do it in a prudent manner.

Speaker Change: And this person of course have declined 11% as our focus has been completely on building a quality listen I'll start changing from now onwards as the portfolio quality is pint recorded associated.

Speaker Change: We will now step up the Ottawa by focusing on growth, but we want to do it in a prudent manner.

P B Balaji: At the same time, we will want to diversify the book further to reduce portfolio risks and digitalize the business for lower TAT. So, the fundamentals of the business are strengthening, and therefore, we are now gradually stepping back onto the growth story. Next slide, please.

Speaker Change: At the same time, we wanted to diversify the book further to reduce portfolio risk.

Speaker Change: And digitalize the business model.

Speaker Change: So the fundamentals of the business are strengthening and therefore, we are now gradually stepped back on the growth story.

P B Balaji: So looking ahead, I think all three businesses are performing well, and we continue to remain positive about that. And therefore, Q4 should see an improvement because of the traditional seasonality. Q4 is normally the strongest quarter for us.

Yeah.

Speaker Change: So looking ahead I think all three businesses are performing well and we continue to remain positive on that and therefore, we have our Q4 should see improvement because of the traditional seasonality Q4 is normally the strongest quarters for us.

P B Balaji: New launches that are there in Shailesh's area and Girish's area, and of course, improving supplies at JLR, which Richard talked about. And therefore, we are quite confident of delivering on the de-leveraging plans that we have laid out. And the priorities are there for all of you to see.

New launches that are there.

Speaker Change: Salacious area Ungracious area and of course, improving supplies agenda, which Richard talked about and therefore, we are quite confident of delivering on the deleveraging plan that we've laid out and the priorities is therefore all of you to see.

Speaker Change: The only delta, which is compared to earlier that is that is the whole alcohol on evs to step up.

P B Balaji: The only delta, which is compared to earlier that is there, is the whole focus on EVs to step up the markets. The data will develop the markets and drive portfolio penetration to 15% plus from the current 12%. So products, charging infrastructure, ecosystem, and everything that Shailesh just talked about. So that's what we had to say. And we'll probably go into questions, and the queue has already formed. So, let me take the first set of questions. Can you just give me a minute, please?

Speaker Change: The market.

Speaker Change: They develop the market and strive portfolio penetration to 14% plus for the current 12% so products charging and for our ecosystem and everything that China just talked about so that's what we anticipate and that will probably go into questions. In the queue is already formed so let me take.

Speaker Change: Take the first set of questions from some yes give me a minute please.

Richard Molyneux: Okay, uh... Perhaps the first question, JLR, Richard, coming your way, in terms of outlook, this is from Pumuk Roshan from Anandrati. Can you share the outlook for demand in the US and Europe? And how do you see this industry, the fact that volumes are still below 2019, how do you see that? And there is also a lot of noise around EV penetration slowing down in developed markets. How are you going to respond to that in your plan? Yeah, let me take that.

Speaker Change: Okay.

Speaker Change: Okay.

Speaker Change: Maybe the first question Dillard.

Speaker Change: Richard coming your way in terms of outlook there are some.

Speaker Change: One more question from Ananda enchant outlook for the demand.

Speaker Change: Demand in the U S and Europe.

Speaker Change: And how do you see this industry. The fact that the Orleans are still below 2019, or do you see that and also lot of minds around EV penetration slowing down and developed markets.

Speaker Change: How are you going to respond to that in your plants.

Speaker Change: Yeah, Let me, let me take that.

Richard Molyneux: So, at the moment, certainly, we are not seeing any demand issues in the US; it remains extremely strong; Defender and Range Rover, in particular, are very strong brands over there and doing really well. Europe, I think, is a little bit more stable, and we're probably keeping more of an eye on. EV penetration over the medium term? I don't think there's any change in the end game here. The speed as to exactly how and what the curve looks like to get there. I think there have been many predictions in the past that it would be a very S-curve focused transition.

At the moment and certainly we are not seeing any demand issues in the U S.

It remains extremely strong and defend on range Rover in particular are very strong brands over that and doing really well Europe, I think a little bit more stable and we're probably keeping more of a more of an oil.

Speaker Change: EV penetration over the medium term, but I don't think theres any change in the end state here.

Speaker Change: The speed as to exactly how and what the curve looks like to get there I think there have been.

Speaker Change: Many predictions in the past that it would be a very S curve.

Speaker Change: Focused transition.

Richard Molyneux: And now some of those are being trimmed back a bit; certainly, most of the recent forecasts have come back, but it doesn't change our plans at all. We have targets for our sustainability, our CO2 emissions in 2030, 2036, and 2039. So we are not going to change our plans. I'm sure in a year or so's time, those forecasts around EV penetration will change again. But as I say, for us, we have our plans, we know our plans, and we're excited. Demand for commercial vehicles, particularly medium and heavy as well as small commercial vehicles? Thank you. Let's talk about a few macro factors first. So I think if we and many more friends look at the history of the last five years, we see that the demand in billions of tons has been growing every year, and actually, the feed utilizations continue to be at good levels, and there is a steady balance between demand and supply. Tata.

Speaker Change: Now some of those some of entitled back a bit certainly most of the recent forecast come back, but it doesn't change our plans at all yes, we have targets for our sustainability, our cotwo emissions in 2000, 32036 and 2039. So we are.

Speaker Change: We're not going to change our plans.

I'm sure in a year or so is tying those forecast around EV penetration will change again.

Speaker Change: But as a site for us we have our plans we know our plans we're executing our plan.

Speaker Change: Thank you Richard next one Girish coming your way again.

Girish: A question that's been asked a different phones.

Girish: Demand in commercial vehicles, particularly for medium and heavies as well as the small commercial vehicles.

Girish: Right. So obviously.

Girish: Let me.

Girish: Talk about a few macro factors.

So I think if he.

Girish: Yeah.

Girish: Brent versus <unk> for last five years, we see there.

Girish: The demand in billions tens of kilometers has been growing every year.

And actually the future closures continue to be a good level and there is a steady balance between demand and supply.

Girish Wagh: The transporter profitability actually remains stable. As I spoke in my presentation, the customer sentiment index is also quite stable. The freight rates are steady. But we have seen.

Girish: Okay.

The transport of profitability actually remains stable.

Girish: As I spoke in my presentation. The customer sentiment index is also quite stable.

Girish: Great rates are steady.

Girish: But we have seen.

Girish Wagh: YOY declined in volumes in Q3 to some extent and mostly in January, the month of. The third quarter, we have seen some drop in government expenditure and also due to the elections in the five states. There was some impact. And therefore, we do expect a pause in growth in Q4 and, also, as you know, last Q4 was a very robust Q4 for us because of the transition from Phase 1 to Phase 2. So we do expect a single-digit kind of decline over Q4 of last year due to the general elections. We do see that Q1 of next year should be a bit soft. And when we meet next, I think we will have visibility post that also. But this is a common phenomenon.

Girish: So y O y decline in volumes.

Girish: In Q3 to some extent and mostly in January.

Girish: In the month of in the <unk>.

Third quarter, we have seen some drop in the government expenditure.

Girish: And also due to the elections in the five states.

Girish: Was some impact.

Girish: And therefore, we do expect a pause in growth.

Girish: In Q4, and also as you know.

Girish: Last Q4.

Girish: Was a very robust two portfolios with the transition from the <unk> is going to phase two.

Girish: So we do expect to.

Girish: Single digit.

Girish: Kind of the claim.

Girish: Q4 of last year.

Girish: Due to the general elections, we do see that the Q1 at least of next year.

Girish: Should be a big stock.

Girish: And when we meet next I think we will have with Liberty.

Girish: Was that also but this is a common phenomenon whenever there is general election.

Girish Wagh: Whenever there is a general election, we see an impact for around three to six months. But at a larger level, if you look, I think overall GDP growth continues to be strong. The capital expenditure by the government continues to be strong, the infrastructure push is there, and this will therefore ensure that CV demand will be there because, whether it is fleet utilization, freight rates, demand-supply balance, I think all these factors remain pretty steady. Now, within that, we've always seen that, generally, the medium and heavies have higher amplitudes, but this time we see that most of the segments seem to be moving together.

C and impactful around three to six months.

Girish: What are the larger level, if you see I think the ethanol or the GDP growth continues strong.

Girish: The capital expenditure by government continues to be strong the intro pushes there and this will therefore to ensure that the senior demand.

Girish: Because.

Girish: Whether it is fleet utilization freight rates demand supply balance I think all of these factors remain pretty steady.

Girish: We didn't act.

You will receive.

Generally the medium and heavies have higher amplitude.

Girish: But at this time, we see that most of the segments seem to be linked together.

Girish Wagh: So that's the outlook that we have for demand, Balaji. Thanks Girish. Richard, just coming your way, I think there are two types of questions on margins. One is that gross margins have seen an improvement. But are they sustainable?

Girish: So that's the outlook that we have for the microbiology.

Speaker Change: Good day.

Speaker Change: Richard is coming your way I think to take some questions on the margin. One is the gross margin does seasonal improvement.

Richard: Are they sustainable underneath one offs, there and warfare the realized revenue hedges that you ask one around gross margin. The other is around the employee cost of the audit the numbers have trended up a bit is there any one offs, there or anything that you'd like to call out.

Richard Molyneux: Are there any one-offs there? And what are the realized revenue hedges that you have? There's one around gross margin. The other is around the employee cost at your end. The numbers have trended up a bit. Are there any one-offs there, anything that you'd like to call out? Yeah, sure. So let me deal with that.

Speaker Change: Yup sure So let me deal with that.

Richard Molyneux: So look, our gross margin, there is a little bit of seasonality in there, dependent on where we sell vehicles, and what we sell. So in Q3, we had a slightly higher mix in China, and also slightly higher mix in terms of pure Range Rover, big Range Rover. So I don't expect massive changes, but the Q3 mix was more favourable for us than you would expect on an average.

Speaker Change: Gross margin there is a little bit of seasonality in net dependent at all where we sell vehicles, what we sell so <unk>.

In Q3, we had slightly higher mix in China.

Speaker Change: And also slightly higher in terms of pure range Rover.

Speaker Change: Big range Rover.

Speaker Change: I don't expect massive changes but.

Q3 mix was more favorable for us than you would expected on average yet.

Speaker Change: The next question was about.

Richard Molyneux: The next question was about employee costs, so yes, there are some one-offs in there. We have just concluded a deal with the UK Union. This is a two-year deal. The first year is a 3% base pay increase plus a fixed bonus for the employee.

Speaker Change: Employee cost.

Employee cost so yes.

Speaker Change: There are some one offs in that we have just concluded a deal with the UK unions.

Speaker Change: That gives them. This is a two year deal.

Speaker Change: The first is 3% base pay increase plus a fixed bonus.

All the employees. The second year is three 5% plus also a bonus but this time more variable to company performance.

Richard Molyneux: The second year is 3.5% plus a bonus, but this time more variable based on company performance. So, some of the accounting for that deal has led to a bit of a one-off that we've taken in Q3. So, that is one effect that we'll reverse back out as we go through to the... Thank you.

Speaker Change: So.

Speaker Change: Some of the accounting for that deal has led to a bit of a one off that we've taken in Q3.

Speaker Change: So that is one effect that will reverse back out as we go through into the future quarters.

Speaker Change: Thank you.

Richard Molyneux: Again, staying with you, Richard, the UK government's electrification policy change. Does that change anything about your plans, given the decision to delay the ICE sales ban to 2035? As I mentioned beforehand, no, it doesn't.

Speaker Change: Again, staying with you Richard the.

The UK government's ellipse electrification policy change does that change anything on your plants given the decision to delay sales back to 2035.

Richard: As I mentioned before had no intelligence, we have our own targets and we will be net carbon zero 2039 and.

Richard Molyneux: We have our own targets. We will be net carbon zero by 2039, and we will have all vehicles on BEV by 2030. No UK government policy will change our plans.

Richard: And we will have all vehicles on bad <unk>.

Richard: UK government policy change our plans. We're also obviously from a.

Richard Molyneux: We're also, obviously for note, a global manufacturer, and so the UK is 20% or so. Thank you. Second one, just staying on the Red Sea shipping issues for a while, is there a challenge?

Richard: Global manufacturer.

Richard: And so U K is 20% or so of our business.

Richard: Second one.

Richard: Staying on the Red Sea shipping issues for a while.

Richard: Is there is that a challenge what percentage of your shipments do you think will face this.

Richard Molyneux: What percentage of your shipments do you think will face this impact, both on the inbound as well as the outbound? So, for us, in terms of outbound, we have 15% of our sales in China, obviously that goes through that route, and a proportion of our sales are overseas. Exports in the quarter were about 18% of our sales.

Both on the inbound as well as our book.

Richard: So.

Richard: For us in terms of outbound we.

Richard: We have 15% of our sales in China, obviously.

Richard: Through that route and the proportion of our sales in overseas. So overseas in the quarter was about 18% of our sales not all of those will now be forced to go around the Cape Thus a proportion of them well. So we're keeping an eye on at the moment. It is having a little bit of an effect on us in terms of Q4, we obviously have more vehicles on the water.

Richard Molyneux: Not all of those will now be forced to go around the Cape, but a proportion of them will. So we're keeping an eye on it. Look, at the moment, it is having a little bit of an effect on us in terms of Q4. We obviously have more vehicles on the water than we would normally expect to have. I think the one that we're keeping an eye on is the sort of derivative effect of that in terms of container capacity and shipping capacity and timing coming back from the Far East, where we have several suppliers. So no actual issues yet, but something we're keeping an eye on. At the moment,

Richard: Then we would normally expect to have.

Richard: I think the one that we're keeping an eye out is sort of a derivative effect of that in terms of container capacity and shipping capacity and timing coming back from.

Richard: The far east, where we have several suppliers.

Richard: No actual issues, yet, but something we're keeping an eye on at the moment I would say the impact of the rich the issues on our business up till this point.

Girish Wagh: The impact of the Reg C issues on our business up till this point is manageable. Girish, a slightly different kind of question, can you go back to the freight tiger acquisition and just talk about what benefits you expect out of that?

Richard: Manageable.

Thanks Girish.

Speaker Change: Slightly different kind of a question can you go back to the three Tiger acquisition I, just talk about what benefits you expect out of that.

Speaker Change: Okay.

Speaker Change: Hello.

Girish Wagh: As we said in the last call, I think we are focusing on building digital platforms at scale, with the purpose of reducing or eliminating the friction points and actually bringing efficiencies in the logistics ecosystem. Now we already have a very powerful platform, which is Fleet Edge. As I said, we have more than half a million vehicles on this platform, and this platform is part of the trucking ecosystem and is contributing significantly in terms of TCO, that is, Total Cost of Ownership, and therefore business profitability improvement for our customers. The Freight Tiger, as we explained, is a platform which will scale up and operate in the logistics ecosystem and has a carrier matching as well as a truckers management system, and a transport management system as two platforms within.

Speaker Change: I think as we said in the last call also.

Speaker Change: I think we are focusing on building digital platforms.

Speaker Change: Skin.

Speaker Change: With the port of.

Speaker Change: Reducing or eliminating the friction points.

Speaker Change: And actually bringing efficiencies in those logistics ecosystem.

Speaker Change: Now we already have a very <unk>.

Speaker Change: <unk> platform, we just see that as I said, we have more than half a million vehicles on the on this platform and this platform players in the ecosystem.

Speaker Change: And is contributing significantly in terms of <unk> that is total cost of one luxury vendor for business profitability improvement for our customer.

Speaker Change: The freight Tiger as we explained is.

Speaker Change: Platform.

Speaker Change: Ill open and operate single logistics ecosystem.

Speaker Change: And has a carryover matching as well as our.

Speaker Change: <unk> management system transport management system as two platforms with them.

Richard Molyneux: We are now focusing on integrating the Freight Tiger and Fleetage2 platform, which will connect the trucking ecosystem with the logistics ecosystem. Therefore, the customers of Cleatage will now have access. Native access to the logistics and, therefore, freight in the market, and the shippers on the Freight Tiger platforms will have seamless access to the truckers. This will ensure that both sides of the continuum will actually have access to each other and therefore improve efficiency. So with this, we believe that we can create significant value for the shippers, as well as the fleet owners, as we integrate these two platforms. Chiresh, Sanand 2, with the capacity now starting to fire, what's your magnitude and timeline for phase-wise addition of capacity there? See, we have installed a capacity of 3 lakh in Saanen 2, and we can potentially add a further 1 lakh 20,000 to take it up to 4 lakh 20,000.

We are now focusing on integrating the freight Tiger and fleet age group platforms.

Speaker Change: It will connect the trucking ecosystem with the logistics ecosystem.

Speaker Change: Then for the customers of slippage will now have.

Speaker Change: <unk> access.

Speaker Change: Native access to the logistics center for creating the market.

Speaker Change: And the shippers on the freight Tiger platforms.

Speaker Change: Have seamless access to their trucks.

So this will ensure that both the size of the continuum will actually have access to each other and therefore improve efficiency.

Speaker Change: So with this we believe that we can create a significant value or the shippers.

Speaker Change: As well out of Ebola.

Speaker Change: As we integrate these two platforms.

Speaker Change: Yeah, Thanks, Patrick Cherish silent too.

Speaker Change: With the capacity now starting to fire watsco magnitude and timeline for phase with addition of capacity there.

Speaker Change: See we have installed capacity of <unk> and <unk>.

Speaker Change: And we can potentially add further.

Speaker Change: One <unk> to take it up to productivity possible.

Girish Wagh: But as of now, I think 300,000 is what we are first thinking of utilizing. We have started the production from 10th Jan onwards. And the target is that in the first phase, which is this quarter, we would target about 20% to 25% production of Nexon from Sanandhu, and progressively, in the next 6-7 months, we would completely shift the production of Nexon, both ICE as well as EVs, to Salent 2. That's probably the plan. We have already identified the products which we have to make in Sanand 2, and I think that is something which I would not like Again, the comment is that I will think about any other monetization opportunities there. Currently, there's nothing that we are actively working on. If and when something comes up, we'll let you know. So that's the set of questions. Let me move on to the next one.

Speaker Change: But as of now I think 300000 is what we are first thinking of utilizing.

Speaker Change: We have started the production from 10 Gen onwards.

And the target is that in the first phase, which is this quarter, we will target about <unk>, 5% production of excellent.

Speaker Change: <unk>.

Speaker Change: And progressively in the next six seven months, we would completely shipped to production of nexon.

Speaker Change: Ice has well as evs to southern too.

Speaker Change: That's probably the plan.

Speaker Change: We have already identified the products, which we have to.

Speaker Change: My concern in southern Peru.

Speaker Change: And I think that is something which I would not like to disclose today, but that plan means that in the next.

Speaker Change: Two to three years this will be complete people debased.

Speaker Change: Actually.

Speaker Change: Again, I'm going to say.

Speaker Change: I will take a process on any other monetization opportunities that currently does not.

We are actively working on if and when something comes up we'll let you know.

Speaker Change: So thats the setup questions, let me move to the next one I think.

Ben Birgbauer: Ben or Richard, this is coming your way. After reporting, there was 650 million due on 15 Jan, which I presume you repaid with cash. You have another 500 million in the next 12 months. Any plans for debt once you achieve your billion target? Do you want me to pick that up, Richard? Yes, go for it.

Speaker Change: They're not Richard is coming your way.

Speaker Change: Reporting nervous at $50 million due on 14, Jeremy I presume you repaid with cash you have another $500 million in the next 12 months any plans for that once you achieve your 1 billion target.

Speaker Change: Do you want me to pick that up Richard Yup, correct, yes, okay. So.

Ben Birgbauer: Yeah, okay. So we did pay the 650 million euro bond that matured in January out of cash. It's probably worth pointing out that we target, obviously, getting to a billion pounds or better by the end of March. Moving from 1.6 billion pounds at the end of December to that would mean that we'd be generating cash flow sufficient to cover that. As far as next year is concerned, the next maturity that we have is a bond maturity of 500 million euros in November.

Richard: We did.

Richard: 650 million Euro bond that matured in January.

Richard: Of cash, it's probably worth pointing out.

Richard: Yeah.

Richard: We target, obviously getting to net debt of 1 billion pounds or better.

Richard: By the end of March moving from $1 6 billion pounds at the end of December that would mean that we would be generating cash flow sufficient to cover that.

Richard: As far as next year. The next maturity that we have.

Richard: Maturity of 500 million euros in November.

Ben Birgbauer: Again, we've said that we expect to get to net debt zero in FY25, so that would imply that we're generating sufficient cash flow to also cover that. I think we continue to evaluate our funding plans and when we might next come to market, but I don't really have any comments on that right now. Thank you, Beth.

Richard: And again, we've said that we expected to get to net debt.

Richard: Zero.

Richard: In FY 'twenty five so that would imply that we are generating sufficient cash flow to.

Richard: Ill also cover that I think we continue to evaluate our funding plans.

Richard: Come to market.

Not really have any comments on that right now.

Speaker Change: Thank you Matt.

Richard Molyneux: Moving again, staying with JLR for a while, on demand, order book, VME, basically saying that considering expectations of a mild recession, would you expect the order book rundown pace at 10k per month or higher? VME, how much do you expect it to increase from the current two and a half percent? And are there any caps that you're working with? And, of course, when would supplies commence for the Range Rover BEV? Okay, so let me try and take those.

Speaker Change: Moving against team with Gela Roiled, our demand <unk>.

Speaker Change: Basically think considering expectations of a minor recession would you expect carnival crinone base at MK per month or higher.

Speaker Change: <unk> would you how much do you expect it to increase from the current to announce.

Speaker Change: And is there any cap that youre working with.

Speaker Change: And of course bandwidth suppliers commenced or range or better.

Speaker Change: So let me try and take those.

Richard Molyneux: We started the quarter with an order bank of 168,000, and we ended it just under 150,000, so 19,000 off in the three-month period. We've said before that our sort of pre-COVID natural level of order bank is about 110,000, and we would expect to sort of glide down towards that level over the coming months. So I don't think there's any change in our plans as to how we manage that. We will start to focus, as I mentioned before, more on the modern generation to make that transition smooth.

Speaker Change: We started the quarter with another bank of 168000, we ended just under a 150 so 19000.

Speaker Change: The three months period, we've said before that sort of pre COVID-19 natural.

Speaker Change: Our level of order bank is about 110000.

Speaker Change: And we would expect to sort of glide down towards that level.

Speaker Change: Over the coming months, so I don't think there's any change in our plans as to how we manage that we will start to focus as I mentioned before more on Tmall and generations bank transition smooth.

Richard Molyneux: In terms of VME, we're at 2.5%. I do expect that to increase over the coming quarters, but nowhere near the levels that we've seen from JLR. Range Rover and Defender in particular continue to have really strong demand, so yes, I do expect it to increase from 2.5%, but not by leaps and bounds. And is there? Yes, in circa 12 months from now, they will be around. We are driving prototypes now, and they are amazing. Shailesh, this is coming your way.

Speaker Change: In terms of DNA, we're at two 5% I do expect that to increase.

Speaker Change: Over the coming quarters, but nowhere near the level.

Speaker Change: We've seen from <unk> ready.

Speaker Change: Reni forever and defend.

Speaker Change: In particular, our continued to have really strong demand.

Extremely low if not zero levels of DNA. So, yes, I do expect it to increase from two 5%.

Speaker Change: Not in leaps and bounds.

Yes, and a range of beds.

Speaker Change: The range for that.

Speaker Change: Yes.

Speaker Change: So circa 12 months from now they will be around <unk>.

Speaker Change: We are driving prototypes now and they are amazing.

Speaker Change: Thanks Richard.

Speaker Change: So it's a challenge that's coming your way.

Sailesh Chandra: Tata Motors acquired the Saran plant from Ford. The number stands corrected. There is also stamp duty to be added to this, roughly about Rs. 1100 crore.

Speaker Change: One of the acquired the tavern platform or the number of that corrected those losses.

Speaker Change: It also stamp duty to be added to this company, but also on other costs what are the additional capex incurred to make this operation on all of this product.

Sailesh Chandra: What is the additional capex incurred to make this operation and how will the productivity of this plant be? Yeah, you know, I would not like to share the exact apex number because it is, I would say, still, you know, a work in progress, given that we have been forced to. Thank you. But broadly, if I have to give a ballpark understanding of what it means, the benefit that we would have if I compare it with a greenfield of similar capacity and the nameplates that we have in mind, in India. From a productivity perspective, this plant is highly automated, especially when I talk about the weld shop and the paint shop. Specifically, in these shops, I believe that the productivity would be better by 10 to 15% as a wallpaper. Thank you. Again, Richard, this is coming your way on JLR.

Speaker Change: The productivity of this block.

Speaker Change: Yes I.

Speaker Change: I would not like to share the exact capex, but because it is I would say, it's still work in progress given that piece first.

Speaker Change: Only started with one one nameplate that ammonia in periods to come.

Speaker Change: But broadly if I had to give a ballpark understanding of what it means the benefit that we would have.

Speaker Change: If I compare it with a greenfield.

Speaker Change: Of similar capacity under nameplates that we have in mind.

Speaker Change: This would have.

Speaker Change: This investment would come down to about 40% to 45% of what we would have otherwise incurred for a greenfield project.

Speaker Change: From a productivity perspective this plant is highly automated.

Speaker Change: And especially when I talk about virtual page.

Speaker Change: Specifically, a leading these shops I believe that the productivity will be better by 10% to 15% is a blockbuster.

Speaker Change: Thank you.

Speaker Change: Again, Richard this is coming your way on July.

Richard Molyneux: Do you expect any release from working capital in Q4? And how do you see marketing expenses developing in the forthcoming year? You've answered VME; can you also talk about FME?

Richard: Do you expect any release from working capital in Q4.

Speaker Change: And how do you see the marketing expenses developing in the forthcoming area of asset <unk> can you also talk about it.

Richard Molyneux: Yes, of course. So I would expect a little bit of working capital in Q4 FY25. But if you look at the cumulative four quarters of that year, I would not necessarily expect a cash flow impact on working capital, certainly not a material one.

Richard: Yes of course.

Richard: I would expect a little bit of working capital in Q4.

Richard: FY 'twenty five if you look at the cumulative four quarters of that year I would not necessarily expect any cash flow impact on working capital certainly not material.

Richard Molyneux: Marketing expense is pretty much the same answer as I gave in terms of VME. VME and fixed marketing expense combined is essentially the cost of acquiring new customers. And we do expect that, together, so BME and FME, to increase marginally as we go into the start of next year. But, as I've said, I'm not in.

Richard: Marketing expenses pretty much the same answers like gave in terms of.

Richard: PMA PMA and fixed marketing expense combined is essentially the cost of acquiring new customers.

Richard: And we do expect that to.

Richard: Together, <unk> and F&B to increase marginally as we go and start of next year.

Richard: It is offset.

Richard: In.

Richard Molyneux: So, two additional questions again: BEV versus ICE margins, since BEV tends to be lower margin, how do you see this mix playing out in your overall portfolio? And second, are you breakeven? Can you just comment on that?

Richard: Mastic announce.

Richard: So two additional questions again better versus ice modules since that tends to be lower margin. How do you see this.

Richard: Mix playing out in your overall portfolio.

Richard: And secondly are you.

Richard: Breakeven is can you just comment on that.

Richard Molyneux: Yeah, sure. So we've spoken about the Range Rover Electric and, we should note we have a different strategy to many of these. This is a Range Rover that is electric.

Speaker Change: Yes sure.

Speaker Change: Spoken about the range Rover electric.

Speaker Change: We should note we haven't different strategy to many in the industry. This is a range Rover is electric.

Richard Molyneux: The electric powertrain in a Range Rover is more powerful, more serene, and more quiet than the ICE ones. Actually, in many respects, this car is going to be the ultimate expression of what a Range Rover is. So if you look at it from that perspective, I don't think there is a reason to necessarily assume that the margins are going to be lower. So we have a different way of approaching BEVs on our products and the interaction of what a BEV is with our brand that probably puts us in a slightly better place than others. In terms of breakeven, I think we do expect that to increase a little bit over the next 18 months or so, as our mix moves probably a little bit away from Range Rover and Defender towards some of our other nameplates, but I would not again say that it would materially shift. Staying with you Richard for a minute, two additional questions. 10% EBIT margin by 2026. Are you still comfortable with that? Is there any risk that you see to this target?

Speaker Change: Electric powertrain and a range Rover is more powerful more serene more quiet than the ice bonds actually to many respects. This car is going to be the ultimate expression of what our range Rover is.

Speaker Change: So if you look at it from that perspective, I think there is a reason to necessarily assume that margins are going to be lower.

Speaker Change: So we have a different way of approaching.

Speaker Change: Beds on our products and the interaction of water bed is with all brands.

That probably puts us in a slightly better place than others.

Speaker Change: In terms of breakeven.

Speaker Change: We do expect that to increase.

It'll be over the next 18 months or so as our mix.

Speaker Change: Moves probably a little bit away from range Rover undefended towards some of our other.

Speaker Change: Nameplates, but I would not again say that it would materially shift.

Speaker Change: Okay staying.

Speaker Change: Staying with you Richard front a minute two additional questions, 10% EBIT margin by 2020. Thanks.

Richard: We're still comfortable with that is there any risk that youll see to those targets.

Richard Molyneux: Yes, we're not going to change our guidance on that; that's definitely what we're aiming for. There are always risks, particularly when you're talking about FY26; it is a way away. We don't know what's going to happen to geopolitics and to global demand, but it is still our target and there's nothing particular I want to note. The other one is the effective tax rate for JLR; let me take that. The effective tax rate in a quarter is normally volatile.

Richard: Yes, we're not going to change our guidance and that's definitely what we're aiming for.

Speaker Change: There are always risks, particularly when you are talking about FY 2006. It is a way away, we don't know what's going to happen to geopolitics that to global demand.

Speaker Change: But it is still our target and nothing in particular I want to note in terms of risks yes.

Speaker Change: And the other was effective tax rate for <unk>, let me take that.

Speaker Change: Effective tax rate in the quarter was normally watertight full year basis on a constantly we are still trading at about 22%. So you should be anywhere between that number seems realistic in terms of how you should plan year effective tax rate for the company.

P B Balaji: Full year basis on account, so we are still trending at about 22%. So you should be anywhere between that number seems realistic in terms of how you should plan your effective tax rate for the company. 25% is a sensible number to go with. Question, Girish, coming your way.

Speaker Change: Our centers.

Speaker Change: A sensible number to Goldman.

Speaker Change: Question Girish coming your way, how the pricing environment for M&A I think the other demand environment you talked about can you talk about.

Girish Wagh: How's the pricing environment for MNIC? I think the other demand environment you talked about. Pricing, can you talk about that? So, I think, as we have been indicating for the past four quarters now.

So.

Speaker Change: As we have been in ticketing or past.

Girish: Four quarters now.

Girish Wagh: We continue to improve the value of our product. We continue to deliver more and more services, using fleet edge and beyond. And therefore, I think we are in a very good position delivering higher value to the customer. And we remain focused on that, and with this, I think. We are happy to keep on improving realization quarter over quarter. So I think that's the journey that we've taken, and we will stay on that journey. Thank you.

Girish: We continue to improve the value of our products.

Girish: We continue to deliver more and more services.

Girish: Using <unk> and beyond.

And therefore, I think we are in a very good position delivering higher value to the customer.

Girish: And we remain focused on that and with this I think.

We are happy to coupon improving realization quarter over quarter. So I think thats the journey that we've taken and.

Girish: And we will stay on their journey.

Girish Wagh: The other one on Tata Motors Finance, can you also talk about the reduction in CV market share for Tata Motors Finance and the overall AEM TMFL? I think the focus has been squarely on quality and ensuring that we get our act right on sourcing. So we have consciously not targeted the business on CV market share.

The other one on Tata Motors finance.

Can you also talk about the reduction in CV market share into automotive Fedex and.

And the overall <unk> I think the focus has been squarely on quality and ensuring that we get our act rate on sourcing. So we are consciously not targeted at the business on CV market share.

P B Balaji: And Girish and his team have been very supportive to ensure that we have other financiers coming in and picking up the slack. Of course, going forward, now that we've got our business model right and sourcing strategies right, we will start building back our share as far as CV is concerned, but done in a prudent manner, and AAUM for TMFL is fundamentally a mirror image of the view that we take on disbursements, so we should expect to see AAUM also pick up going forward. Then again on demand. I think we've already covered this point. So let me probably skip that. Shailesh, I'm coming your way. In the recent budget, the PLI incentive allocation was only 35 billion.

And <unk> team have been very supportive and shoulder, we have other financials coming up and picking up the slack.

This is of course going forward now that we've got a business model right sourcing strategies right. They will start building back our share as far as CD is concerned but done in a prudent manner.

Girish: And any of the Tms and it's fundamentally a better I remind you of the view that we take on disbursements. So we should expect to see AAM also to pick up going forward.

Girish: Then again on demand I think we've already covered at this point, so let me skip that.

Girish: PD.

Girish: Sean is coming your way and the recent budget the BLA incentive allocation is only 35 billion.

Sailesh Chandra: This is extremely small considering the entire auto industry will claim it. How do you see it? You know, I believe that 3500 crore is sufficient, given that there are not many players who have been able to get the PLI certificate, and therefore, I believe for us, We already have one product which has got the certificate, and the rest of the products, the work is underway to get the certificate. I believe that this should be okay as far as we are concerned. Okay. Again, Richard is coming away a little bit more on Range Rover bears.

Girish: This is extremely small considering that our industrial climate.

How do you see it.

Sean: I believe that 2500 crores sufficient given that there are not many.

Sean: Players, who have been able to get the BLA certificate.

Sean: And therefore I believe for us.

We already have one product, which is so important the certificate.

Sean: The rest of the part of the book is.

Speaker Change: No way to get the certificate.

Sean: I believe that this should be okay as far as we are concerned.

Sean: Yes.

Sean: Again, Richard is coming our way a little bit more on range Rover Beth.

Sailesh Chandra: Who's the target customer? For this, what we are showing as people who are registering interest, can you say are you taking any deposits from them? Is it to be treated as orders? How is it going to be treated?

Sean: The target customer.

Sean: And.

Luckily assuring us people are registering interest.

Sean: It is the are you thinking of deposits from them is it will be treated as orders out of the country.

Richard Molyneux: Okay, so on the latter part of that, no, we are not taking deposits, and we are asking them to sign up for a waiting list. We do collect information in relation to that waiting list as to who those customers are and how they break down, but I don't have the details to hand.

Sean: Okay.

In the latter part of that no. We are not taking deposits and we are asking them to sign up to a waiting list.

Sean: Do collect information in relation to that waiting list as to who those customers at all and how they break down I don't have the details to hand, but it is a it is a mix.

Girish Wagh: But it is a mix, including a large number of people who drive electric variants of other OEMs, so we are anticipating quite some incrementality as a result of this, looking forward to delivering cars to those customers, as I say, in around 12 months. Thanks, Chirag. Coming from Chirag, I think the one on VME you have already answered, so I will skip that. Auto book, we have covered. So Girish, this is

Sean: Including a large number of people who drive electric variance of other Oems. So we are anticipating quite some incrementals as a result of this.

Sean: And.

Sean: Looking forward to delivering <unk> to those customers as lets say circa 12 months from now.

Speaker Change: Thanks Kurt.

Speaker Change: Gerard I think the one on the EMEA already answer so I'll skip that.

Speaker Change: Order book, we have covered.

Speaker Change: Denise This is yours, how do you look at the tonnage growth versus volume growth.

Girish Wagh: How do you look at the tonnage growth versus volume growth in MNXCV in FY25 as compared to FY24? Okay, I think as far as MNSCVs go, and let me take HCVs and MCVs separately. As far as heavy commercial vehicles are concerned, I think the transition to higher tonnage multi-axle vehicles, which is the 48 ton and then beyond that to the 55 tonne tractor, two large exenders happened.

Speaker Change: In FY 'twenty, five as compared to FY <unk>.

Denise: Okay I think.

Denise: As far as administrative and liquidate at TV and CD separately thus.

Denise: That's what I was heavy commercial vehicles are concerned.

I think the funds insurance too.

Denise: Higher tonnage multi axle vehicles, which is the 40 year term.

Denise: And then beyond that to a preferred contractor.

Denise: So a lot of its vendors Hyperion and <unk>.

Girish Wagh: And now, most of the demand which is amenable to these kinds of weights of 58 and 55 tons has already happened this year. The other tonnage vehicles which are sold currently are meant for specific applications, and they need to be in that tonnage node. Therefore, in my view, the migration to a higher tonnage node has happened to a large extent. As far as volume projection is concerned for FY25, as I mentioned, I think we will see some slowdown in Q1 and probably H1, a pause.

Denise: Now most of the demand, which is amenable to these kind of greater than 850 per ton has already happened this year.

Denise: The other tonnage vehicles with just solid currently.

Denise: <unk> main for specific applications and they need to be in that tonnage.

Denise: Therefore, I think in my view.

Denise: Migration toward higher tonnage nor has occurred to a large extent as soon as volume production is concerned for a <unk> 35, as I mentioned I think we see some slowdown in Q1 and probably a two one a pause but after I think the new government comes in place.

Girish Wagh: But after I think the new government comes in place and the investment and infrastructure CAPEX starts again, I think we will see y-y growth again in the next year H2 or Q2 onwards. This is on small commercial vehicles from Amin Pirani. Our India's SEV market share has been impacted by weakness in the category of less than 2 tons. However, in the categories which are doing well, your market share remains quite low. Are there any product interventions that we can expect here? So, let me, you know, answer that on two fronts.

Denise: The investment in infrastructure Capex starts again, I think we would see the next year. It's to our Q2 onwards, you will see a YY group again.

Denise: The next one again with you all in our small commercial vehicles from I mean Bernie.

Denise: You are India FCB market share has been impacted by weakness in the category of less than two hours.

Denise: However in the categories that you are doing radio market share remains quite low are there any product as I mentioned that we can expect here Greg.

Speaker Change: So let.

Speaker Change: Let me.

Speaker Change: And set it on two fronts.

Girish Wagh: First of all, I think your assessment of the... In SCB PICK UP, as we have done in other businesses, we are focusing on improving our financials and unit economics very aggressively. And I think, you know, I'm happy that we've actually made very good progress. It is a transformation that we are on to, and we will; we are committed to it. Now coming to the volumes. Yes, small vehicles have two categories, the SUVs and the pick-ups.

First of all I think.

Speaker Change: Our assessment of the.

Speaker Change: The situation there is right.

Speaker Change: See first of all in a series pickup as we have done in other businesses, we are focusing on.

Speaker Change: Improving our financials and unit economics very aggressively.

Speaker Change: And I think we will.

Speaker Change: Happy that we've actually made very good progress. It is a transformation that we are on <unk> and we will we're committed to it.

Speaker Change: So coming to the wall nukes.

Speaker Change: Yes, the small vehicles has food categories, the Cds and the pickups.

Girish Wagh: And as you rightly put it, I think the SCVs are facing a challenge because the overall segment is declining. The main reason for this is, you know, with BS6 phase 1 and BS6 phase 2, there has been a significant increase in the prices of the vehicles. And as we have seen globally in both... Thank you, the smallest segment actually starts facing pressure.

Speaker Change: And as you rightly put up I think their Cds are facing a challenge because overall segment is declining.

Speaker Change: The main reason part of this is.

Speaker Change: <unk> phase two there has been a significant increase in the prices of the vehicles.

Speaker Change: And as we've seen globally in book.

Speaker Change: As well as commercial vehicles, I think that such kind of an increase.

Speaker Change: The smallest.

Girish Wagh: I think to address this, what we have done is, we have actually launched the ACE in Gasoline variant, which actually comes at BS4 prices and BS4 total cost of ownership, so it's a completely new value proposition, and we see continuously increasing traction for this. So we are trying to build good traction for this product, improving its consideration among customers because it is gasoline, and gasoline is seen as not suitable for commercial applications. This is the first thing. Second, we are also facing a lot of financing challenges for the smallest commercial vehicles, post-COVID especially. And first-time users are finding it difficult to get higher loan-to-value ratios. Therefore, the down payment requirements are higher.

Speaker Change: <unk> actually start staffing pressures.

Speaker Change: I think what drives this what we have done this.

Speaker Change: We've actually launched the Es in gasoline variant.

Speaker Change: This actually comes at <unk> prices and be useful Coca cost of ownership. So it's a pretty.

Speaker Change: New value proposition in D. C are continuously increasing traction for this.

Speaker Change: So we are trying to do.

Speaker Change: Good traction for this product improving the consideration amongst the customers because it is gasoline and gasoline <unk> seen is not suitable for commercial applications.

This is the first thing second thing we are also facing a lot of financing challenges or the smallest commercial vehicles.

Speaker Change: First quarter, especially.

Speaker Change: And the first time users are finding is considered to get higher loan to value ratio.

Speaker Change: For the down payment requirement and higher.

Girish Wagh: And while we do get very good yield, I think the conversion rates are currently low. So we are working with the financials to improve the availability of financing here. And third, of course, as Balaji mentioned, I think with Tata Motors Finance coming back on track and being very healthy, I think we are working with them to see how we can start helping the first time users once again. So these are the things that we are doing in small commercial vehicles to increase their salience once again. Coming to pickups, I think your question is whether any product intervention is going to happen here. So in Pickups, we believe that we actually have a very good product portfolio. In the Intra family, we have a very strong platform that has vehicles with all powertrains, whether it is petrol, diesel, or CNG. And I think the focus that we have here is now to improve the readiness and be in the consideration set.

Speaker Change: And while we do get very good <unk> I think the conversion rates are currently low so we are working with the financials.

Speaker Change: To improve the availability of financing here.

Speaker Change: Third of course, as <unk> mentioned, I think with automotive finance coming back on track and being very handy.

Speaker Change: I think we are working with them we will see.

Speaker Change: How we can start helping the postpaid users.

Speaker Change: Once again. So these are the things that we're doing in small commercial vehicles and increase its failures once again coming to pick ups. I think your question is whether any product intervention is going to happen here.

So in pickups, we believe that we actually have a very good product portfolio.

In the intra family, we have a very strong platform.

Speaker Change: Rich has because it all powertrains, whether it is petrol diesel CMG.

And I think the focus that we have here that has now improved our readiness.

Speaker Change: And be in the consideration set.

Girish Wagh: See, in the SUV and pickup category, we've always seen that there is a lot of brand loyalty because when customers buy this vehicle, it's a significant purchase for them, and their earning actually depends on this. So, generally, they tend to depend on a vehicle which has been in the market for quite some time, and therefore, any new vehicle takes time to get established. So our focus here has been to improve awareness and be in the consideration set, and start creating a brand pool. Towards this, we are also working on the influencer ecosystem to ensure that you know they talk positively about these products, and also on making the network effective and profitable for this particular type of business.

Speaker Change: In the SUV and pickup category, we've always seen that there is a lot of brand loyalty because when customers buy this maker, it's a significant part sales for them.

Speaker Change: And they are opening actually depends on this will generally they tend to depend on a vehicle, which has been there in the market for quite some time and therefore any new vehicle takes time to get there.

Speaker Change: Establishing so our focus here has been to improve awareness and be in the consideration set.

Speaker Change: And start creating a brand.

What is this we are also very keen on in terms of our ecosystem.

Speaker Change: To ensure that their top positive about these products.

Speaker Change: And also on making network effect you earned profitable for this particular type of business. So we are also therefore, creating a separate network from the heavy commercial vehicle business. So I think these are actions that we're taking on the small commercial middle and the pickup business Melissa.

Girish Wagh: So we are also creating a separate network from the heavy commercial vehicle business. So I think these are the actions that we are taking on the small commercial vehicle and the pickup business, Balaji. So, just to hold it with you for a minute. I think if I look at Gunjan's questions, most of which we have answered, there is one on small commercial vehicles. Is there any impact of electric three-wheelers on your SED portfolio? If you look at the electric three-wheelers, the bulk of those are actually getting sold in the passenger application. The salience of goods electric vehicles is pretty low.

Speaker Change: So it is a 400 million for a minute, bringing further diligence questions. Most of it may have answer the one on <unk> and.

Speaker Change: In small commercial vehicle is there any impact of electric three wheelers on your CD portfolio.

Speaker Change: <unk>.

Speaker Change: Yeah.

If you look at the electric <unk> bulk of those are actually getting sold in passenger application.

Speaker Change: The Syrians all the goods electric vehicles is pretty low.

Girish Wagh: But initially, yes, I think the customers were comparing this with ACEV, and gradually, I think there has been a realization that EV is actually far better on performance, far better on reliability, and therefore far better on profitability. And I think we had an issue about financing again with ASEV and what should be the end-of-life value that should be considered. So I think here we have worked with the financiers, and we have come up with the first in the industry seven-year battery warranty, which has helped to actually give very attractive financing schemes as a result of which we see very good traction for ASEV. So, in a nutshell, I think electric three-wheelers for some time goods carriers did show some impact on this. But not to such an extent now; I think the customers are coming back to the ICE portfolio or, otherwise, ACE. Thanks Girish.

But initially yes, I think the customers we're comparing this with EV.

Speaker Change: And gradually work I think there has been a realization that is EV.

Speaker Change: Actually far better on performance.

Speaker Change: Part of it around reliability, and therefore far better on profitability.

And I think we.

Speaker Change: We had an issue about finance.

Speaker Change: Financing again in ECB.

Speaker Change: And what should be the end of life value that should be considered so I think here we work with the dimensions, we have come up with the first in the industry seven year battery warranty reserves help who actually give very attractive financing schemes as a result of which we see very good traction for the ECB. So in a nutshell I think electric travelers for some time.

Whoops carrier did show some impact on this.

Speaker Change: Not to such an extent now I think the customers.

Speaker Change: <unk> are coming back to the ice portfolio or otherwise the ESP.

Sailesh Chandra: Sairesh, coming your way, when is the Curve commercial launch planned? One? And if you can comment, if possible, on other product launches that they are planning this year, and how is the punch.ev, how is it picked up, and how is the order intake there? I think ACB you have already answered. So, let me talk about the full calendar year 24. So, this calendar year will see three electric vehicle launches, one Punch EV which happened already in Jan, and I will talk about the order intake for one CV as well. The second would be CURF, which will come in the second quarter of the financial year 2025, and the third would be the Harrier EV. The ICE curve would get launched, say, 3-4 months after the launch of the EV version, so that's what has been planned for the calendar year 2024.

Speaker Change: Yeah. Thanks rich.

Satish coming your way.

Speaker Change: Gov commercial launch plant one.

Satish: And if you could comment if possible on other product launches that you're planning this year.

Satish: And how's the punch Dot TV how's it picked up in our order intake there I think <unk> already answer so.

Satish: Yes.

Satish: So.

Satish: There are we'll be talking about the full calendar year 2000 foot.

Satish: So this calendar year, we'll see the electric vehicle launches <unk> Gen.

Satish: And I'll talk about <unk> and <unk>.

Satish: Jacobs Punchy visa last.

Satish: The second would be good.

Satish: Which will come in second quarter.

Satish: On the financial year 'twenty five.

Satish: And the third would be how do your EV.

Satish: The ice cold would get launch to see three to four months after the launch of the evolution. So the export has been planned for.

Satish: The calendar the accurate liquidity for.

Sailesh Chandra: As far as Pudge is concerned, this was our first product on the Pure EV architecture, which is active. A solid product under 15 lakhs giving a 400 km range was expected to create a lot of demand for us, and that is what we are seeing. Very strong demand in bookings that we have received for the product, and we are ramping up our capacity also. I can't share the numbers because... We have not been sharing booking numbers for the simple reason that that should not create any kind of concern for the customers in terms of their waiting period and all.

Satish: As far as sponge is concerned this was our first product on the pure EV architecture, which is active.

Satish: Solid product under 15, not giving 400 kilometer reach was expected to.

Satish: Create a lot of demand for us and that is what we got.

Satish: <unk> seen very strong demand and bookings that we have received for the product and we are ramping up our capacity also.

Speaker Change: Cant share the numbers because.

Speaker Change: We have not been sharing booking numbers for the simple reason that.

Speaker Change: That should not create any kind of concern for the customers in terms of the integrated model.

Sailesh Chandra: So the idea is that we take into account the bookings that have come and ramp up the production as well. Yeah, thank you. And moving on to Richard, this is probably coming your way.

Speaker Change: So the idea is that we take into account the bookings that have come and ramp up to production asbestos.

Speaker Change: Yes. Thank you.

<unk>.

Speaker Change: Moving to <unk>.

Speaker Change: Originally this fairly coming your way or proportion of buyers to more Jaguar and land Rover for the first time.

Richard Molyneux: Proportion of buyers who bought Jaguar and Land Rover for the first time? and how many already own a Jag or a Nella? Has there been any change to these numbers from 2019? Would you try?

Speaker Change: How many are already on a Jaguar arenella has there been any changes to this numbers from 2019 what are your practice.

Richard Molyneux: I don't have that information in front of me, but I am not aware of any material change in our mix of buyers between loyal and conquerors. Okay, thank you. The other one coming your way, Girish, I think you've touched upon a little bit, maybe worthwhile given the number of questions that have come. With the payment security mechanism now in place for EV buses, would you be participating more aggressively? Has there been any discussion with the government about only using buses that are being made locally?

Speaker Change: I don't have that information in front of me I am not aware of any material change in our.

<unk>.

Speaker Change: Mix of buyers between.

And Congress.

Speaker Change: Okay. Thank you.

Speaker Change: Uh huh.

Speaker Change: So otherwise coming you always give you something you touched upon a little of it may be worthwhile given the number of questions that have come with a payment security mechanical now they're in place for EV buses.

Speaker Change: Would you be participating more aggressively than when in discussion with the government.

Speaker Change: Hourly buses that are being made locally.

Girish Wagh: Yeah, so I think who is here, hostess. I think we have an OEM which started deploying the buses after winning the first tender of CSL. Thank you very much. Intention of successful electrification.

Speaker Change: Yes, so I think.

Speaker Change: Bookings here, where it's been.

Yes.

Speaker Change: I think we have in the OEM, which.

Speaker Change: Started deploying the buses after winning the tender of CSL.

Speaker Change: Since we had bid very aggressively with an objective of making the governments.

Speaker Change: Finland successful look electrification.

Girish Wagh: And, you know, as I explained, we actually have a good amount of experience under our belt now, which gives us very good data to decide what we should be doing. Now coming to the payment security mechanism, we must appreciate the openness of the government to listen to the industry and accept this requirement.

Speaker Change: As I explained we have actually put amount of experience under our belt now, which gives us very good data to decide what to be what we should be okay.

Speaker Change: Now coming to payments security mechanism.

Speaker Change: Can you be much appreciated.

Speaker Change: The openness of the augment to listen to the industry.

Girish Wagh: So this payment security mechanism is more or less agreed upon; things that are remaining, which need to be sorted out, which will ensure that our balance sheet remains lighter, and which will help us to get into this business very, very aggressively. So I think with good experience under the belt, the product range ready, the scheme is becoming what we need, just a last mile thing that needs to be addressed, and we will be there. So one more coming your way Girish, sorry Shadesh, Punch EV, and Nexon EV. Do you see overlap, and is there any cannibalization risk that you see? You know there's always some cannibalization risks in adjacent segments, and that is okay for us. But these are two very distinct segments at very distinct price points. If you compare a 450 km Nixon that costs around 18-19 lakhs, it has a weighted average price. Whereas punches with a similar kind of ranges, being priced between Rs.

Speaker Change: Except this requirement. So this payment security mechanism is more or less agreed upon.

Speaker Change: There are a few things.

Speaker Change: Things that are remaining which need to be sorted out which will ensure.

Speaker Change: Our balance sheet remains lighter and which will help us to get into this business very very aggressively and so I think good experience into the Barrick product range already.

Speaker Change: Scheme is becoming what we need.

Speaker Change: Last mile thing that needs to be addressed and will be there.

Speaker Change: So one more coming your way Krish.

Speaker Change: On Friday, childish bunched, EV Nexon Muni DSC overlap and is there any cannibalization risk that you see.

Speaker Change: Theres always some cannibalization risks in there just some segments in practice will keep for us, but these are two very distinct segments.

Speaker Change: Distinct price points, if you compare afford hundred 50 kilometer next one.

Speaker Change: That is considering around 18% to 19 Max.

Speaker Change: As a weighted average price.

Speaker Change: But as <unk>.

Speaker Change: Bunches with the similar kind of ranges.

Sailesh Chandra: 13,00,000-15,00,000. So there's a very low chance of cannibalization, a very different customer segment as far as the company is concerned. So I don't see it. Thank you. Thanks, Shailesh. I think with this, we have come to the end of the questions. I think we have covered most of the questions that people are very keen to understand. So if there's anything that's still left, feel free to contact our Industrial Relations team. We'll be more than happy to respond to you. With that, I'd like to draw this call to a close. Thank you all for your time and patience in going through the results. We look forward to catching up with you.

Speaker Change: Being price between Katina <unk>.

<unk> map, so there's very less chance of cannibalization are very different customer segment as well as the community.

Speaker Change: Eastern.

Speaker Change: So I don't see.

Speaker Change: A big risk of cannibalization and Thats what.

Speaker Change: We have been absorbing and channels. So we'll stay launch yes. Thank you. Thanks, Shirley I think with US we have come to the end of the question.

Speaker Change: I think we have covered most of the questions.

Speaker Change: People are very keen to understand.

If there's anything that's still left feel free to contact our investor relations team will be more than happy to respond to you.

Speaker Change: With this I'd like to draw this.

Speaker Change: The sales call to a close thanks, all for your time and the patients that are going through the results look forward to catching up with you. Thank you Goodbye and thanks guys. Thank you on the cost will go back.

Operator: Thank you. Bye-bye. And thanks, guys. Bye-bye.